McKesson Co. (NYSE:MCK) announced a quarterly dividend on Wednesday, July 29th, RTT News reports. Stockholders of record on Tuesday, September 1st will be given a dividend of 0.42 per share on Thursday, October 1st. This represents a $1.68 dividend on an annualized basis and a dividend yield of 1.09%. This is a positive change from McKesson’s previous quarterly dividend of $0.41.
McKesson has raised its dividend payment by an average of 42.9% per year over the last three years and has increased its dividend annually for the last 7 consecutive years. McKesson has a payout ratio of 11.0% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect McKesson to earn $16.63 per share next year, which means the company should continue to be able to cover its $1.64 annual dividend with an expected future payout ratio of 9.9%.
NYSE:MCK opened at $153.61 on Friday. The firm’s 50-day moving average price is $151.76 and its 200-day moving average price is $146.70. The company has a market capitalization of $25.24 billion, a PE ratio of 10.39, a P/E/G ratio of 1.77 and a beta of 0.84. The company has a debt-to-equity ratio of 1.51, a current ratio of 0.99 and a quick ratio of 0.60. McKesson has a 1-year low of $112.60 and a 1-year high of $172.18.
McKesson (NYSE:MCK) last released its earnings results on Wednesday, May 20th. The company reported $4.27 earnings per share for the quarter, topping the Zacks’ consensus estimate of $4.10 by $0.17. The firm had revenue of $58.54 billion for the quarter, compared to the consensus estimate of $55.60 billion. McKesson had a net margin of 0.39% and a return on equity of 41.07%. The company’s revenue was up 11.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $3.69 EPS. Equities analysts anticipate that McKesson will post 14.36 EPS for the current fiscal year.
Several analysts recently commented on MCK shares. Cfra cut their price objective on shares of McKesson from $179.00 to $171.00 and set a “buy” rating on the stock in a research report on Wednesday, May 20th. TheStreet raised shares of McKesson from a “c” rating to a “b” rating in a research report on Wednesday, May 20th. UBS Group raised their price target on shares of McKesson from $160.00 to $165.00 and gave the company a “buy” rating in a report on Tuesday, May 26th. Deutsche Bank dropped their price target on shares of McKesson from $173.00 to $169.00 and set a “hold” rating on the stock in a report on Thursday, May 21st. Finally, ValuEngine downgraded shares of McKesson from a “sell” rating to a “strong sell” rating in a report on Friday, May 1st. Two analysts have rated the stock with a sell rating, five have given a hold rating and ten have assigned a buy rating to the company. The stock currently has a consensus rating of “Hold” and an average target price of $171.93.
In related news, EVP Lori A. Schechter sold 5,488 shares of the firm’s stock in a transaction on Monday, June 1st. The shares were sold at an average price of $160.00, for a total value of $878,080.00. Following the completion of the transaction, the executive vice president now directly owns 11,397 shares of the company’s stock, valued at $1,823,520. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, CFO Britt J. Vitalone sold 1,034 shares of the firm’s stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $149.60, for a total transaction of $154,686.40. Following the completion of the transaction, the chief financial officer now directly owns 1,048 shares of the company’s stock, valued at $156,780.80. The disclosure for this sale can be found here. In the last quarter, insiders have sold 9,000 shares of company stock worth $1,394,429. Company insiders own 0.28% of the company’s stock.
McKesson Corporation provides pharmaceuticals and medical supplies in the United States and internationally. It operates in three segments: U.S. Pharmaceutical and Specialty Solutions, European Pharmaceutical Solutions, and Medical-Surgical Solutions. The company distributes branded, generic, specialty, biosimilar, and over-the-counter pharmaceutical drugs, as well as other healthcare-related products; and offers practice management, technology, clinical support, and business solutions to community-based oncology and other specialty practices.
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