Mitsubishi UFJ Trust & Banking Corp Sells 3,833 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• Mitsubishi UFJ Trust & Banking Corp decreased its holdings in McKesson Corporation by 3.2% during the first quarter, now owning 115,660 shares worth approximately $77.8 million.
• Several analysts have raised their target prices for McKesson, with UBS Group increasing its target from $708 to $805 and Morgan Stanley setting an objective of $810.
• McKesson announced an increase in its quarterly dividend from $0.71 to $0.82, representing an annualized basis yield of 0.5%.

Mitsubishi UFJ Trust & Banking Corp lowered its stake in shares of McKesson Corporation (NYSE:MCK - Free Report) by 3.2% during the first quarter, according to its most recent Form 13F filing with the SEC. The fund owned 115,660 shares of the company's stock after selling 3,833 shares during the period. Mitsubishi UFJ Trust & Banking Corp owned 0.09% of McKesson worth $77,838,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently modified their holdings of MCK. T. Rowe Price Investment Management Inc. increased its position in McKesson by 8.5% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,847,385 shares of the company's stock worth $1,622,754,000 after buying an additional 222,496 shares in the last quarter. GAMMA Investing LLC grew its holdings in shares of McKesson by 75,632.7% during the first quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company's stock valued at $1,610,567,000 after purchasing an additional 2,389,992 shares during the last quarter. Northern Trust Corp boosted its position in shares of McKesson by 9.0% during the fourth quarter. Northern Trust Corp now owns 1,532,203 shares of the company's stock worth $873,218,000 after buying an additional 126,940 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of McKesson by 9.5% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,103,050 shares of the company's stock worth $628,639,000 after buying an additional 95,806 shares during the period. Finally, AQR Capital Management LLC lifted its position in McKesson by 9.2% in the fourth quarter. AQR Capital Management LLC now owns 922,180 shares of the company's stock worth $525,560,000 after purchasing an additional 77,344 shares during the period. Hedge funds and other institutional investors own 85.07% of the company's stock.

McKesson Stock Performance

MCK traded up $4.89 during mid-day trading on Friday, reaching $698.43. The stock had a trading volume of 960,996 shares, compared to its average volume of 609,203. The stock has a market capitalization of $87.38 billion, a P/E ratio of 27.04, a P/E/G ratio of 1.41 and a beta of 0.50. McKesson Corporation has a 52 week low of $464.42 and a 52 week high of $737.89. The firm's fifty day simple moving average is $716.58 and its two-hundred day simple moving average is $676.24.

McKesson (NYSE:MCK - Get Free Report) last issued its quarterly earnings data on Thursday, May 8th. The company reported $10.12 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $9.83 by $0.29. The business had revenue of $90.82 billion during the quarter, compared to the consensus estimate of $94 billion. McKesson had a net margin of 0.92% and a negative return on equity of 201.12%. The firm's quarterly revenue was up 18.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $6.18 EPS. As a group, analysts expect that McKesson Corporation will post 32.77 EPS for the current fiscal year.

McKesson Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be paid a $0.82 dividend. This is a boost from McKesson's previous quarterly dividend of $0.71. The ex-dividend date is Tuesday, September 2nd. This represents a $3.28 dividend on an annualized basis and a yield of 0.5%. McKesson's dividend payout ratio (DPR) is 10.99%.

Analysts Set New Price Targets

A number of research firms have recently weighed in on MCK. Morgan Stanley reaffirmed an "overweight" rating and issued a $810.00 price target (up from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Evercore ISI raised their price target on shares of McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. Wall Street Zen cut shares of McKesson from a "strong-buy" rating to a "buy" rating in a research report on Sunday, July 13th. UBS Group upped their target price on shares of McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a report on Tuesday, April 29th. Finally, Bank of America raised their price target on shares of McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Three analysts have rated the stock with a hold rating, eleven have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $710.17.

Insider Buying and Selling

In other news, EVP Leann B. Smith sold 341 shares of the company's stock in a transaction dated Wednesday, May 28th. The shares were sold at an average price of $717.91, for a total transaction of $244,807.31. Following the completion of the transaction, the executive vice president owned 2,800 shares of the company's stock, valued at $2,010,148. This represents a 10.86% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Britt J. Vitalone sold 1,878 shares of the company's stock in a transaction that occurred on Wednesday, May 28th. The shares were sold at an average price of $717.91, for a total value of $1,348,234.98. Following the sale, the chief financial officer directly owned 14,028 shares in the company, valued at approximately $10,070,841.48. This represents a 11.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 52,488 shares of company stock worth $37,242,862 over the last ninety days. Company insiders own 0.08% of the company's stock.

McKesson Profile

McKesson Corporation provides healthcare services in the United States and internationally. It operates through four segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. The U.S. Pharmaceutical segment distributes branded, generic, specialty, biosimilar and over-the-counter pharmaceutical drugs, and other healthcare-related products.