Brokerages Set McKesson Co. (NYSE:MCK) Price Target at $599.33

Shares of McKesson Co. (NYSE:MCK) have been given an average recommendation of “Moderate Buy” by the sixteen ratings firms that are currently covering the firm, MarketBeat.com reports. Two equities research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company. The average 1-year price objective among brokers that have issued a report on the stock in the last year is $599.33.

Several research analysts have recently issued reports on the company. Barclays raised their price target on McKesson from $571.00 to $596.00 and gave the stock an “overweight” rating in a research report on Wednesday, May 8th. UBS Group raised their price target on McKesson from $620.00 to $630.00 and gave the stock a “buy” rating in a research report on Wednesday, May 8th. Robert W. Baird lifted their target price on McKesson from $679.00 to $694.00 and gave the stock an “outperform” rating in a report on Tuesday, July 9th. Bank of America lifted their target price on McKesson from $590.00 to $670.00 and gave the stock a “buy” rating in a report on Tuesday, June 25th. Finally, StockNews.com upgraded McKesson from a “buy” rating to a “strong-buy” rating in a report on Tuesday, July 23rd.

McKesson Stock Performance

NYSE:MCK opened at $630.38 on Tuesday. The stock’s fifty day moving average price is $588.74 and its two-hundred day moving average price is $547.10. McKesson has a 52-week low of $404.72 and a 52-week high of $637.51. The company has a market cap of $81.91 billion, a price-to-earnings ratio of 28.17, a P/E/G ratio of 1.46 and a beta of 0.45.

McKesson (NYSE:MCK) last posted its quarterly earnings results on Tuesday, May 7th. The company reported $6.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $6.34 by ($0.16). McKesson had a negative return on equity of 245.88% and a net margin of 0.97%. The company had revenue of $76.36 billion during the quarter, compared to the consensus estimate of $79.32 billion. During the same quarter in the prior year, the business earned $7.19 earnings per share. The firm’s revenue for the quarter was up 10.8% on a year-over-year basis. On average, equities analysts predict that McKesson will post 31.68 EPS for the current fiscal year.

McKesson Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, October 1st. Shareholders of record on Monday, September 2nd will be paid a $0.71 dividend. This is an increase from McKesson’s previous quarterly dividend of $0.62. The ex-dividend date of this dividend is Friday, August 30th. This represents a $2.84 annualized dividend and a dividend yield of 0.45%. McKesson’s dividend payout ratio (DPR) is currently 11.08%.

Insider Buying and Selling at McKesson

In related news, EVP Thomas L. Rodgers sold 789 shares of McKesson stock in a transaction dated Tuesday, May 28th. The stock was sold at an average price of $557.40, for a total value of $439,788.60. Following the sale, the executive vice president now owns 7,909 shares of the company’s stock, valued at $4,408,476.60. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In related news, CEO Brian S. Tyler sold 3,753 shares of McKesson stock in a transaction dated Wednesday, June 5th. The stock was sold at an average price of $574.41, for a total value of $2,155,760.73. Following the sale, the chief executive officer now owns 89,845 shares of the company’s stock, valued at $51,607,866.45. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Thomas L. Rodgers sold 789 shares of McKesson stock in a transaction dated Tuesday, May 28th. The shares were sold at an average price of $557.40, for a total value of $439,788.60. Following the completion of the sale, the executive vice president now directly owns 7,909 shares in the company, valued at approximately $4,408,476.60. The disclosure for this sale can be found here. Insiders have sold 29,567 shares of company stock valued at $16,691,841 in the last 90 days. 0.11% of the stock is currently owned by company insiders.

Institutional Trading of McKesson

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. BLB&B Advisors LLC increased its position in McKesson by 7.2% during the fourth quarter. BLB&B Advisors LLC now owns 524 shares of the company’s stock worth $243,000 after buying an additional 35 shares during the last quarter. Veracity Capital LLC increased its position in McKesson by 5.2% during the fourth quarter. Veracity Capital LLC now owns 2,426 shares of the company’s stock worth $1,123,000 after buying an additional 119 shares during the last quarter. Pinnacle Financial Partners Inc increased its position in McKesson by 1.8% during the fourth quarter. Pinnacle Financial Partners Inc now owns 1,998 shares of the company’s stock worth $925,000 after buying an additional 36 shares during the last quarter. Drive Wealth Management LLC increased its position in McKesson by 4.3% during the fourth quarter. Drive Wealth Management LLC now owns 952 shares of the company’s stock worth $441,000 after buying an additional 39 shares during the last quarter. Finally, FAS Wealth Partners Inc. acquired a new position in McKesson during the fourth quarter worth approximately $268,000. 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.