McKesson (NYSE:MCK) Sets New 12-Month High - Here's Why

Shares of McKesson Co. (NYSE:MCK - Get Free Report) reached a new 52-week high on Wednesday . The company traded as high as $666.99 and last traded at $664.09, with a volume of 753756 shares trading hands. The stock had previously closed at $661.61.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the company. Bank of America decreased their price target on McKesson from $680.00 to $650.00 and set a "buy" rating for the company in a research note on Monday, January 6th. Morgan Stanley raised their price target on McKesson from $612.00 to $642.00 and gave the company an "overweight" rating in a research note on Tuesday, December 17th. Evercore ISI raised their price target on McKesson from $650.00 to $675.00 and gave the company an "outperform" rating in a research note on Thursday, February 6th. StockNews.com downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Friday, February 14th. Finally, Wells Fargo & Company raised their price target on McKesson from $641.00 to $691.00 and gave the company an "equal weight" rating in a research note on Friday, March 14th. Two investment analysts have rated the stock with a hold rating, thirteen have given a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $649.36.

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McKesson Stock Performance

The firm has a market capitalization of $82.65 billion, a price-to-earnings ratio of 30.19, a PEG ratio of 1.29 and a beta of 0.52. The company has a fifty day moving average of $616.14 and a two-hundred day moving average of $574.33.

McKesson (NYSE:MCK - Get Free Report) last released its quarterly earnings results on Wednesday, February 5th. The company reported $8.03 earnings per share for the quarter, missing the consensus estimate of $8.60 by ($0.57). McKesson had a negative return on equity of 181.26% and a net margin of 0.82%. Equities analysts forecast that McKesson Co. will post 32.77 EPS for the current year.

McKesson Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 1st. Shareholders of record on Monday, March 3rd will be issued a $0.71 dividend. The ex-dividend date of this dividend is Monday, March 3rd. This represents a $2.84 annualized dividend and a yield of 0.43%. McKesson's dividend payout ratio is presently 13.00%.

Insider Buying and Selling at McKesson

In other McKesson news, CEO Brian S. Tyler sold 8,961 shares of McKesson stock in a transaction on Friday, February 14th. The stock was sold at an average price of $600.66, for a total value of $5,382,514.26. Following the completion of the transaction, the chief executive officer now directly owns 69,625 shares of the company's stock, valued at $41,820,952.50. The trade was a 11.40 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Leann B. Smith sold 188 shares of McKesson stock in a transaction on Wednesday, February 12th. The shares were sold at an average price of $609.59, for a total value of $114,602.92. Following the completion of the transaction, the executive vice president now directly owns 1,051 shares of the company's stock, valued at $640,679.09. This represents a 15.17 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 18,689 shares of company stock valued at $11,187,351 in the last three months. Corporate insiders own 0.11% of the company's stock.

Hedge Funds Weigh In On McKesson

A number of institutional investors have recently modified their holdings of MCK. Citizens Financial Group Inc. RI raised its holdings in shares of McKesson by 22.7% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 2,279 shares of the company's stock worth $1,128,000 after buying an additional 421 shares in the last quarter. Pacer Advisors Inc. raised its holdings in shares of McKesson by 12.6% during the 3rd quarter. Pacer Advisors Inc. now owns 16,344 shares of the company's stock worth $8,081,000 after buying an additional 1,823 shares in the last quarter. Banco Santander S.A. acquired a new position in shares of McKesson during the 3rd quarter worth $223,000. Icon Wealth Advisors LLC raised its holdings in shares of McKesson by 457.5% during the 3rd quarter. Icon Wealth Advisors LLC now owns 2,336 shares of the company's stock worth $1,155,000 after buying an additional 1,917 shares in the last quarter. Finally, Meridian Wealth Management LLC raised its holdings in shares of McKesson by 18.3% during the 3rd quarter. Meridian Wealth Management LLC now owns 1,535 shares of the company's stock worth $759,000 after buying an additional 237 shares in the last quarter. Institutional investors and hedge funds own 85.07% of the company's stock.

About McKesson

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.