Motley Fool Asset Management LLC Purchases 2,904 Shares of McKesson Corporation $MCK

Key Points

• Motley Fool Asset Management increased its McKesson stake by 33.8% in the fourth quarter, buying 2,904 additional shares and bringing its total holdings to 11,491 shares worth about $9.43 million.
• McKesson reported strong quarterly earnings with EPS of $11.69, topping estimates, while revenue rose 6% year over year to $96.3 billion. The company also reaffirmed FY2027 guidance of 43.8 to 44.6 EPS.
• The company announced a quarterly dividend of $0.82 per share, payable July 1, and analysts remain broadly positive, with a consensus rating of Moderate Buy and an average price target of $968.87.

Motley Fool Asset Management LLC boosted its position in shares of McKesson Corporation (NYSE:MCK - Free Report) by 33.8% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 11,491 shares of the company's stock after buying an additional 2,904 shares during the period. Motley Fool Asset Management LLC's holdings in McKesson were worth $9,426,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Meiji Yasuda Asset Management Co Ltd. boosted its stake in McKesson by 0.5% during the fourth quarter. Meiji Yasuda Asset Management Co Ltd. now owns 2,262 shares of the company's stock valued at $1,855,000 after buying an additional 11 shares during the last quarter. Obsidian Personal Planning Solutions LLC boosted its stake in McKesson by 2.9% during the third quarter. Obsidian Personal Planning Solutions LLC now owns 426 shares of the company's stock valued at $346,000 after buying an additional 12 shares during the last quarter. LRI Investments LLC boosted its stake in McKesson by 12.1% during the fourth quarter. LRI Investments LLC now owns 111 shares of the company's stock valued at $91,000 after buying an additional 12 shares during the last quarter. Macroview Investment Management LLC boosted its stake in McKesson by 3.9% during the fourth quarter. Macroview Investment Management LLC now owns 322 shares of the company's stock valued at $264,000 after buying an additional 12 shares during the last quarter. Finally, Berkshire Asset Management LLC PA boosted its stake in McKesson by 4.6% during the third quarter. Berkshire Asset Management LLC PA now owns 294 shares of the company's stock valued at $227,000 after buying an additional 13 shares during the last quarter. 85.07% of the stock is owned by institutional investors.

McKesson Price Performance

NYSE:MCK opened at $783.71 on Wednesday. The firm has a market capitalization of $94.20 billion, a price-to-earnings ratio of 20.37, a PEG ratio of 1.26 and a beta of 0.31. McKesson Corporation has a 1 year low of $637.00 and a 1 year high of $999.00. The business has a 50 day simple moving average of $802.84 and a 200-day simple moving average of $847.76.

McKesson (NYSE:MCK - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported $11.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $11.56 by $0.13. The business had revenue of $96.30 billion during the quarter, compared to analyst estimates of $101.35 billion. McKesson had a negative return on equity of 345.35% and a net margin of 1.18%.The company's revenue for the quarter was up 6.0% on a year-over-year basis. During the same period last year, the company earned $10.12 EPS. McKesson has set its FY 2027 guidance at 43.800-44.600 EPS. As a group, analysts expect that McKesson Corporation will post 44.28 earnings per share for the current fiscal year.

McKesson Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Monday, June 1st will be paid a $0.82 dividend. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. The ex-dividend date of this dividend is Monday, June 1st. McKesson's dividend payout ratio (DPR) is presently 8.53%.

Insider Transactions at McKesson

In other news, EVP Michele Lau sold 3,550 shares of the stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $761.09, for a total value of $2,701,869.50. Following the sale, the executive vice president directly owned 3,247 shares in the company, valued at approximately $2,471,259.23. This represents a 52.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thomas L. Rodgers sold 699 shares of the stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $735.27, for a total value of $513,953.73. Following the completion of the sale, the executive vice president owned 2,268 shares in the company, valued at approximately $1,667,592.36. The trade was a 23.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 6,893 shares of company stock worth $5,225,385. 0.08% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

MCK has been the subject of a number of research reports. Barclays increased their price target on McKesson from $960.00 to $1,050.00 and gave the company an "overweight" rating in a research note on Wednesday, February 18th. Raymond James Financial set a $970.00 price target on McKesson in a research note on Thursday, March 5th. Leerink Partners reissued an "outperform" rating and set a $1,085.00 price target on shares of McKesson in a research note on Thursday, March 5th. Wells Fargo & Company dropped their price target on McKesson from $925.00 to $812.00 and set an "equal weight" rating for the company in a research note on Tuesday, May 12th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $875.00 price objective on shares of McKesson in a research note on Friday, May 8th. Fourteen analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $968.87.

McKesson Company Profile

McKesson Corporation NYSE: MCK is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.

The company's core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.

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