Avanza Fonder AB Invests $7.90 Million in McKesson Co. (NYSE:MCK)

In the fourth quarter, Avanza Fonder AB announced its acquisition of a new stake in McKesson Co. (NYSE:MCK). According to a recent filing with the SEC, the firm purchased 13,866 shares of McKesson stock, which are valued at approximately $7,902,000.

Other significant investors have also recently made changes in their holdings of McKesson stock. For example, Distillate Capital Partners LLC made a notable increase in its stake, boosting its holdings by an astonishing 127,542.9% in the second quarter, bringing its total to 35,740 shares valued at $20,874,000 after buying an additional 35,712 shares. Similarly, Chase Investment Counsel Corp increased its shares by 50.8%, now owning 8,985 shares worth $5,247,000 after acquiring 3,027 more shares in the last quarter.

Newbridge Financial Services Group Inc. saw a massive increase of 2,143.1% in its holdings during the same quarter, now owning 1,458 shares valued at $851,000 after acquiring 1,393 additional shares. Additionally, Commerce Bank increased its holdings by 2.0% in the third quarter, now owning 156,781 shares worth $77,516,000 after adding 3,020 more shares.

Furthermore, Sanctuary Advisors LLC entered the scene by acquiring a new stake in McKesson valued at about $12,331,000. Currently, it is reported that 85.07% of McKesson's stock is held by hedge funds and other institutional investors.

McKesson Stock Performance

As of Friday, MCK opened at $586.61. The stock has seen a fifty-day moving average of $595.77 and a two-hundred-day moving average of $561.06. Over the past year, McKesson's stock reached a low of $464.42 and a high of $637.51. With a market capitalization of $74.46 billion, the company reports a price-to-earnings ratio of 30.38, a PEG ratio of 1.26, and a beta of 0.52.

Quarterly Earnings Report

On November 6, McKesson released its quarterly earnings results. The company reported earnings per share (EPS) of $7.07, exceeding analysts' expectations of $6.88 by $0.19. The revenue for the quarter was $93.65 billion, significantly surpassing the consensus estimate of $89.33 billion. The company's revenue saw a 21.3% increase year-over-year. The previous year’s EPS for the same quarter was reported at $6.23. Analysts predict McKesson Co. to post an average of 32.73 EPS for the current year.

Dividend Announcement

Recently, McKesson announced a quarterly dividend which was distributed on January 2nd. Investors recorded as of December 2nd received a dividend of $0.71. This annualizes to $2.84, yielding a 0.48% return. At this time, McKesson's dividend payout ratio stands at 14.71%.

Analyst Ratings Update

Several analysts have recently reviewed McKesson’s stock. Robert W. Baird upgraded McKesson from a "neutral" rating to an "outperform" rating, adjusting their price target from $531.00 to $688.00 on November 7th. Deutsche Bank lowered its price target from $623.00 to $579.00 while maintaining a "buy" rating. Wells Fargo & Company increased its target from $535.00 to $641.00, providing an "equal weight" rating for the stock.

Leerink Partners also revised their price target down from $665.00 to $630.00 with an "outperform" rating. Evercore ISI increased their target from $560.00 to $680.00, assigning an "outperform" rating as well. Currently, two analysts rate the stock as a hold, fourteen rate it as a buy, and one as a strong buy. Based on recent data, McKesson holds an average rating of "Moderate Buy" and a consensus price target of $646.14.

Insider Transactions

In other news concerning McKesson, EVP Leann B. Smith sold 579 shares on January 2nd, at an average price of $572.79, totaling $331,645.41. Following this transaction, Smith now holds 864 shares valued at approximately $494,890.56. This sale marked a decrease of 40.12% in their position. Such transactions are typically disclosed to the SEC.

Company Overview

McKesson Corporation operates within the healthcare sector, providing services both in the United States and internationally. Its operations are divided into four key segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. The U.S. Pharmaceutical segment focuses on distributing a wide range of pharmaceutical products, including branded and generic drugs, specialty items, and over-the-counter products.

Investment, Healthcare, Stocks