Leerink Partnrs Brokers Lift Earnings Estimates for McKesson Co. (NYSE:MCK)

McKesson Co. (NYSE:MCK - Free Report) - Investment analysts at Leerink Partnrs increased their Q1 2025 earnings per share (EPS) estimates for McKesson in a note issued to investors on Tuesday, May 7th. Leerink Partnrs analyst M. Cherny now expects that the company will post earnings per share of $7.18 for the quarter, up from their prior estimate of $7.04. Leerink Partnrs currently has a "Outperform" rating on the stock. The consensus estimate for McKesson's current full-year earnings is $27.59 per share. Leerink Partnrs also issued estimates for McKesson's Q2 2025 earnings at $7.77 EPS, Q3 2025 earnings at $8.50 EPS and FY2025 earnings at $31.94 EPS.

Several other analysts also recently commented on the stock. Argus raised their price objective on shares of McKesson from $510.00 to $570.00 and gave the stock a "buy" rating in a research report on Wednesday, April 10th. StockNews.com upgraded shares of McKesson from a "buy" rating to a "strong-buy" rating in a report on Saturday, May 4th. Wells Fargo & Company upped their price objective on shares of McKesson from $502.00 to $551.00 and gave the company an "equal weight" rating in a report on Thursday. Deutsche Bank Aktiengesellschaft reduced their target price on McKesson from $547.00 to $545.00 and set a "buy" rating for the company in a research note on Thursday. Finally, TD Cowen upped their price target on McKesson from $563.00 to $652.00 and gave the stock a "buy" rating in a research note on Wednesday. Two research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $571.47.

McKesson Trading Up 2.1 %

NYSE MCK traded up $11.51 during trading hours on Thursday, hitting $555.12. 969,156 shares of the company's stock were exchanged, compared to its average volume of 716,168. The firm has a market cap of $72.95 billion, a price-to-earnings ratio of 24.80, a PEG ratio of 1.41 and a beta of 0.45. The stock has a 50-day simple moving average of $531.56 and a 200 day simple moving average of $494.15. McKesson has a 1-year low of $373.28 and a 1-year high of $566.01.

McKesson (NYSE:MCK - Get Free Report) last issued its quarterly earnings results on Tuesday, May 7th. The company reported $6.18 EPS for the quarter, missing analysts' consensus estimates of $6.34 by ($0.16). McKesson had a net margin of 0.99% and a negative return on equity of 262.63%. The firm had revenue of $76.36 billion for the quarter, compared to the consensus estimate of $79.32 billion. During the same period last year, the company posted $7.19 EPS. The business's revenue was up 10.8% compared to the same quarter last year.

Hedge Funds Weigh In On McKesson

Several hedge funds have recently made changes to their positions in MCK. OFI Invest Asset Management purchased a new position in shares of McKesson in the third quarter valued at $26,000. Sachetta LLC purchased a new position in shares of McKesson in the fourth quarter valued at $27,000. Register Financial Advisors LLC purchased a new position in shares of McKesson in the first quarter valued at $29,000. BKM Wealth Management LLC purchased a new position in shares of McKesson in the fourth quarter valued at $31,000. Finally, Richardson Financial Services Inc. purchased a new position in shares of McKesson in the fourth quarter valued at $31,000. 85.07% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, CEO Brian S. Tyler sold 3,473 shares of McKesson stock in a transaction on Friday, March 15th. The stock was sold at an average price of $524.55, for a total transaction of $1,821,762.15. Following the sale, the chief executive officer now directly owns 43,445 shares in the company, valued at $22,789,074.75. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other McKesson news, CEO Brian S. Tyler sold 3,473 shares of the firm's stock in a transaction on Friday, March 15th. The stock was sold at an average price of $524.55, for a total value of $1,821,762.15. Following the completion of the sale, the chief executive officer now directly owns 43,445 shares of the company's stock, valued at $22,789,074.75. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Leann B. Smith sold 186 shares of the firm's stock in a transaction on Tuesday, February 13th. The stock was sold at an average price of $496.00, for a total value of $92,256.00. Following the completion of the sale, the executive vice president now directly owns 1,511 shares of the company's stock, valued at $749,456. The disclosure for this sale can be found here. 0.21% of the stock is currently owned by corporate insiders.

McKesson Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, July 1st. Investors of record on Monday, June 3rd will be issued a dividend of $0.62 per share. The ex-dividend date is Friday, May 31st. This represents a $2.48 dividend on an annualized basis and a yield of 0.45%. McKesson's dividend payout ratio (DPR) is currently 11.08%.

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.