McKesson (NYSE:MCK) Sets New 12-Month High - Still a Buy?

McKesson Corporation (NYSE:MCK - Get Free Report)'s stock price reached a new 52-week high during trading on Friday . The company traded as high as $733.10 and last traded at $728.41, with a volume of 113869 shares trading hands. The stock had previously closed at $728.91.

Analyst Ratings Changes

Several equities analysts have issued reports on the stock. Mizuho lifted their price target on shares of McKesson from $630.00 to $690.00 and gave the stock a "neutral" rating in a report on Thursday, April 3rd. Bank of America boosted their target price on McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a research note on Friday, May 9th. Morgan Stanley increased their price target on McKesson from $745.00 to $770.00 and gave the company an "overweight" rating in a research note on Wednesday, June 11th. Wall Street Zen lowered McKesson from a "strong-buy" rating to a "buy" rating in a research note on Saturday, June 14th. Finally, Cfra Research downgraded shares of McKesson from a "moderate buy" rating to a "hold" rating in a report on Friday, April 4th. Three research analysts have rated the stock with a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $694.38.

McKesson Trading Down 0.1%

The firm has a market capitalization of $91.11 billion, a PE ratio of 28.22, a P/E/G ratio of 1.46 and a beta of 0.49. The firm's fifty day moving average price is $707.81 and its 200 day moving average price is $647.13.

McKesson (NYSE:MCK - Get Free Report) last announced its quarterly earnings results 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. 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 firm's revenue for the quarter was up 18.9% compared to the same quarter last year. During the same period last year, the firm earned $6.18 EPS. On average, analysts predict that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Dividend Announcement

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

Insider Buying and Selling at McKesson

In other McKesson news, EVP Leann B. Smith sold 1,248 shares of the stock in a transaction that occurred on Thursday, May 22nd. The stock was sold at an average price of $717.30, for a total transaction of $895,190.40. Following the transaction, the executive vice president now owns 2,621 shares in the company, valued at approximately $1,880,043.30. This represents a 32.26% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Thomas L. Rodgers sold 510 shares of the business's stock in a transaction that occurred on Wednesday, May 28th. The shares were sold at an average price of $717.91, for a total value of $366,134.10. Following the completion of the sale, the executive vice president now owns 5,435 shares of the company's stock, valued at $3,901,840.85. This trade represents a 8.58% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 33,117 shares of company stock valued at $23,526,451. Corporate insiders own 0.11% of the company's stock.

Institutional Trading of McKesson

Institutional investors have recently modified their holdings of the stock. CVA Family Office LLC increased its stake in McKesson by 6.0% during the 1st quarter. CVA Family Office LLC now owns 265 shares of the company's stock worth $178,000 after buying an additional 15 shares in the last quarter. Palisade Asset Management LLC increased its position in shares of McKesson by 2.1% during the first quarter. Palisade Asset Management LLC now owns 715 shares of the company's stock worth $481,000 after purchasing an additional 15 shares in the last quarter. SteelPeak Wealth LLC raised its stake in McKesson by 0.5% in the 1st quarter. SteelPeak Wealth LLC now owns 2,771 shares of the company's stock valued at $1,867,000 after purchasing an additional 15 shares during the last quarter. Parallel Advisors LLC lifted its holdings in McKesson by 0.6% in the 1st quarter. Parallel Advisors LLC now owns 2,501 shares of the company's stock valued at $1,683,000 after purchasing an additional 16 shares in the last quarter. Finally, Frank Rimerman Advisors LLC boosted its stake in McKesson by 2.2% during the 4th quarter. Frank Rimerman Advisors LLC now owns 807 shares of the company's stock worth $460,000 after purchasing an additional 17 shares during the last quarter. Institutional investors and hedge funds own 85.07% of the company's stock.

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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