Redwood Investment Management LLC Cuts Stake in McKesson Corporation $MCK

Redwood Investment Management LLC reduced its position in shares of McKesson Corporation (NYSE:MCK) by 90.5% in the first quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 2,439 shares of the company’s stock after selling 23,342 shares during the quarter. Redwood Investment Management LLC’s holdings in McKesson were worth $1,642,000 at the end of the most recent quarter.

Several other hedge funds have also recently modified their holdings of MCK. GAMMA Investing LLC raised its position in McKesson by 75,632.7% in the 1st quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company’s stock worth $1,610,567,000 after buying an additional 2,389,992 shares during the last quarter. Northern Trust Corp raised its stake in shares of McKesson by 0.7% in the first quarter. Northern Trust Corp now owns 1,542,382 shares of the company’s stock worth $1,038,008,000 after buying an additional 10,179 shares during the period. Boston Partners lifted its holdings in McKesson by 33.3% during the first quarter. Boston Partners now owns 1,461,785 shares of the company’s stock valued at $984,927,000 after purchasing an additional 365,484 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its stake in shares of McKesson by 9.1% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 1,290,116 shares of the company’s stock valued at $868,237,000 after buying an additional 107,638 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of McKesson by 9.5% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,103,050 shares of the company’s stock valued at $628,639,000 after acquiring an additional 95,806 shares in the last quarter. Hedge funds and other institutional investors own 85.07% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on MCK. Cowen restated a “buy” rating on shares of McKesson in a research report on Thursday, August 7th. UBS Group lifted their target price on McKesson from $708.00 to $805.00 and gave the stock a “buy” rating in a report on Tuesday, April 29th. Wall Street Zen downgraded shares of McKesson from a “strong-buy” rating to a “buy” rating in a report on Sunday, July 13th. Morgan Stanley reaffirmed an “overweight” rating and issued a $810.00 price objective (up previously from $770.00) on shares of McKesson in a research report on Wednesday, July 16th. Finally, Evercore ISI upped their target price on shares of McKesson from $760.00 to $800.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 9th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $725.10.

McKesson Trading Up 0.2%

Shares of NYSE MCK opened at $680.19 on Wednesday. McKesson Corporation has a 12 month low of $464.42 and a 12 month high of $737.89. The stock has a market cap of $84.60 billion, a price-to-earnings ratio of 27.12, a PEG ratio of 1.35 and a beta of 0.50. The company has a 50 day simple moving average of $705.00 and a two-hundred day simple moving average of $686.29.

McKesson (NYSE:MCK) last released its quarterly earnings data on Wednesday, August 6th. The company reported $8.26 earnings per share for the quarter, missing analysts’ consensus estimates of $8.33 by ($0.07). The company had revenue of $97.83 billion for the quarter, compared to analysts’ expectations of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The business’s quarterly revenue was up 23.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $7.88 EPS. Analysts forecast that McKesson Corporation will post 32.77 EPS for the current year.

McKesson Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be issued a dividend of $0.82 per share. This represents a $3.28 dividend on an annualized basis and a yield of 0.5%. This is a boost from McKesson’s previous quarterly dividend of $0.71. The ex-dividend date of this dividend is Tuesday, September 2nd. McKesson’s payout ratio is currently 11.32%.

Insider Activity at McKesson

In other McKesson news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of McKesson stock in a transaction on Friday, August 8th. The shares were sold at an average price of $663.67, for a total value of $218,347.43. Following the completion of the transaction, the chief accounting officer owned 657 shares of the company’s stock, valued at approximately $436,031.19. The trade was a 33.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Thomas L. Rodgers sold 2,891 shares of the company’s stock in a transaction dated Friday, May 30th. The stock was sold at an average price of $712.18, for a total transaction of $2,058,912.38. Following the completion of the transaction, the executive vice president owned 2,544 shares of the company’s stock, valued at approximately $1,811,785.92. This trade represents a 53.19% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 65,821 shares of company stock worth $46,171,378. 0.08% of the stock is owned by company insiders.

McKesson 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.