TD Asset Management Inc Acquires 159,833 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• TD Asset Management Inc increased its stake in McKesson Corporation by 25.6%, owning approximately 783,405 shares valued at $527 million as of their latest SEC filing.
• Analysts have mixed ratings on McKesson; while some have downgraded it, others have raised their price targets, with the average target currently at $710.17.
• McKesson recently declared a quarterly dividend of $0.71, reflecting an annualized dividend yield of 0.40% and a payout ratio of 10.99%.

TD Asset Management Inc lifted its position in McKesson Corporation (NYSE:MCK - Free Report) by 25.6% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 783,405 shares of the company's stock after purchasing an additional 159,833 shares during the quarter. TD Asset Management Inc owned 0.63% of McKesson worth $527,224,000 at the end of the most recent quarter.

Other institutional investors also recently bought and sold shares of the company. Oppenheimer Asset Management Inc. boosted its holdings in McKesson by 54.0% during the 1st quarter. Oppenheimer Asset Management Inc. now owns 4,541 shares of the company's stock valued at $3,056,000 after acquiring an additional 1,592 shares during the period. Dynamic Advisor Solutions LLC raised its position in shares of McKesson by 16.6% in the 1st quarter. Dynamic Advisor Solutions LLC now owns 778 shares of the company's stock worth $524,000 after acquiring an additional 111 shares in the last quarter. Cambridge Investment Research Advisors Inc. raised its position in shares of McKesson by 18.9% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 23,033 shares of the company's stock worth $15,501,000 after acquiring an additional 3,659 shares in the last quarter. Wealth Enhancement Advisory Services LLC increased its position in McKesson by 4.3% during the 1st 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, CWA Asset Management Group LLC increased its position in McKesson by 6.3% during the 1st quarter. CWA Asset Management Group LLC now owns 979 shares of the company's stock valued at $659,000 after buying an additional 58 shares in the last quarter. 85.07% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several brokerages have recently weighed in on MCK. Morgan Stanley restated an "overweight" rating and set a $810.00 price target (up from $770.00) on shares of McKesson in a report on Wednesday, July 16th. UBS Group upped 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. Mizuho upped their target price on shares of McKesson from $630.00 to $690.00 and gave the stock a "neutral" rating in a research note on Thursday, April 3rd. Wells Fargo & Company set a $766.00 target price on McKesson and gave the company an "equal weight" rating in a research note on Tuesday, June 3rd. Finally, Cfra Research downgraded McKesson from a "moderate buy" rating to a "hold" rating in a report on Friday, April 4th. Three analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $710.17.

Insider Transactions at McKesson

In other McKesson 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 of the company's stock, valued at $1,811,785.92. The trade was a 53.19% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Brian S. Tyler sold 19,371 shares of the business's stock in a transaction that occurred on Friday, July 11th. The stock was sold at an average price of $708.09, for a total value of $13,716,411.39. Following the sale, 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 ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 52,488 shares of company stock valued at $37,242,862. 0.08% of the stock is owned by insiders.

McKesson Trading Down 0.0%

NYSE MCK traded down $0.32 on Wednesday, hitting $711.84. 320,112 shares of the company traded hands, compared to its average volume of 872,806. The company has a market capitalization of $89.06 billion, a price-to-earnings ratio of 27.56, a P/E/G ratio of 1.43 and a beta of 0.48. The business's 50 day moving average price is $717.32 and its 200-day moving average price is $673.84. 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 posted its quarterly earnings results on Thursday, May 8th. The company reported $10.12 EPS for the quarter, beating analysts' consensus estimates of $9.83 by $0.29. The business had revenue of $90.82 billion for the quarter, compared to analysts' expectations of $94 billion. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The business's quarterly revenue was up 18.9% on a year-over-year basis. During the same period last year, the firm earned $6.18 earnings per share. As a group, sell-side analysts predict that McKesson Corporation will post 32.77 earnings per share for the current 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 represents a $3.28 annualized dividend and a dividend yield of 0.46%. This is a boost from McKesson's previous quarterly dividend of $0.71. McKesson's payout ratio is 10.99%.

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.