McKesson Co. (NYSE:MCK) to Issue Quarterly Dividend of $0.62

McKesson Co. (NYSE:MCK) declared a quarterly dividend on Wednesday, April 24th, RTT News reports. Stockholders of record on Monday, June 3rd will be given a dividend of 0.62 per share on Monday, July 1st. This represents a $2.48 annualized dividend and a dividend yield of 0.46%. The ex-dividend date is Monday, June 3rd.

McKesson has increased its dividend by an average of 11.8% per year over the last three years and has increased its dividend annually for the last 16 consecutive years. McKesson has a payout ratio of 7.0% meaning its dividend is sufficiently covered by earnings. Research analysts expect McKesson to earn $31.06 per share next year, which means the company should continue to be able to cover its $2.48 annual dividend with an expected future payout ratio of 8.0%.

McKesson Price Performance

Shares of NYSE:MCK opened at $539.94 on Friday. The business’s 50-day moving average is $527.50 and its 200 day moving average is $488.84. McKesson has a 1 year low of $352.34 and a 1 year high of $543.00. The firm has a market capitalization of $70.95 billion, a P/E ratio of 24.46, a P/E/G ratio of 1.42 and a beta of 0.45.

McKesson (NYSE:MCK) last announced its earnings results on Wednesday, February 7th. The company reported $7.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $7.05 by $0.69. McKesson had a negative return on equity of 262.63% and a net margin of 0.99%. The company had revenue of $80.90 billion for the quarter, compared to analyst estimates of $77.93 billion. During the same period in the prior year, the company posted $6.90 EPS. The firm’s quarterly revenue was up 14.8% compared to the same quarter last year. On average, analysts expect that McKesson will post 27.59 EPS for the current year.

Insider Transactions at McKesson

In other news, EVP Leann B. Smith sold 186 shares of the company’s stock in a transaction dated Tuesday, February 13th. The stock was sold at an average price of $496.00, for a total value of $92,256.00. Following the sale, the executive vice president now owns 1,511 shares in the company, valued at $749,456. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, EVP Leann B. Smith sold 186 shares of the company’s stock in a transaction dated Tuesday, February 13th. The stock was sold at an average price of $496.00, for a total value of $92,256.00. Following the sale, the executive vice president now owns 1,511 shares in the company, valued at $749,456. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Brian S. Tyler sold 3,473 shares of the firm’s stock in a transaction that occurred on Friday, March 15th. The shares were sold at an average price of $524.55, for a total value of $1,821,762.15. Following the completion of the sale, the chief executive officer now directly owns 43,445 shares in the company, valued at $22,789,074.75. The disclosure for this sale can be found here. Company insiders own 0.21% of the company’s stock.

Analyst Ratings Changes

Several research analysts recently issued reports on MCK shares. Morgan Stanley upped their target price on McKesson from $522.00 to $548.00 and gave the company an “overweight” rating in a research report on Monday, April 15th. Citigroup upped their target price on McKesson from $530.00 to $575.00 and gave the company a “buy” rating in a research report on Thursday, February 8th. Leerink Partnrs reissued an “outperform” rating on shares of McKesson in a report on Monday, February 26th. SVB Leerink assumed coverage on McKesson in a report on Monday, February 26th. They issued an “outperform” rating and a $600.00 price objective on the stock. Finally, Mizuho increased their price objective on McKesson from $450.00 to $505.00 and gave the company a “neutral” rating in a report on Friday, February 9th. Two investment analysts have rated the stock with a hold rating, ten have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, McKesson presently has a consensus rating of “Moderate Buy” and an average target price of $533.50.

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.