Rathbones Group PLC Buys 24,962 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• Rathbones Group PLC increased its stake in McKesson Corporation by 89.6%, owning a total of 52,826 shares worth approximately $35.55 million after acquiring an additional 24,962 shares in the first quarter.
• CEO Brian S. Tyler sold 19,371 shares at an average price of $708.09, resulting in a 41% reduction of his ownership, while insiders sold a total of 52,817 shares valued at over $37 million last quarter.
• McKesson declared a quarterly dividend of $0.82 per share, an increase from the previous dividend of $0.71, with the new dividend set to be paid on October 1st.

Rathbones Group PLC boosted its holdings in McKesson Corporation (NYSE:MCK - Free Report) by 89.6% in the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 52,826 shares of the company's stock after buying an additional 24,962 shares during the quarter. Rathbones Group PLC's holdings in McKesson were worth $35,551,000 at the end of the most recent quarter.

A number of other hedge funds have also bought and sold shares of the business. Brighton Jones LLC raised its holdings in shares of McKesson by 46.3% during the fourth quarter. Brighton Jones LLC now owns 2,523 shares of the company's stock valued at $1,438,000 after purchasing an additional 798 shares during the last quarter. Sagespring Wealth Partners LLC purchased a new stake in McKesson during the 4th quarter valued at $529,000. SageView Advisory Group LLC raised its stake in McKesson by 7.9% during the 4th quarter. SageView Advisory Group LLC now owns 1,028 shares of the company's stock valued at $586,000 after buying an additional 75 shares during the last quarter. Mariner LLC lifted its holdings in shares of McKesson by 3.8% during the 4th quarter. Mariner LLC now owns 76,579 shares of the company's stock valued at $43,644,000 after buying an additional 2,802 shares during the period. Finally, CreativeOne Wealth LLC boosted its stake in shares of McKesson by 46.2% in the 4th quarter. CreativeOne Wealth LLC now owns 9,670 shares of the company's stock worth $5,511,000 after buying an additional 3,057 shares during the last quarter. Hedge funds and other institutional investors own 85.07% of the company's stock.

Analysts Set New Price Targets

MCK has been the topic of several recent research reports. Cowen reaffirmed a "buy" rating on shares of McKesson in a research note on Thursday, August 7th. UBS Group raised their target price on shares of McKesson from $708.00 to $805.00 and gave the stock a "buy" rating in a research note on Tuesday, April 29th. Morgan Stanley reaffirmed an "overweight" rating and issued a $810.00 target price (up previously from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Evercore ISI raised their price target on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. Finally, Wall Street Zen lowered McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Three analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $719.27.

McKesson Price Performance

Shares of NYSE MCK traded down $0.96 during mid-day trading on Friday, hitting $672.86. 630,702 shares of the company's stock traded hands, compared to its average volume of 894,094. McKesson Corporation has a 1 year low of $464.42 and a 1 year high of $737.89. The company's 50-day moving average is $710.37 and its two-hundred day moving average is $681.11. The company has a market capitalization of $83.69 billion, a P/E ratio of 26.83, a PEG ratio of 1.32 and a beta of 0.50.

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 during the quarter, compared to analysts' expectations of $95.93 billion. McKesson had a negative return on equity of 196.66% and a net margin of 0.84%. McKesson's revenue for the quarter was up 23.4% compared to the same quarter last year. During the same quarter last year, the firm posted $7.88 EPS. Equities analysts anticipate that McKesson Corporation will post 32.77 EPS for the current fiscal year.

McKesson Increases Dividend

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

Insider Transactions at McKesson

In related news, EVP Thomas L. Rodgers sold 2,891 shares of the company's stock in a transaction dated Friday, May 30th. The shares were sold at an average price of $712.18, for a total transaction of $2,058,912.38. Following the transaction, the executive vice president directly owned 2,544 shares in the company, valued at approximately $1,811,785.92. This represents a 53.19% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 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 transaction of $13,716,411.39. Following the completion of the sale, 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 disclosure for this sale can be found here. In the last ninety days, insiders have sold 52,817 shares of company stock worth $37,461,210. 0.08% of the stock is currently owned by insiders.

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.