MUFG Securities EMEA plc Acquires Shares of 3,000 McKesson Corporation (NYSE:MCK)

Key Points

• MUFG Securities EMEA plc has invested approximately $2.02 million in McKesson Corporation by purchasing 3,000 shares, marking a new position for the institutional investor.
• McKesson Corporation's quarterly earnings report revealed $8.26 earnings per share, which fell short of the analysts' expectations of $8.33, despite revenue rising to $97.83 billion.
• The company has announced a quarterly dividend increase to $0.82 per share, up from the previous $0.71, reflecting a positive change in its dividend policy.

MUFG Securities EMEA plc bought a new stake in McKesson Corporation (NYSE:MCK - Free Report) in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 3,000 shares of the company's stock, valued at approximately $2,019,000.

A number of other large investors have also recently made changes to their positions in the company. T. Rowe Price Investment Management Inc. boosted its position in shares of McKesson by 8.5% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 2,847,385 shares of the company's stock valued at $1,622,754,000 after purchasing an additional 222,496 shares during the period. GAMMA Investing LLC boosted its position in shares of McKesson by 75,632.7% in the 1st 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 period. Northern Trust Corp raised its stake in McKesson by 9.0% during the 4th quarter. Northern Trust Corp now owns 1,532,203 shares of the company's stock valued at $873,218,000 after acquiring an additional 126,940 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in McKesson by 9.5% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,103,050 shares of the company's stock valued at $628,639,000 after acquiring an additional 95,806 shares during the last quarter. Finally, AQR Capital Management LLC raised its stake in McKesson by 9.2% during the 4th quarter. AQR Capital Management LLC now owns 922,180 shares of the company's stock valued at $525,560,000 after acquiring an additional 77,344 shares during the last quarter. 85.07% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at McKesson

In other news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the firm's stock in a transaction on Friday, August 8th. The stock was sold at an average price of $663.67, for a total transaction of $218,347.43. Following the sale, the chief accounting officer owned 657 shares in the company, valued at $436,031.19. This trade represents a 33.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Britt J. Vitalone sold 1,878 shares of McKesson stock in a transaction 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 completion of the transaction, the chief financial officer owned 14,028 shares in the company, valued at $10,070,841.48. The trade was a 11.81% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 52,817 shares of company stock valued at $37,461,210. 0.08% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

Several analysts have commented on MCK shares. Evercore ISI upped their price objective on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Bank of America upped their price objective on McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Morgan Stanley reaffirmed an "overweight" rating and set a $810.00 price objective (up from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Finally, Wells Fargo & Company set a $766.00 price objective on McKesson and gave the company an "equal weight" rating in a research note on Tuesday, June 3rd. Three analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $718.73.

McKesson Price Performance

NYSE:MCK traded down $13.99 during trading hours on Tuesday, reaching $658.78. 1,644,064 shares of the company traded hands, compared to its average volume of 899,068. The firm's 50-day moving average is $713.17 and its 200-day moving average is $680.90. The stock has a market cap of $81.94 billion, a P/E ratio of 26.27, a P/E/G ratio of 1.32 and a beta of 0.50. McKesson Corporation has a 1-year low of $464.42 and a 1-year high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last announced its earnings results on Wednesday, August 6th. The company reported $8.26 EPS for the quarter, missing analysts' consensus estimates of $8.33 by ($0.07). The company had revenue of $97.83 billion for the quarter, compared to analyst estimates of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. McKesson's quarterly revenue was up 23.4% compared to the same quarter last year. During the same quarter last year, the company posted $7.88 EPS. As a group, research analysts predict that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd will be issued a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a dividend yield of 0.5%. This is a positive change from McKesson's previous quarterly dividend of $0.71. The ex-dividend date is Tuesday, September 2nd. McKesson's payout ratio is 11.32%.

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.