TCW Group Inc. Purchases 10,722 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• TCW Group Inc. increased its stake in McKesson Corporation by 7.4%, owning a total of 155,008 shares worth approximately $104.3 million.
• McKesson's recent quarterly earnings revealed an EPS of $10.12, surpassing analysts' expectations, while the company reported revenue of $90.82 billion.
• The company announced a quarterly dividend of $0.71 per share, resulting in an annualized dividend yield of 0.40%.

TCW Group Inc. boosted its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 7.4% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 155,008 shares of the company's stock after acquiring an additional 10,722 shares during the quarter. TCW Group Inc. owned 0.12% of McKesson worth $104,319,000 at the end of the most recent quarter.

Other institutional investors have also recently bought and sold shares of the company. Capital A Wealth Management LLC acquired a new stake in McKesson during the 4th quarter worth about $26,000. CBIZ Investment Advisory Services LLC lifted its holdings in shares of McKesson by 1,366.7% during the 1st quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock valued at $30,000 after buying an additional 41 shares during the last quarter. Cornerstone Planning Group LLC lifted its holdings in shares of McKesson by 1,840.0% during the 1st quarter. Cornerstone Planning Group LLC now owns 97 shares of the company's stock valued at $67,000 after buying an additional 92 shares during the last quarter. Johnson Financial Group Inc. acquired a new stake in shares of McKesson during the 4th quarter valued at about $76,000. Finally, Itau Unibanco Holding S.A. lifted its holdings in shares of McKesson by 350.0% during the 4th quarter. Itau Unibanco Holding S.A. now owns 144 shares of the company's stock valued at $82,000 after buying an additional 112 shares during the last quarter. 85.07% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

MCK has been the subject of several research reports. Bank of America lifted their price target on McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a report on Friday, May 9th. Mizuho lifted their price target on McKesson from $630.00 to $690.00 and gave the company a "neutral" rating in a report on Thursday, April 3rd. Cfra Research lowered McKesson from a "moderate buy" rating to a "hold" rating in a report on Friday, April 4th. UBS Group lifted their price target on McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a report on Tuesday, April 29th. Finally, Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Three investment analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $710.17.

McKesson Stock Down 2.1%

NYSE MCK traded down $14.88 during trading on Thursday, hitting $700.04. The company's stock had a trading volume of 560,607 shares, compared to its average volume of 873,760. The firm has a 50 day moving average price of $717.25 and a 200 day moving average price of $674.13. The firm has a market cap of $87.58 billion, a P/E ratio of 27.10, a price-to-earnings-growth ratio of 1.44 and a beta of 0.48. McKesson Corporation has a 52 week low of $464.42 and a 52 week high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last issued its quarterly earnings results on Thursday, May 8th. The company reported $10.12 EPS for the quarter, topping the consensus estimate of $9.83 by $0.29. The company had revenue of $90.82 billion for the quarter, compared to the consensus estimate of $94 billion. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The company's revenue for the quarter was up 18.9% on a year-over-year basis. During the same period in the previous year, the business posted $6.18 EPS. On average, equities analysts expect 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. Stockholders of record on Tuesday, September 2nd will be given a dividend of $0.82 per share. This is a boost from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 dividend on an annualized basis and a dividend yield of 0.47%. McKesson's payout ratio is currently 10.99%.

Insider Buying and Selling at McKesson

In other news, EVP Thomas L. Rodgers sold 2,891 shares of the business's stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of $712.18, for a total transaction of $2,058,912.38. Following the sale, the executive vice president directly owned 2,544 shares in the company, valued at approximately $1,811,785.92. The trade was a 53.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CAO Napoleon B. Rutledge, Jr. sold 543 shares of the business's stock in a transaction that occurred on Monday, May 19th. The shares were sold at an average price of $726.51, for a total value of $394,494.93. Following the sale, the chief accounting officer owned 1,972 shares in the company, valued at approximately $1,432,677.72. This represents a 21.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 52,488 shares of company stock valued at $37,242,862 in the last quarter. 0.08% of the stock is currently owned by corporate insiders.

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.