McKesson Corporation $MCK Shares Sold by Parkman Healthcare Partners LLC

Key Points

• Parkman Healthcare Partners LLC has reduced its stake in McKesson Corporation by 3.9%, now holding $14.87 million worth of shares.
• McKesson recently announced an increase in its quarterly dividend to $0.82, marking a boost from the previous dividend of $0.71, with a dividend yield of 0.5%.
• Analysts have been optimistic about McKesson, with several maintaining or adjusting target prices upwards, noting an average target of $725.10.

Parkman Healthcare Partners LLC lowered its position in McKesson Corporation (NYSE:MCK - Free Report) by 3.9% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 22,101 shares of the company's stock after selling 899 shares during the period. McKesson comprises approximately 1.8% of Parkman Healthcare Partners LLC's holdings, making the stock its 20th largest position. Parkman Healthcare Partners LLC's holdings in McKesson were worth $14,874,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. Oppenheimer Asset Management Inc. increased its holdings in McKesson by 54.0% in the first quarter. Oppenheimer Asset Management Inc. now owns 4,541 shares of the company's stock valued at $3,056,000 after buying an additional 1,592 shares in the last quarter. Dynamic Advisor Solutions LLC increased its holdings in McKesson by 16.6% in the first quarter. Dynamic Advisor Solutions LLC now owns 778 shares of the company's stock valued at $524,000 after buying an additional 111 shares in the last quarter. Cambridge Investment Research Advisors Inc. increased its holdings in McKesson by 18.9% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 23,033 shares of the company's stock valued at $15,501,000 after buying an additional 3,659 shares in the last quarter. Wealth Enhancement Advisory Services LLC increased its holdings in McKesson by 4.3% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 183,258 shares of the company's stock valued at $123,332,000 after buying an additional 7,556 shares in the last quarter. Finally, LPL Financial LLC increased its holdings in McKesson by 12.8% in the first quarter. LPL Financial LLC now owns 155,946 shares of the company's stock valued at $104,950,000 after buying an additional 17,750 shares in the last quarter. Institutional investors and hedge funds own 85.07% of the company's stock.

Analysts Set New Price Targets

MCK has been the subject of a number of research analyst reports. Wall Street Zen cut shares of McKesson from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Wells Fargo & Company boosted their price objective on shares of McKesson from $766.00 to $772.00 and gave the stock an "equal weight" rating in a research report on Wednesday, August 13th. Morgan Stanley restated an "overweight" rating and set a $810.00 target price (up from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Evercore ISI raised their target price on shares of McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. Finally, Cowen reiterated a "buy" rating on shares of McKesson in a research report on Thursday, August 7th. One 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 price target of $725.10.

Insider Activity at McKesson

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the company's stock in a transaction that occurred 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 transaction, the chief accounting officer owned 657 shares of the company's stock, valued at approximately $436,031.19. This represents a 33.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Brian S. Tyler sold 19,371 shares of the company's stock in a transaction that occurred on Friday, July 11th. The shares were 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. The trade was a 41.00% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 43,560 shares of company stock worth $30,438,602 in the last three months. Insiders own 0.08% of the company's stock.

McKesson Trading Up 1.2%

Shares of MCK stock traded up $8.20 during trading hours on Tuesday, hitting $705.18. The company's stock had a trading volume of 679,798 shares, compared to its average volume of 755,074. The business has a fifty day moving average of $697.98 and a 200-day moving average of $692.52. The stock has a market cap of $87.71 billion, a price-to-earnings ratio of 28.12, a P/E/G ratio of 1.39 and a beta of 0.51. McKesson Corporation has a twelve month low of $464.42 and a twelve month high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The company reported $8.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $8.33 by ($0.07). The firm had revenue of $97.83 billion for the quarter, compared to analysts' expectations of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The business's quarterly revenue was up 23.4% on a year-over-year basis. During the same period in the previous year, the company posted $7.88 EPS. On average, equities analysts expect that McKesson Corporation will post 32.77 EPS for the current fiscal 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 paid a dividend of $0.82 per share. 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 dividend yield of 0.5%. McKesson's payout ratio is currently 13.08%.

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.