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

McKesson Co. (NYSE:MCK) announced 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 0.47%.

McKesson has increased its dividend by an average of 11.8% annually 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% indicating that its dividend is sufficiently covered by earnings. 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 traded down $0.64 during mid-day trading on Wednesday, hitting $531.36. The company had a trading volume of 42,328 shares, compared to its average volume of 680,415. The firm has a fifty day moving average price of $526.12 and a 200 day moving average price of $488.15. McKesson has a one year low of $352.34 and a one year high of $543.00. The company has a market capitalization of $69.83 billion, a PE ratio of 24.10, a price-to-earnings-growth ratio of 1.43 and a beta of 0.45.

McKesson (NYSE:MCK) last posted its quarterly 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 net margin of 0.99% and a negative return on equity of 262.63%. The business had revenue of $80.90 billion during the quarter, compared to the consensus estimate of $77.93 billion. During the same quarter last year, the firm posted $6.90 EPS. McKesson’s revenue was up 14.8% compared to the same quarter last year. Research analysts expect that McKesson will post 27.59 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

MCK has been the topic of a number of analyst reports. SVB Leerink initiated coverage on shares of McKesson in a report on Monday, February 26th. They set an “outperform” rating and a $600.00 price objective on the stock. Mizuho lifted their price objective on shares of McKesson from $450.00 to $505.00 and gave the stock a “neutral” rating in a report on Friday, February 9th. UBS Group lifted their price objective on shares of McKesson from $575.00 to $620.00 and gave the stock a “buy” rating in a report on Wednesday, March 6th. StockNews.com downgraded shares of McKesson from a “strong-buy” rating to a “buy” rating in a report on Thursday, January 4th. Finally, Barclays initiated coverage on shares of McKesson in a report on Wednesday, January 3rd. They set an “overweight” rating and a $537.00 price objective on the stock. Two research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $533.50.

Insider Activity

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