McKesson (NYSE:MCK – Get Free Report) issued an update on its FY 2027 earnings guidance on Wednesday. The company provided EPS guidance of 44.200-45.000 for the period, compared to the consensus earnings per share estimate of 44.270. The company issued revenue guidance of $423.6 billion-$439.7 billion, compared to the consensus revenue estimate of $431.9 billion.
Analyst Ratings Changes
Several equities research analysts have recently commented on the stock. TD Cowen reduced their target price on shares of McKesson from $1,012.00 to $989.00 and set a “buy” rating on the stock in a research note on Tuesday, July 21st. Wall Street Zen downgraded shares of McKesson from a “buy” rating to a “hold” rating in a report on Saturday, June 27th. Barclays decreased their price objective on shares of McKesson from $1,050.00 to $925.00 and set an “overweight” rating on the stock in a research note on Wednesday, June 10th. Citigroup increased their price target on McKesson from $945.00 to $1,000.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Finally, JPMorgan Chase & Co. decreased their target price on McKesson from $1,107.00 to $1,015.00 and set an “overweight” rating on the stock in a report on Friday, May 8th. Fourteen research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $962.67.
Read Our Latest Research Report on McKesson
McKesson Stock Up 5.2%
McKesson (NYSE:MCK – Get Free Report) last issued its earnings results on Wednesday, August 5th. The company reported $9.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $9.56 by $0.37. The company had revenue of $105.38 billion for the quarter, compared to analyst estimates of $103.88 billion. McKesson had a net margin of 1.18% and a negative return on equity of 345.35%. The company’s revenue for the quarter was up 7.7% on a year-over-year basis. During the same quarter last year, the firm earned $8.26 EPS. McKesson has set its FY 2027 guidance at 44.200-45.000 EPS. On average, equities analysts predict that McKesson will post 44.28 earnings per share for the current fiscal year.
McKesson Increases Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Tuesday, September 1st will be given a $0.94 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $3.76 annualized dividend and a dividend yield of 0.4%. This is a boost from McKesson’s previous quarterly dividend of $0.82. McKesson’s payout ratio is presently 8.53%.
Insider Activity at McKesson
In other McKesson news, CAO Napoleon B. Rutledge, Jr. sold 133 shares of the business’s stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $764.00, for a total value of $101,612.00. Following the sale, the chief accounting officer owned 632 shares in the company, valued at approximately $482,848. The trade was a 17.39% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Michele Lau sold 3,550 shares of the business’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $761.09, for a total transaction of $2,701,869.50. Following the completion of the sale, the executive vice president directly owned 3,247 shares in the company, valued at approximately $2,471,259.23. This represents a 52.23% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 28,748 shares of company stock valued at $22,262,035. Corporate insiders own 0.06% of the company’s stock.
Key McKesson News
Here are the key news stories impacting McKesson this week:
- Positive Sentiment: McKesson delivered adjusted earnings of $9.93 per share, above analyst estimates ranging from $9.44 to $9.56 and up from $8.26 a year earlier. Revenue reached $105.38 billion, exceeding the $103.88 billion consensus estimate and rising 7.7% year over year. McKesson fiscal 2027 first-quarter earnings report
- Positive Sentiment: The company raised its fiscal 2027 adjusted EPS guidance to $44.20-$45.00. The midpoint is above the current analyst consensus of approximately $44.27, suggesting management expects continued earnings growth. McKesson Reports Fiscal 2027 First Quarter Results and Raises Full Year Adjusted EPS Guidance
- Positive Sentiment: Strong quarterly execution and the higher profit outlook reinforce the view that demand for McKesson’s pharmaceutical distribution and healthcare services remains resilient. Barron’s also identified McKesson among healthcare stocks with potential long-term upside as investor interest in the sector improves. Healthcare Stocks Have Been Forgotten
Institutional Trading of McKesson
Several institutional investors and hedge funds have recently bought and sold shares of the stock. Brighton Jones LLC increased its position in McKesson by 46.3% during the fourth quarter. Brighton Jones LLC now owns 2,523 shares of the company’s stock worth $1,438,000 after buying an additional 798 shares during the last quarter. Sivia Capital Partners LLC boosted its position in McKesson by 77.9% during the second quarter. Sivia Capital Partners LLC now owns 685 shares of the company’s stock worth $502,000 after purchasing an additional 300 shares during the period. DF Dent & Co. Inc. increased its holdings in shares of McKesson by 1.1% in the fourth quarter. DF Dent & Co. Inc. now owns 1,238 shares of the company’s stock valued at $1,016,000 after purchasing an additional 14 shares during the last quarter. Kovack Advisors Inc. raised its position in shares of McKesson by 217.1% in the fourth quarter. Kovack Advisors Inc. now owns 1,221 shares of the company’s stock valued at $1,002,000 after purchasing an additional 836 shares during the period. Finally, ADAR1 Capital Management LLC acquired a new stake in shares of McKesson during the 4th quarter worth about $984,000. Institutional investors own 85.07% of the company’s stock.
About McKesson
McKesson Corporation (NYSE: MCK) is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.
The company’s core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.
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