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 note issued to investors on Saturday morning.

A number of other brokerages have also recently weighed in on MCK. Wells Fargo & Company boosted their price target on McKesson from $914.00 to $925.00 and gave the stock an “equal weight” rating in a research report on Thursday, February 5th. Morgan Stanley reissued an “overweight” rating and set a $966.00 price objective on shares of McKesson in a report on Thursday, January 29th. JPMorgan Chase & Co. raised their price objective on McKesson from $983.00 to $1,107.00 and gave the company an “overweight” rating in a research note on Tuesday, February 10th. Weiss Ratings lowered McKesson from a “buy (a-)” rating to a “buy (b+)” rating in a report on Thursday, February 5th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating on shares of McKesson in a research report on Wednesday, December 10th. Thirteen equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $960.93.

McKesson Stock Up 0.3%

Shares of MCK opened at $943.43 on Friday. The firm has a market cap of $115.56 billion, a price-to-earnings ratio of 27.13, a price-to-earnings-growth ratio of 1.51 and a beta of 0.38. The company’s fifty day moving average is $896.29 and its 200-day moving average is $828.19. McKesson has a 12 month low of $637.00 and a 12 month high of $999.00.

McKesson (NYSE:MCK) last released its quarterly earnings data on Wednesday, February 4th. The company reported $9.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $9.19 by $0.15. The business had revenue of $106.16 billion during the quarter, compared to analyst estimates of $105.98 billion. McKesson had a net margin of 1.09% and a negative return on equity of 338.97%. McKesson’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. As a group, research analysts predict that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Monday, March 2nd will be paid a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 0.3%. The ex-dividend date is Monday, March 2nd. McKesson’s dividend payout ratio is presently 9.43%.

Insider Transactions at McKesson

In other news, Director Maria Martinez sold 349 shares of the company’s stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $939.87, for a total transaction of $328,014.63. Following the completion of the transaction, the director owned 301 shares of the company’s stock, valued at approximately $282,900.87. This represents a 53.69% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Napoleon B. Rutledge, Jr. sold 328 shares of the stock in a transaction dated Friday, February 6th. The shares were sold at an average price of $955.00, for a total transaction of $313,240.00. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 3,868 shares of company stock worth $3,743,820. 0.08% of the stock is currently owned by insiders.

Hedge Funds Weigh In On McKesson

Several institutional investors and hedge funds have recently added to or reduced their stakes in MCK. University of Texas Texas AM Investment Management Co. acquired a new stake in shares of McKesson during the 4th quarter worth approximately $25,000. Swiss RE Ltd. acquired a new position in shares of McKesson in the fourth quarter valued at $26,000. GGM Financials LLC bought a new position in McKesson in the third quarter worth $25,000. State of Wyoming bought a new position in McKesson in the second quarter worth $29,000. Finally, Hopwood Financial Services Inc. acquired a new stake in McKesson during the third quarter worth $31,000. 85.07% of the stock is currently owned by institutional investors.

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.