Analysts Set McKesson Co. (NYSE:MCK) Target Price at $620.93

Shares of McKesson Co. (NYSE:MCK) have received an average recommendation of “Moderate Buy” from the fifteen ratings firms that are currently covering the firm, Marketbeat.com reports. Two equities research analysts have rated the stock with a hold recommendation and thirteen have assigned a buy recommendation to the company. The average 1 year price objective among analysts that have updated their coverage on the stock in the last year is $620.93.

A number of brokerages recently commented on MCK. Evercore ISI dropped their price target on shares of McKesson from $660.00 to $630.00 and set an “outperform” rating on the stock in a research note on Thursday, August 8th. Mizuho raised their price target on McKesson from $540.00 to $570.00 and gave the stock a “neutral” rating in a report on Thursday, August 8th. Barclays lifted their price target on McKesson from $596.00 to $616.00 and gave the company an “overweight” rating in a research report on Thursday, August 8th. JPMorgan Chase & Co. increased their price objective on McKesson from $656.00 to $661.00 and gave the stock an “overweight” rating in a report on Wednesday, August 21st. Finally, StockNews.com lowered McKesson from a “strong-buy” rating to a “buy” rating in a report on Friday, August 9th.

McKesson Stock Down 0.1 %

McKesson stock opened at $507.89 on Wednesday. The stock has a market cap of $65.99 billion, a P/E ratio of 22.69, a P/E/G ratio of 1.18 and a beta of 0.44. The company’s 50 day moving average price is $560.25 and its two-hundred day moving average price is $556.82. McKesson has a 52 week low of $431.35 and a 52 week high of $637.51.

McKesson (NYSE:MCK) last posted its quarterly earnings data on Wednesday, August 7th. The company reported $7.88 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $7.21 by $0.67. The business had revenue of $79.28 billion during the quarter, compared to the consensus estimate of $82.53 billion. McKesson had a net margin of 0.94% and a negative return on equity of 242.57%. The firm’s quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter last year, the company posted $7.27 earnings per share. On average, equities analysts anticipate that McKesson will post 32.11 EPS for the current 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 given a dividend of $0.71 per share. 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 dividend on an annualized basis and a yield of 0.56%. McKesson’s dividend payout ratio (DPR) is presently 12.69%.

Insider Transactions at McKesson

In other McKesson news, CEO Brian S. Tyler sold 3,753 shares of the stock in a transaction that occurred on Monday, August 5th. The shares were sold at an average price of $626.03, for a total transaction of $2,349,490.59. Following the transaction, the chief executive officer now directly owns 82,339 shares in the company, valued at $51,546,684.17. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. In the last three months, insiders sold 11,259 shares of company stock worth $6,635,492. 0.11% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Anchor Investment Management LLC grew its position in shares of McKesson by 3.1% in the 2nd quarter. Anchor Investment Management LLC now owns 8,768 shares of the company’s stock worth $5,121,000 after buying an additional 263 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund boosted its holdings in McKesson by 206.7% in the second quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 460 shares of the company’s stock valued at $269,000 after acquiring an additional 310 shares in the last quarter. Newbridge Financial Services Group Inc. increased its position in McKesson by 2,143.1% during the 2nd quarter. Newbridge Financial Services Group Inc. now owns 1,458 shares of the company’s stock valued at $851,000 after purchasing an additional 1,393 shares during the period. Sanctuary Advisors LLC bought a new position in McKesson in the 2nd quarter worth $12,331,000. Finally, Gordian Capital Singapore Pte Ltd purchased a new stake in shares of McKesson in the 2nd quarter worth about $1,090,000. 85.07% of the stock is owned by hedge funds and other institutional investors.

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.