Waterloo Capital L.P. Purchases New Shares in McKesson Co. (NYSE:MCK)

Waterloo Capital L.P. acquired a new position in McKesson Co. (NYSE:MCK) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor acquired 422 shares of the company’s stock, valued at approximately $246,000.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Sachetta LLC bought a new position in McKesson in the fourth quarter worth about $27,000. LRI Investments LLC purchased a new position in shares of McKesson during the 1st quarter worth approximately $28,000. Register Financial Advisors LLC bought a new position in shares of McKesson in the 1st quarter worth approximately $29,000. Richardson Financial Services Inc. purchased a new position in shares of McKesson in the 4th quarter valued at approximately $31,000. Finally, Carolinas Wealth Consulting LLC boosted its position in shares of McKesson by 42.9% during the fourth quarter. Carolinas Wealth Consulting LLC now owns 80 shares of the company’s stock valued at $37,000 after purchasing an additional 24 shares in the last quarter. 85.07% of the stock is owned by hedge funds and other institutional investors.

McKesson Price Performance

Shares of NYSE:MCK opened at $507.95 on Friday. McKesson Co. has a 1 year low of $431.35 and a 1 year high of $637.51. The stock’s fifty day moving average price is $561.63 and its 200-day moving average price is $557.00. The company has a market cap of $66.00 billion, a P/E ratio of 22.70, a PEG ratio of 1.18 and a beta of 0.44.

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, beating analysts’ consensus estimates of $7.21 by $0.67. The firm had revenue of $79.28 billion for the quarter, compared to the consensus estimate of $82.53 billion. McKesson had a net margin of 0.94% and a negative return on equity of 242.57%. The business’s quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter last year, the firm posted $7.27 EPS. On average, sell-side analysts anticipate that McKesson Co. will post 32.11 earnings per share for the current year.

McKesson Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 1st. Investors of record on Monday, September 2nd will be issued a $0.71 dividend. The ex-dividend date of this dividend is Friday, August 30th. This represents a $2.84 annualized dividend and a dividend yield of 0.56%. This is a positive change from McKesson’s previous quarterly dividend of $0.62. McKesson’s payout ratio is presently 12.69%.

Insider Activity at McKesson

In other McKesson news, CEO Brian S. Tyler sold 3,753 shares of the firm’s stock in a transaction dated Monday, August 5th. The stock was sold at an average price of $626.03, for a total value of $2,349,490.59. Following the transaction, the chief executive officer now directly owns 82,339 shares of the company’s stock, valued at $51,546,684.17. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Over the last 90 days, insiders sold 11,259 shares of company stock worth $6,635,492. 0.11% of the stock is owned by insiders.

Wall Street Analyst Weigh In

MCK has been the subject of a number of research reports. JPMorgan Chase & Co. increased their price objective on McKesson from $656.00 to $661.00 and gave the stock an “overweight” rating in a report on Wednesday, August 21st. Wells Fargo & Company decreased their price target on shares of McKesson from $576.00 to $535.00 and set an “equal weight” rating for the company in a research note on Friday, September 13th. Mizuho boosted their price objective on shares of McKesson from $540.00 to $570.00 and gave the stock a “neutral” rating in a research note on Thursday, August 8th. Robert W. Baird decreased their target price on shares of McKesson from $694.00 to $671.00 and set an “outperform” rating for the company in a research note on Thursday, August 8th. Finally, Bank of America boosted their price target on McKesson from $590.00 to $670.00 and gave the stock a “buy” rating in a research report on Tuesday, June 25th. Two equities research analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $620.93.

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.