McKesson (NYSE:MCK) Stock Rating Lowered by StockNews.com

StockNews.com cut shares of McKesson (NYSE:MCK) from a strong-buy rating to a buy rating in a report issued on Tuesday.

Several other research analysts have also recently weighed in on MCK. Robert W. Baird raised their target price on McKesson from $603.00 to $671.00 and gave the company an outperform rating in a research note on Wednesday, May 8th. UBS Group raised their target price on McKesson from $620.00 to $630.00 and gave the company a buy rating in a research note on Wednesday, May 8th. Citigroup raised their target price on McKesson from $575.00 to $620.00 and gave the company a buy rating in a research note on Tuesday, April 30th. Evercore ISI raised their target price on McKesson from $590.00 to $600.00 and gave the company an outperform rating in a research note on Wednesday, May 8th. Finally, Argus upped their target price on McKesson from $510.00 to $570.00 and gave the company a buy rating in a report on Wednesday, April 10th. Two equities research analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, McKesson has an average rating of Moderate Buy and an average price target of $571.47.

McKesson Stock Performance

Shares of MCK stock opened at $603.08 on Tuesday. The firm has a market capitalization of $78.39 billion, a PE ratio of 26.95, a price-to-earnings-growth ratio of 1.41 and a beta of 0.47. The stock has a fifty day moving average of $558.51 and a two-hundred day moving average of $519.77. McKesson has a 1 year low of $395.30 and a 1 year high of $606.32.

McKesson (NYSE:MCK) last announced its earnings results on Tuesday, May 7th. The company reported $6.18 earnings per share for the quarter, missing the consensus estimate of $6.34 by ($0.16). McKesson had a net margin of 0.97% and a negative return on equity of 245.88%. The firm had revenue of $76.36 billion for the quarter, compared to the consensus estimate of $79.32 billion. During the same period in the prior year, the business earned $7.19 EPS. The company’s quarterly revenue was up 10.8% compared to the same quarter last year. Equities research analysts predict that McKesson will post 31.54 earnings per share for the current fiscal year.

McKesson Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, July 1st. Investors of record on Monday, June 3rd will be paid a $0.62 dividend. This represents a $2.48 annualized dividend and a yield of 0.41%. The ex-dividend date of this dividend is Monday, June 3rd. McKesson’s dividend payout ratio is currently 11.08%.

Insider Buying and Selling

In related news, Director Maria Martinez sold 483 shares of the stock in a transaction dated Friday, June 7th. The stock was sold at an average price of $585.88, for a total value of $282,980.04. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. In other news, Director Maria Martinez sold 483 shares of the firm’s stock in a transaction dated Friday, June 7th. The stock was sold at an average price of $585.88, for a total transaction of $282,980.04. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Susan R. Salka sold 606 shares of the firm’s stock in a transaction dated Friday, May 10th. The stock was sold at an average price of $558.04, for a total value of $338,172.24. The disclosure for this sale can be found here. In the last ninety days, insiders sold 25,814 shares of company stock valued at $14,511,649. Corporate insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Sachetta LLC acquired a new stake in McKesson in the 4th quarter valued at approximately $27,000. LRI Investments LLC acquired a new stake in McKesson in the 1st quarter valued at approximately $28,000. Register Financial Advisors LLC acquired a new stake in McKesson in the 1st quarter valued at approximately $29,000. BKM Wealth Management LLC acquired a new stake in McKesson in the 4th quarter valued at approximately $31,000. Finally, Richardson Financial Services Inc. acquired a new stake in McKesson in the 4th quarter valued at approximately $31,000. Institutional investors and hedge funds own 85.07% of the company’s stock.

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.