First Trust Direct Indexing L.P. Decreases Stake in McKesson Co. (NYSE:MCK)

First Trust Direct Indexing L.P. lowered its position in McKesson Co. (NYSE:MCK) by 4.2% in the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 5,110 shares of the company’s stock after selling 222 shares during the quarter. First Trust Direct Indexing L.P.’s holdings in McKesson were worth $2,743,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Morgan Stanley boosted its stake in McKesson by 14.0% in the 3rd quarter. Morgan Stanley now owns 2,398,380 shares of the company’s stock worth $1,042,937,000 after purchasing an additional 294,832 shares during the period. Norges Bank bought a new position in McKesson in the 4th quarter worth about $1,024,140,000. Putnam Investments LLC boosted its stake in McKesson by 3.2% in the 4th quarter. Putnam Investments LLC now owns 1,997,963 shares of the company’s stock worth $925,017,000 after purchasing an additional 62,242 shares during the period. WCM Investment Management LLC boosted its stake in McKesson by 0.4% in the 4th quarter. WCM Investment Management LLC now owns 1,093,189 shares of the company’s stock worth $500,134,000 after purchasing an additional 4,636 shares during the period. Finally, Wellington Management Group LLP boosted its stake in McKesson by 0.3% in the 3rd quarter. Wellington Management Group LLP now owns 1,030,180 shares of the company’s stock worth $447,974,000 after purchasing an additional 2,732 shares during the period. Hedge funds and other institutional investors own 85.07% of the company’s stock.

McKesson Stock Performance

MCK traded down $1.48 during midday trading on Thursday, hitting $583.35. The stock had a trading volume of 313,911 shares, compared to its average volume of 619,046. The company has a market cap of $75.80 billion, a P/E ratio of 26.10, a price-to-earnings-growth ratio of 1.37 and a beta of 0.45. McKesson Co. has a 1 year low of $395.30 and a 1 year high of $612.17. The business has a fifty day moving average of $568.11 and a 200 day moving average of $527.53.

McKesson (NYSE:MCK) last released its quarterly earnings data on Tuesday, May 7th. The company reported $6.18 earnings per share for the quarter, missing analysts’ consensus estimates of $6.34 by ($0.16). The company had revenue of $76.36 billion for the quarter, compared to analysts’ expectations of $79.32 billion. McKesson had a net margin of 0.97% and a negative return on equity of 245.88%. The business’s revenue for the quarter was up 10.8% compared to the same quarter last year. During the same period last year, the company posted $7.19 EPS. On average, equities research analysts anticipate that McKesson Co. will post 31.54 earnings per share for the current year.

McKesson Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, July 1st. Investors of record on Monday, June 3rd were issued a dividend of $0.62 per share. The ex-dividend date of this dividend was Monday, June 3rd. This represents a $2.48 dividend on an annualized basis and a dividend yield of 0.43%. McKesson’s dividend payout ratio is presently 11.08%.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the company. StockNews.com downgraded McKesson from a “strong-buy” rating to a “buy” rating in a research report on Tuesday. Citigroup lifted their price target on McKesson from $575.00 to $620.00 and gave the company a “buy” rating in a research report on Tuesday, April 30th. Evercore ISI lifted their price target on McKesson from $590.00 to $600.00 and gave the company an “outperform” rating in a research report on Wednesday, May 8th. UBS Group lifted their price target on McKesson from $620.00 to $630.00 and gave the company a “buy” rating in a research report on Wednesday, May 8th. Finally, Barclays lifted their price target on McKesson from $571.00 to $596.00 and gave the company an “overweight” rating in a research report on Wednesday, May 8th. Two investment analysts have rated the stock with a hold rating and fifteen have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $590.47.

Insider Activity at McKesson

In related news, CFO Britt J. Vitalone sold 894 shares of the company’s stock in a transaction that occurred on Tuesday, May 28th. The stock was sold at an average price of $557.40, for a total transaction of $498,315.60. Following the completion of the transaction, the chief financial officer now owns 16,455 shares in the company, valued at $9,172,017. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. In related news, CFO Britt J. Vitalone sold 894 shares of the company’s stock in a transaction that occurred on Tuesday, May 28th. The stock was sold at an average price of $557.40, for a total transaction of $498,315.60. Following the completion of the transaction, the chief financial officer now owns 16,455 shares in the company, valued at $9,172,017. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, EVP Leann B. Smith sold 600 shares of the company’s stock in a transaction that occurred on Tuesday, June 11th. The shares were sold at an average price of $585.53, for a total value of $351,318.00. Following the transaction, the executive vice president now owns 2,022 shares of the company’s stock, valued at approximately $1,183,941.66. The disclosure for this sale can be found here. Insiders sold a total of 25,814 shares of company stock worth $14,511,649 over the last quarter. 0.11% of the stock is owned by corporate insiders.

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.