McKesson (NYSE:MCK) Cut to “Hold” at Wall Street Zen

Wall Street Zen downgraded shares of McKesson (NYSE:MCK) from a buy rating to a hold rating in a research report released on Saturday morning.

A number of other research firms have also commented on MCK. JPMorgan Chase & Co. raised their price objective on McKesson from $983.00 to $1,107.00 and gave the stock an “overweight” rating in a research note on Tuesday, February 10th. TD Cowen raised their price objective on McKesson from $1,000.00 to $1,012.00 and gave the stock a “buy” rating in a research note on Thursday, February 5th. Raymond James Financial set a $970.00 price target on McKesson in a research note on Thursday, March 5th. Bank of America decreased their price target on McKesson from $1,040.00 to $1,000.00 and set a “buy” rating on the stock in a research note on Monday, April 6th. Finally, Evercore reiterated an “outperform” rating on shares of McKesson in a research note on Thursday, March 5th. Thirteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $970.93.

McKesson Price Performance

McKesson stock opened at $863.51 on Friday. The stock’s fifty day moving average price is $916.57 and its two-hundred day moving average price is $852.76. McKesson has a one year low of $637.00 and a one year high of $999.00. The firm has a market cap of $105.77 billion, a PE ratio of 24.84, a price-to-earnings-growth ratio of 1.25 and a beta of 0.42.

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. McKesson had a negative return on equity of 338.97% and a net margin of 1.09%.The firm had revenue of $106.16 billion for the quarter, compared to analyst estimates of $105.98 billion. During the same quarter last year, the company earned $8.03 EPS. The company’s revenue was up 11.4% on a year-over-year basis. McKesson has set its FY 2026 guidance at 38.800-39.200 EPS. Sell-side analysts expect that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 1st. Stockholders of record on Monday, March 2nd were paid a $0.82 dividend. The ex-dividend date was Monday, March 2nd. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. McKesson’s dividend payout ratio (DPR) is presently 9.43%.

Insiders Place Their Bets

In other news, EVP Leann B. Smith sold 190 shares of McKesson stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $945.00, for a total value of $179,550.00. Following the transaction, the executive vice president owned 2,989 shares in the company, valued at approximately $2,824,605. This trade represents a 5.98% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Michele Lau sold 2,725 shares of the firm’s stock in a transaction on Monday, March 2nd. The shares were sold at an average price of $990.00, for a total value of $2,697,750.00. Following the sale, the executive vice president directly owned 3,247 shares in the company, valued at approximately $3,214,530. This trade represents a 45.63% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 3,592 shares of company stock worth $3,518,555. 0.08% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On McKesson

Several hedge funds have recently modified their holdings of MCK. Brighton Jones LLC boosted its holdings in shares of McKesson by 46.3% during the 4th quarter. Brighton Jones LLC now owns 2,523 shares of the company’s stock valued at $1,438,000 after acquiring an additional 798 shares in the last quarter. Caxton Associates LLP acquired a new stake in shares of McKesson during the 1st quarter valued at $233,000. Sivia Capital Partners LLC boosted its holdings in shares of McKesson by 77.9% during the 2nd quarter. Sivia Capital Partners LLC now owns 685 shares of the company’s stock valued at $502,000 after acquiring an additional 300 shares in the last quarter. Treasurer of the State of North Carolina boosted its holdings in shares of McKesson by 0.9% during the 2nd quarter. Treasurer of the State of North Carolina now owns 58,623 shares of the company’s stock valued at $42,958,000 after acquiring an additional 508 shares in the last quarter. Finally, Osterweis Capital Management Inc. acquired a new stake in shares of McKesson during the 2nd quarter valued at $166,000. Institutional investors and hedge funds own 85.07% of the company’s stock.

McKesson Company Profile

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.