Neuberger Berman Group LLC Has $84.32 Million Holdings in McKesson Corporation (NYSE:MCK)

Key Points

• Neuberger Berman Group LLC increased its holdings in McKesson Corporation by 98.6% in the first quarter, now owning approximately 0.10% of the company worth $84.32 million.
• Significant insider transactions occurred, with EVP Leann B. Smith and CEO Brian S. Tyler selling shares, leading to ownership decreases of 32.26% and 41.00%, respectively.
• McKesson announced a quarterly dividend increase to $0.82, up from $0.71, reflecting a positive change and resulting in a 0.5% yield for shareholders.

Neuberger Berman Group LLC raised its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 98.6% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 125,294 shares of the company's stock after buying an additional 62,201 shares during the quarter. Neuberger Berman Group LLC owned about 0.10% of McKesson worth $84,322,000 as of its most recent SEC filing.

Other large investors also recently modified their holdings of the company. CVA Family Office LLC increased its position in shares of McKesson by 6.0% during the first quarter. CVA Family Office LLC now owns 265 shares of the company's stock valued at $178,000 after purchasing an additional 15 shares during the period. Palisade Asset Management LLC increased its position in shares of McKesson by 2.1% during the first quarter. Palisade Asset Management LLC now owns 715 shares of the company's stock valued at $481,000 after purchasing an additional 15 shares during the period. SteelPeak Wealth LLC increased its position in shares of McKesson by 0.5% during the first quarter. SteelPeak Wealth LLC now owns 2,771 shares of the company's stock valued at $1,867,000 after purchasing an additional 15 shares during the period. Parallel Advisors LLC increased its position in shares of McKesson by 0.6% during the first quarter. Parallel Advisors LLC now owns 2,501 shares of the company's stock valued at $1,683,000 after purchasing an additional 16 shares during the period. Finally, Eagle Rock Investment Company LLC grew its position in McKesson by 0.4% in the first quarter. Eagle Rock Investment Company LLC now owns 4,798 shares of the company's stock valued at $3,229,000 after acquiring an additional 17 shares during the period. 85.07% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at McKesson

In other McKesson news, EVP Leann B. Smith sold 1,248 shares of the stock in a transaction dated Thursday, May 22nd. The stock was sold at an average price of $717.30, for a total value of $895,190.40. Following the completion of the sale, the executive vice president directly owned 2,621 shares in the company, valued at $1,880,043.30. This represents a 32.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Brian S. Tyler sold 19,371 shares of the stock in a transaction dated Friday, July 11th. The stock was sold at an average price of $708.09, for a total value of $13,716,411.39. Following the completion of the sale, the chief executive officer owned 27,872 shares of the company's stock, valued at $19,735,884.48. This trade represents a 41.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 52,817 shares of company stock valued at $37,461,210. Corporate insiders own 0.08% of the company's stock.

Analysts Set New Price Targets

A number of analysts have weighed in on MCK shares. Wells Fargo & Company upped their price target on McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a research report on Wednesday. UBS Group upped their price target on McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a research report on Tuesday, April 29th. Cowen reiterated a "buy" rating on shares of McKesson in a research report on Thursday, August 7th. Evercore ISI upped their price target on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research report on Wednesday, July 9th. Finally, Morgan Stanley reiterated an "overweight" rating and issued a $810.00 price target (up from $770.00) on shares of McKesson in a research report on Wednesday, July 16th. Three research analysts have rated the stock with a hold rating, eleven have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $719.27.

McKesson Stock Up 0.6%

Shares of MCK opened at $662.79 on Thursday. McKesson Corporation has a 12-month low of $464.42 and a 12-month high of $737.89. The firm has a market capitalization of $82.44 billion, a PE ratio of 26.43, a price-to-earnings-growth ratio of 1.31 and a beta of 0.50. The stock's fifty day simple moving average is $711.09 and its 200-day simple moving average is $680.62.

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

McKesson Increases Dividend

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

McKesson Company 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.

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