McKesson (NYSE:MCK) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of McKesson (NYSE:MCK) from a hold rating to a buy rating in a research note issued to investors on Sunday.

Other equities research analysts have also recently issued reports about the stock. TD Cowen boosted their price target on shares of McKesson from $1,000.00 to $1,012.00 and gave the stock a “buy” rating in a research report on Thursday, February 5th. Robert W. Baird set a $968.00 price objective on shares of McKesson in a research report on Wednesday, January 14th. Weiss Ratings cut shares of McKesson from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Thursday, February 5th. Wells Fargo & Company boosted their target price on shares of McKesson from $914.00 to $925.00 and gave the stock an “equal weight” rating in a report on Thursday, February 5th. Finally, Evercore reissued an “outperform” rating on shares of McKesson in a research note on Thursday, March 5th. Thirteen research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $960.93.

McKesson Stock Performance

Shares of NYSE MCK opened at $888.28 on Friday. McKesson has a 1 year low of $637.00 and a 1 year high of $999.00. The firm has a market cap of $108.81 billion, a P/E ratio of 25.55, a PEG ratio of 1.43 and a beta of 0.38. The stock has a fifty day moving average price of $903.68 and a two-hundred day moving average price of $834.50.

McKesson (NYSE:MCK) last posted its quarterly earnings data on Wednesday, February 4th. The company reported $9.34 EPS for the quarter, topping analysts’ consensus estimates of $9.19 by $0.15. The company had revenue of $106.16 billion for the quarter, compared to the consensus estimate of $105.98 billion. McKesson had a negative return on equity of 338.97% and a net margin of 1.09%.The company’s quarterly revenue was up 11.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $8.03 EPS. McKesson has set its FY 2026 guidance at 38.800-39.200 EPS. On average, research analysts predict that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Monday, March 2nd will be paid a $0.82 dividend. The ex-dividend date of this dividend is Monday, March 2nd. This represents a $3.28 dividend on an annualized basis and a yield of 0.4%. McKesson’s dividend payout ratio (DPR) is currently 9.43%.

Insider Activity

In other McKesson news, CAO Napoleon B. Rutledge, Jr. sold 328 shares of the business’s stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $955.00, for a total transaction of $313,240.00. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, EVP Thomas L. Rodgers sold 276 shares of the company’s stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $816.18, for a total transaction of $225,265.68. Following the sale, the executive vice president directly owned 2,268 shares of the company’s stock, valued at $1,851,096.24. This represents a 10.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 3,868 shares of company stock worth $3,743,820. 0.08% of the stock is owned by company insiders.

Hedge Funds Weigh In On McKesson

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Hsbc Holdings PLC raised its position in McKesson by 6.0% during the fourth quarter. Hsbc Holdings PLC now owns 275,912 shares of the company’s stock valued at $226,756,000 after buying an additional 15,594 shares during the period. Cornerstone Planning LLC acquired a new stake in McKesson during the 4th quarter worth about $206,000. Rockefeller Capital Management L.P. grew its stake in McKesson by 42.9% during the 4th quarter. Rockefeller Capital Management L.P. now owns 26,557 shares of the company’s stock valued at $21,786,000 after acquiring an additional 7,974 shares in the last quarter. World Investment Advisors grew its stake in McKesson by 7.9% during the 4th quarter. World Investment Advisors now owns 7,104 shares of the company’s stock valued at $5,828,000 after acquiring an additional 521 shares in the last quarter. Finally, Union Savings Bank acquired a new position in shares of McKesson in the 4th quarter valued at about $314,000. Institutional investors and hedge funds own 85.07% of the company’s stock.

About McKesson

McKesson Corporation (NYSE: MCK) is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.

The company’s core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.