McKesson Corporation $MCK Stake Lowered by Northwestern Mutual Wealth Management Co.

Key Points

• Northwestern Mutual Wealth Management Co. reduced its holdings in McKesson Corporation by 12.9%, selling 1,333 shares, and now owns 9,008 shares worth approximately $6,062,000.
• McKesson has announced an increase in its quarterly dividend to $0.82 per share, up from $0.71, with the ex-dividend date set for September 2nd.
• The company reported $8.26 EPS for the quarter, falling slightly short of analysts' expectations, but revenue grew by 23.4% year-over-year to reach $97.83 billion.

Northwestern Mutual Wealth Management Co. cut its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 12.9% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 9,008 shares of the company's stock after selling 1,333 shares during the quarter. Northwestern Mutual Wealth Management Co.'s holdings in McKesson were worth $6,062,000 at the end of the most recent reporting period.

Other hedge funds have also recently modified their holdings of the company. GAMMA Investing LLC raised its position in shares of McKesson by 75,632.7% during the 1st quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company's stock worth $1,610,567,000 after purchasing an additional 2,389,992 shares during the last quarter. Northern Trust Corp grew its holdings in shares of McKesson by 0.7% during the 1st quarter. Northern Trust Corp now owns 1,542,382 shares of the company's stock worth $1,038,008,000 after purchasing an additional 10,179 shares during the period. Boston Partners raised its stake in shares of McKesson by 33.3% in the 1st quarter. Boston Partners now owns 1,461,785 shares of the company's stock valued at $984,927,000 after acquiring an additional 365,484 shares during the period. Price T Rowe Associates Inc. MD lifted its stake in McKesson by 9.1% during the first quarter. Price T Rowe Associates Inc. MD now owns 1,290,116 shares of the company's stock worth $868,237,000 after purchasing an additional 107,638 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings 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 period. Hedge funds and other institutional investors own 85.07% of the company's stock.

Insider Buying and Selling

In related news, CEO Brian S. Tyler sold 19,371 shares of the firm's stock in a transaction on Friday, July 11th. The stock was sold at an average price of $708.09, for a total transaction of $13,716,411.39. Following the transaction, the chief executive officer directly owned 27,872 shares in the company, valued at $19,735,884.48. This trade represents a 41.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the business's stock in a transaction on Friday, August 8th. The shares were 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 of the company's stock, valued at approximately $436,031.19. The trade was a 33.37% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 62,930 shares of company stock worth $44,112,466. 0.08% of the stock is currently owned by company insiders.

McKesson Trading Up 0.8%

Shares of MCK traded up $5.42 during midday trading on Monday, reaching $686.44. 880,317 shares of the company were exchanged, compared to its average volume of 980,199. McKesson Corporation has a 1-year low of $464.42 and a 1-year high of $737.89. The company has a market cap of $85.38 billion, a price-to-earnings ratio of 27.37, a P/E/G ratio of 1.37 and a beta of 0.51. The stock has a 50-day moving average price of $702.44 and a 200-day moving average price of $688.57.

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

McKesson Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be issued a $0.82 dividend. This is an increase from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Tuesday, September 2nd. McKesson's dividend payout ratio is presently 13.08%.

Analysts Set New Price Targets

A number of brokerages have recently commented on MCK. Wells Fargo & Company boosted their price objective on McKesson from $766.00 to $772.00 and gave the stock an "equal weight" rating in a research report on Wednesday, August 13th. Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Cowen reaffirmed a "buy" rating on shares of McKesson in a report on Thursday, August 7th. Evercore ISI lifted their price objective on shares of McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research report on Wednesday, July 9th. Finally, Bank of America lifted their price target on McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $725.10.

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.