Red Cedar Investment Management LLC Takes $867,000 Position in McKesson Corporation (NYSE:MCK)

Red Cedar Investment Management LLC bought a new stake in shares of McKesson Corporation (NYSE:MCK - Free Report) in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 1,289 shares of the company's stock, valued at approximately $867,000.

A number of other institutional investors have also recently added to or reduced their stakes in the stock. Capital A Wealth Management LLC bought a new position in shares of McKesson during the fourth quarter worth about $26,000. Millstone Evans Group LLC bought a new position in McKesson in the 4th quarter worth about $28,000. Atala Financial Inc bought a new position in McKesson in the 4th quarter worth about $34,000. Graney & King LLC bought a new position in McKesson in the 4th quarter worth approximately $38,000. Finally, CoreFirst Bank & Trust bought a new position in McKesson in the 4th quarter worth approximately $67,000. 85.07% of the stock is currently owned by institutional investors.

McKesson Stock Performance

Shares of NYSE:MCK opened at $725.99 on Monday. The stock has a market capitalization of $90.83 billion, a price-to-earnings ratio of 28.11, a PEG ratio of 1.45 and a beta of 0.49. The company has a 50 day moving average price of $711.19 and a 200 day moving average price of $653.10. McKesson Corporation has a 1-year low of $464.42 and a 1-year high of $736.36.

McKesson (NYSE:MCK - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The company reported $10.12 earnings per share for the quarter, topping the consensus estimate of $9.83 by $0.29. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The business had revenue of $90.82 billion during the quarter, compared to analyst estimates of $94 billion. During the same period last year, the company posted $6.18 EPS. The company's revenue was up 18.9% compared to the same quarter last year. On average, sell-side analysts expect that McKesson Corporation will post 32.77 EPS for the current fiscal year.

McKesson Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 1st. Shareholders of record on Monday, June 2nd will be given a dividend of $0.71 per share. The ex-dividend date is Monday, June 2nd. This represents a $2.84 dividend on an annualized basis and a yield of 0.39%. McKesson's payout ratio is presently 10.99%.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on MCK. Cfra Research cut McKesson from a "moderate buy" rating to a "hold" rating in a research note on Friday, April 4th. Wall Street Zen raised McKesson from a "buy" rating to a "strong-buy" rating in a research note on Friday. Bank of America increased their target price on shares of McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research report on Friday, May 9th. Mizuho increased their target price on shares of McKesson from $630.00 to $690.00 and gave the company a "neutral" rating in a research report on Thursday, April 3rd. Finally, Morgan Stanley increased their price objective on shares of McKesson from $745.00 to $770.00 and gave the company an "overweight" rating in a report on Wednesday, June 11th. Three investment analysts have rated the stock with a hold rating, ten have issued a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat.com, McKesson currently has an average rating of "Moderate Buy" and an average target price of $696.42.

Insiders Place Their Bets

In other McKesson news, EVP Leann B. Smith sold 341 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 transaction of $244,807.31. Following the completion of the sale, the executive vice president now owns 2,800 shares of the company's stock, valued at $2,010,148. This trade represents a 10.86% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CAO Napoleon B. Rutledge, Jr. sold 543 shares of McKesson stock in a transaction on Monday, May 19th. The shares were sold at an average price of $726.51, for a total transaction of $394,494.93. Following the sale, the chief accounting officer now directly owns 1,972 shares of the company's stock, valued at $1,432,677.72. This trade represents a 21.59% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 33,117 shares of company stock worth $23,526,451. 0.08% of the stock is currently owned by company 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.

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