McKesson (NYSE:MCK) Sets New 52-Week High Following Analyst Upgrade

Posted by Defense World Staff on Aug 12th, 2023

McKesson Co. (NYSE:MCK – Get Free Report)’s stock price hit a new 52-week high during mid-day trading on Friday after Credit Suisse Group raised their price target on the stock from $450.00 to $485.00. Credit Suisse Group currently has an outperform rating on the stock. McKesson traded as high as $438.72 and last traded at $437.81, with a volume of 43597 shares trading hands. The stock had previously closed at $433.99.

MCK has been the topic of a number of other research reports. Bank of America increased their price objective on shares of McKesson from $470.00 to $485.00 in a research note on Monday, July 17th. UBS Group raised their target price on McKesson from $470.00 to $480.00 and gave the stock a “buy” rating in a report on Thursday, August 3rd. TD Cowen raised their target price on McKesson from $491.00 to $495.00 and gave the stock an “outperform” rating in a report on Monday, August 7th. Argus raised their target price on McKesson from $430.00 to $450.00 in a report on Thursday, June 29th. Finally, Mizuho raised their target price on McKesson from $390.00 to $427.00 in a report on Tuesday, July 11th. Two investment analysts have rated the stock with a hold rating, seven have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $452.33.

Read Our Latest Stock Report on MCK

Insider Activity

In other news, EVP Nancy Avila sold 491 shares of McKesson stock in a transaction that occurred on Friday, May 26th. The stock was sold at an average price of $394.38, for a total value of $193,640.58. Following the sale, the executive vice president now directly owns 11,720 shares of the company’s stock, valued at $4,622,133.60. 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 3,471 shares of the business’s stock in a transaction on Tuesday, June 13th. The stock was sold at an average price of $400.00, for a total transaction of $1,388,400.00. Following the transaction, the chief executive officer now owns 129,714 shares of the company’s stock, valued at $51,885,600. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Nancy Avila sold 491 shares of the firm’s stock in a transaction on Friday, May 26th. The stock was sold at an average price of $394.38, for a total value of $193,640.58. Following the completion of the sale, the executive vice president now directly owns 11,720 shares of the company’s stock, valued at $4,622,133.60. The disclosure for this sale can be found here. Insiders have sold a total of 21,472 shares of company stock worth $8,737,964 over the last 90 days. 0.21% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of MCK. Act Two Investors LLC lifted its holdings in McKesson by 2.5% in the second quarter. Act Two Investors LLC now owns 7,895 shares of the company’s stock valued at $3,374,000 after acquiring an additional 190 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund lifted its holdings in McKesson by 9,680.0% in the second quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 80,000 shares of the company’s stock valued at $34,185,000 after acquiring an additional 79,182 shares during the last quarter. Ontario Teachers Pension Plan Board lifted its holdings in McKesson by 32.7% in the second quarter. Ontario Teachers Pension Plan Board now owns 4,556 shares of the company’s stock valued at $1,947,000 after acquiring an additional 1,122 shares during the last quarter. Renaissance Technologies LLC lifted its position in McKesson by 36.4% in the second quarter. Renaissance Technologies LLC now owns 119,801 shares of the company’s stock valued at $51,192,000 after buying an additional 31,975 shares during the last quarter. Finally, Cibc World Market Inc. lifted its position in McKesson by 2.2% in the second quarter. Cibc World Market Inc. now owns 15,595 shares of the company’s stock valued at $6,664,000 after buying an additional 338 shares during the last quarter. Institutional investors and hedge funds own 83.77% of the company’s stock.

McKesson Stock Up 1.4 %

The stock’s 50-day simple moving average is $410.56 and its 200 day simple moving average is $380.98. The company has a market cap of $59.36 billion, a price-to-earnings ratio of 16.44, a PEG ratio of 1.48 and a beta of 0.60.

McKesson (NYSE:MCK – Get Free Report) last posted its earnings results on Wednesday, August 2nd. The company reported $7.27 EPS for the quarter, beating analysts’ consensus estimates of $5.85 by $1.42. McKesson had a net margin of 1.32% and a negative return on equity of 252.54%. The company had revenue of $74.48 billion for the quarter, compared to analysts’ expectations of $70.28 billion. During the same quarter in the prior year, the company posted $5.83 earnings per share. McKesson’s revenue for the quarter was up 10.9% compared to the same quarter last year. On average, sell-side analysts expect that McKesson Co. will post 27.15 EPS for the current fiscal year.

McKesson Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, October 2nd. Shareholders of record on Friday, September 1st will be paid a dividend of $0.62 per share. This represents a $2.48 dividend on an annualized basis and a yield of 0.56%. This is a boost from McKesson’s previous quarterly dividend of $0.54. The ex-dividend date is Thursday, August 31st. McKesson’s dividend payout ratio is 8.06%.

About McKesson

(Get Free Report)

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.