Wealth Enhancement Advisory Services LLC Acquires 2,530 Shares of McKesson Corporation $MCK

Key Points

• Wealth Enhancement Advisory Services LLC increased its stake in McKesson Corporation by 1.4%, acquiring an additional 2,530 shares in the second quarter, bringing its total ownership to 185,788 shares valued at approximately $133.6 million.
• McKesson reported a quarterly earnings miss with $8.26 earnings per share, falling short of the consensus estimate of $8.33, although its revenue was up 23.4% year-over-year at $97.83 billion.
• The company announced a quarterly dividend increase from $0.71 to $0.82 per share, set to be paid on October 1st, highlighting a positive shift in its dividend strategy.

Wealth Enhancement Advisory Services LLC grew its position in shares of McKesson Corporation (NYSE:MCK - Free Report) by 1.4% in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 185,788 shares of the company's stock after acquiring an additional 2,530 shares during the quarter. Wealth Enhancement Advisory Services LLC owned 0.15% of McKesson worth $133,637,000 at the end of the most recent reporting period.

Other large investors also recently made changes to their positions in the company. Capital A Wealth Management LLC acquired a new stake in shares of McKesson in the 4th quarter valued at approximately $26,000. Bank of Jackson Hole Trust boosted its holdings in shares of McKesson by 64.3% in the 1st quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock valued at $29,000 after buying an additional 18 shares during the last quarter. CBIZ Investment Advisory Services LLC boosted its holdings in shares of McKesson by 1,366.7% in 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. Saudi Central Bank acquired a new stake in shares of McKesson in the 1st quarter valued at approximately $34,000. Finally, Flaharty Asset Management LLC acquired a new stake in shares of McKesson in the 1st quarter valued at approximately $39,000. Institutional investors and hedge funds own 85.07% of the company's stock.

Insider Buying and Selling at McKesson

In other news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the stock in a transaction on Friday, August 8th. The stock was sold at an average price of $663.67, for a total transaction of $218,347.43. Following the sale, the chief accounting officer directly owned 657 shares of the company's stock, valued at approximately $436,031.19. This represents a 33.37% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Brian S. Tyler sold 11,930 shares of the firm's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $705.63, for a total value of $8,418,165.90. Following the completion of the sale, the chief executive officer directly owned 4,012 shares in the company, valued at $2,830,987.56. This trade represents a 74.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 43,560 shares of company stock worth $30,438,602. 0.08% of the stock is currently owned by insiders.

McKesson Trading Down 0.2%

MCK stock traded down $1.26 during trading hours on Monday, hitting $697.05. 583,806 shares of the stock were exchanged, compared to its average volume of 678,052. The firm has a market capitalization of $86.70 billion, a P/E ratio of 27.79, a P/E/G ratio of 1.39 and a beta of 0.51. The company has a 50-day simple moving average of $694.76 and a two-hundred day simple moving average of $697.18. McKesson Corporation has a 12 month low of $464.42 and a 12 month high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last released its earnings results 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 company had revenue of $97.83 billion for the quarter, compared to analyst estimates of $95.93 billion. McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The business's revenue for the quarter was up 23.4% compared to the same quarter last year. During the same period last year, the company posted $7.88 earnings per share. On average, equities research analysts predict that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The business 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 dividend of $0.82 per share. This is an increase from McKesson's previous quarterly dividend of $0.71. The ex-dividend date of this dividend is Tuesday, September 2nd. This represents a $3.28 annualized dividend and a dividend yield of 0.5%. McKesson's payout ratio is currently 13.08%.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on MCK shares. Morgan Stanley reissued an "overweight" rating and issued a $810.00 price objective (up previously from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Cowen restated a "buy" rating on shares of McKesson in a research note on Thursday, August 7th. Wall Street Zen cut McKesson from a "buy" rating to a "hold" rating in a research note on Saturday. Wells Fargo & Company increased their price target on McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 13th. Finally, Evercore ISI increased their price target on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $725.10.

About McKesson

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.