Destination Wealth Management Buys New Stake in McKesson Co. (NYSE:MCK)

Destination Wealth Management purchased a new stake in McKesson Co. (NYSE:MCK) in the 2nd quarter, HoldingsChannel reports. The fund purchased 364 shares of the company’s stock, valued at approximately $213,000.

Other hedge funds also recently added to or reduced their stakes in the company. Waypoint Wealth Partners Inc. acquired a new stake in McKesson during the 2nd quarter valued at $234,000. LRI Investments LLC boosted its position in McKesson by 503.8% in the 2nd quarter. LRI Investments LLC now owns 320 shares of the company’s stock valued at $187,000 after buying an additional 267 shares during the last quarter. West Oak Capital LLC grew its stake in shares of McKesson by 17.9% during the second quarter. West Oak Capital LLC now owns 330 shares of the company’s stock valued at $193,000 after acquiring an additional 50 shares in the last quarter. HMS Capital Management LLC increased its position in shares of McKesson by 8.6% during the second quarter. HMS Capital Management LLC now owns 4,857 shares of the company’s stock worth $2,837,000 after acquiring an additional 384 shares during the last quarter. Finally, Lebenthal Global Advisors LLC lifted its stake in shares of McKesson by 10.7% in the second quarter. Lebenthal Global Advisors LLC now owns 3,554 shares of the company’s stock worth $2,076,000 after acquiring an additional 344 shares in the last quarter. 85.07% of the stock is owned by hedge funds and other institutional investors.

McKesson Stock Performance

Shares of MCK traded down $8.75 during mid-day trading on Friday, reaching $552.15. 710,191 shares of the company’s stock traded hands, compared to its average volume of 743,372. McKesson Co. has a 12 month low of $404.72 and a 12 month high of $637.51. The stock has a market capitalization of $71.74 billion, a P/E ratio of 24.67, a price-to-earnings-growth ratio of 1.46 and a beta of 0.45. The business’s 50-day moving average price is $584.83 and its 200-day moving average price is $554.51.

McKesson (NYSE:MCK) last announced its quarterly earnings results on Wednesday, August 7th. The company reported $7.88 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $7.21 by $0.67. The company had revenue of $79.28 billion during the quarter, compared to analyst estimates of $82.53 billion. McKesson had a negative return on equity of 245.88% and a net margin of 0.97%. The firm’s quarterly revenue was up 6.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $7.27 EPS. Equities research analysts anticipate that McKesson Co. will post 31.68 EPS for the current year.

McKesson Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, October 1st. Shareholders of record on Monday, September 2nd will be paid a dividend of $0.71 per share. This is a boost from McKesson’s previous quarterly dividend of $0.62. The ex-dividend date of this dividend is Friday, August 30th. This represents a $2.84 annualized dividend and a yield of 0.51%. McKesson’s dividend payout ratio (DPR) is presently 12.69%.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on MCK. Mizuho raised their price objective on McKesson from $540.00 to $570.00 and gave the company a “neutral” rating in a research note on Thursday, August 8th. JPMorgan Chase & Co. raised their price target on shares of McKesson from $656.00 to $661.00 and gave the stock an “overweight” rating in a research report on Wednesday. Citigroup upped their price target on shares of McKesson from $620.00 to $670.00 and gave the company a “buy” rating in a report on Friday, July 19th. Robert W. Baird decreased their price objective on shares of McKesson from $694.00 to $671.00 and set an “outperform” rating for the company in a report on Thursday, August 8th. Finally, Argus boosted their target price on shares of McKesson from $570.00 to $670.00 and gave the stock a “buy” rating in a research report on Monday, June 24th. Two equities research analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $620.29.

Insiders Place Their Bets

In related news, EVP Thomas L. Rodgers sold 789 shares of the firm’s stock in a transaction that occurred on Tuesday, May 28th. The shares were sold at an average price of $557.40, for a total transaction of $439,788.60. Following the transaction, the executive vice president now owns 7,909 shares in the company, valued at $4,408,476.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. In related news, EVP Thomas L. Rodgers sold 789 shares of McKesson stock in a transaction dated Tuesday, May 28th. The stock was sold at an average price of $557.40, for a total transaction of $439,788.60. Following the transaction, the executive vice president now directly owns 7,909 shares of the company’s stock, valued at $4,408,476.60. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO Brian S. Tyler sold 3,753 shares of the business’s stock in a transaction dated Monday, August 5th. The stock was sold at an average price of $626.03, for a total transaction of $2,349,490.59. Following the completion of the sale, the chief executive officer now owns 82,339 shares in the company, valued at $51,546,684.17. The disclosure for this sale can be found here. In the last three months, insiders have sold 19,257 shares of company stock worth $11,192,946. 0.11% of the stock is owned by corporate insiders.

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.