McKesson (NYSE:MCK) Releases Earnings Results, Misses Expectations By $0.16 EPS

McKesson (NYSE:MCK) announced its quarterly earnings data on Tuesday. The company reported $6.18 earnings per share for the quarter, missing the consensus estimate of $6.34 by ($0.16), Briefing.com reports. McKesson had a negative return on equity of 262.63% and a net margin of 0.99%. The company had revenue of $76.36 billion for the quarter, compared to analyst estimates of $79.32 billion. During the same period in the prior year, the business earned $7.19 earnings per share. McKesson’s revenue was up 10.8% on a year-over-year basis. McKesson updated its FY25 guidance to $31.25-$32.05 EPS.

McKesson Price Performance

MCK stock traded down $5.82 during mid-day trading on Wednesday, reaching $539.93. 1,023,502 shares of the company traded hands, compared to its average volume of 708,611. The company has a fifty day moving average price of $531.17 and a 200-day moving average price of $493.81. McKesson has a 52-week low of $373.28 and a 52-week high of $566.01. The company has a market capitalization of $70.95 billion, a P/E ratio of 24.67, a P/E/G ratio of 1.41 and a beta of 0.45.

McKesson Dividend Announcement

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. The ex-dividend date of this dividend is Friday, May 31st. This represents a $2.48 dividend on an annualized basis and a yield of 0.46%. McKesson’s dividend payout ratio is 11.24%.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on MCK. UBS Group increased their target price on shares of McKesson from $620.00 to $630.00 and gave the company a “buy” rating in a research report on Wednesday. SVB Leerink initiated coverage on McKesson in a research report on Monday, February 26th. They set an “outperform” rating and a $600.00 price target on the stock. 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. Mizuho boosted their price target on shares of McKesson from $450.00 to $505.00 and gave the stock a “neutral” rating in a research report on Friday, February 9th. Finally, TD Cowen lifted their price objective on shares of McKesson from $563.00 to $652.00 and gave the stock a “buy” rating in a research note on Wednesday. Two analysts have rated the stock with a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, McKesson presently has an average rating of “Moderate Buy” and a consensus price target of $565.64.

Insider Activity at McKesson

In other news, CEO Brian S. Tyler sold 3,473 shares of McKesson stock in a transaction dated Friday, March 15th. The stock was sold at an average price of $524.55, for a total value of $1,821,762.15. Following the transaction, the chief executive officer now owns 43,445 shares in the company, valued at $22,789,074.75. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. In other McKesson news, EVP Leann B. Smith sold 186 shares of the business’s stock in a transaction that occurred on Tuesday, February 13th. The stock was sold at an average price of $496.00, for a total transaction of $92,256.00. Following the completion of the transaction, 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 McKesson stock in a transaction 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 owns 43,445 shares in the company, valued at approximately $22,789,074.75. The disclosure for this sale can be found here. 0.21% of the stock is owned by corporate insiders.

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.