McKesson Co. (NYSE:MCK) Given Average Recommendation of "Moderate Buy" by Brokerages

Shares of McKesson Co. (NYSE:MCK - Get Free Report) have earned a consensus rating of "Moderate Buy" from the fifteen brokerages that are presently covering the company, MarketBeat.com reports. Three investment analysts have rated the stock with a hold recommendation, eleven have issued a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month target price among analysts that have updated their coverage on the stock in the last year is $686.69.

Several research analysts have weighed in on the company. Bank of America boosted their price target on McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a research report on Friday, May 9th. Wells Fargo & Company boosted their price target on McKesson from $641.00 to $691.00 and gave the stock an "equal weight" rating in a research report on Friday, March 14th. Morgan Stanley boosted their price target on McKesson from $642.00 to $745.00 and gave the stock an "overweight" rating in a research report on Wednesday, April 2nd. Mizuho boosted their price target on McKesson from $630.00 to $690.00 and gave the stock a "neutral" rating in a research report on Thursday, April 3rd. Finally, UBS Group boosted their price target on McKesson from $708.00 to $805.00 and gave the stock a "buy" rating in a research report on Tuesday, April 29th.

Insider Activity at McKesson

In related news, CAO Napoleon B. Rutledge, Jr. sold 543 shares of the business's stock in a transaction on Monday, May 19th. The stock was sold at an average price of $726.51, for a total value of $394,494.93. Following the completion of the sale, the chief accounting officer now directly owns 1,972 shares in the company, valued at $1,432,677.72. The trade was a 21.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Britt J. Vitalone sold 6,336 shares of the business's stock in a transaction on Thursday, May 22nd. The shares were sold at an average price of $717.30, for a total value of $4,544,812.80. Following the completion of the sale, the chief financial officer now owns 14,760 shares of the company's stock, valued at $10,587,348. This trade represents a 30.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 8,127 shares of company stock worth $5,834,498 in the last ninety days. 0.11% of the stock is owned by company insiders.

Institutional Trading of McKesson

A number of institutional investors have recently modified their holdings of MCK. Capital A Wealth Management LLC bought a new stake in shares of McKesson during the 4th quarter valued at $26,000. Millstone Evans Group LLC bought a new stake in shares of McKesson during the 4th quarter valued at $28,000. Bank of Jackson Hole Trust lifted its position in shares of McKesson by 64.3% during the 1st quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock valued at $29,000 after acquiring an additional 18 shares during the period. CBIZ Investment Advisory Services LLC lifted its position 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 acquiring an additional 41 shares during the period. Finally, Synergy Asset Management LLC acquired a new position in shares of McKesson during the 4th quarter worth $32,000. 85.07% of the stock is currently owned by institutional investors.

McKesson Stock Performance

McKesson stock traded up $3.77 during midday trading on Monday, reaching $719.86. The stock had a trading volume of 814,448 shares, compared to its average volume of 919,027. The firm's fifty day simple moving average is $690.91 and its 200-day simple moving average is $635.19. McKesson has a 1-year low of $464.42 and a 1-year high of $731.00. The stock has a market capitalization of $90.06 billion, a P/E ratio of 32.96, a price-to-earnings-growth ratio of 1.29 and a beta of 0.53.

McKesson (NYSE:MCK - Get Free Report) last announced its earnings results on Thursday, May 8th. The company reported $10.12 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $9.83 by $0.29. McKesson had a negative return on equity of 181.26% and a net margin of 0.82%. The business had revenue of $90.82 billion for the quarter, compared to analyst estimates of $94 billion. During the same quarter last year, the firm earned $6.18 EPS. McKesson's revenue for the quarter was up 18.9% compared to the same quarter last year. On average, sell-side analysts anticipate that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Announces Dividend

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

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.