McKesson (NYSE:MCK) Updates FY25 Earnings Guidance

McKesson (NYSE:MCK) updated its FY25 earnings guidance on Tuesday. The company provided earnings per share guidance of $31.25-$32.05 for the period, compared to the consensus earnings per share estimate of $31.09. The company issued revenue guidance of $355.35-$361.53 billion, compared to the consensus revenue estimate of $341.05 billion.

McKesson Price Performance

Shares of NYSE:MCK traded up $12.34 during midday trading on Tuesday, reaching $545.75. The company had a trading volume of 980,051 shares, compared to its average volume of 705,448. McKesson has a one year low of $364.08 and a one year high of $546.63. The stock has a market capitalization of $71.72 billion, a P/E ratio of 24.17, a PEG ratio of 1.41 and a beta of 0.45. The stock’s fifty day moving average price is $530.66 and its 200-day moving average price is $493.16.

McKesson (NYSE:MCK) last issued its earnings results on Wednesday, February 7th. The company reported $7.74 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 for the quarter, compared to analyst estimates of $77.93 billion. During the same quarter in the prior year, the business posted $6.90 EPS. The company’s revenue for the quarter was up 14.8% on a year-over-year basis. As a group, sell-side analysts forecast that McKesson will post 27.59 earnings per share for the current year.

McKesson Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, July 1st. Shareholders of record on Monday, June 3rd will be issued a $0.62 dividend. This represents a $2.48 dividend on an annualized basis and a yield of 0.45%. The ex-dividend date is Friday, May 31st. McKesson’s dividend payout ratio is presently 11.24%.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the stock. Leerink Partnrs reiterated an outperform rating on shares of McKesson in a research note on Monday, February 26th. Argus boosted their price objective on McKesson from $510.00 to $570.00 and gave the company a buy rating in a research report on Wednesday, April 10th. SVB Leerink began coverage on McKesson in a research note on Monday, February 26th. They issued an outperform rating and a $600.00 target price on the stock. Citigroup lifted their price objective on shares of McKesson from $575.00 to $620.00 and gave the company a buy rating in a research report on Tuesday, April 30th. Finally, Morgan Stanley lifted their price target on McKesson from $522.00 to $548.00 and gave the company an overweight rating in a report on Monday, April 15th. Two investment analysts have rated the stock with a hold rating, ten have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of Moderate Buy and an average price target of $536.71.

Insider Buying and Selling

In other news, CEO Brian S. Tyler sold 3,473 shares of the business’s stock in a transaction on 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 sale, the chief executive officer now directly 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 related news, EVP Leann B. Smith sold 186 shares of the stock in a transaction dated 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 sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Brian S. Tyler sold 3,473 shares of McKesson stock in a transaction dated 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 transaction, the chief executive officer now directly owns 43,445 shares in the company, valued at approximately $22,789,074.75. The disclosure for this sale can be found here. Insiders own 0.21% of the company’s stock.

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.