Citigroup Has Lowered Expectations for McKesson (NYSE:MCK) Stock Price

McKesson (NYSE:MCK) had its price target decreased by equities researchers at Citigroup from $975.00 to $945.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The firm presently has a “buy” rating on the stock. Citigroup’s target price suggests a potential upside of 26.32% from the company’s previous close.

Several other research firms also recently issued reports on MCK. TD Cowen boosted their price target on McKesson from $1,000.00 to $1,012.00 and gave the company a “buy” rating in a research note on Thursday, February 5th. Mizuho lifted their target price on McKesson from $880.00 to $885.00 and gave the stock a “neutral” rating in a report on Thursday, February 5th. Wall Street Zen upgraded shares of McKesson from a “hold” rating to a “buy” rating in a research note on Saturday, May 2nd. Wells Fargo & Company lowered their price target on shares of McKesson from $925.00 to $812.00 and set an “equal weight” rating on the stock in a research report on Tuesday. Finally, Morgan Stanley reiterated an “overweight” rating and issued a $966.00 price objective on shares of McKesson in a research note on Thursday, January 29th. Fourteen analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $968.87.

McKesson Price Performance

McKesson stock traded up $10.95 during trading hours on Thursday, hitting $748.13. The company had a trading volume of 543,861 shares, compared to its average volume of 827,775. The firm has a 50-day moving average of $864.13 and a 200 day moving average of $858.29. The firm has a market cap of $89.93 billion, a PE ratio of 19.46, a PEG ratio of 1.10 and a beta of 0.35. McKesson has a one year low of $637.00 and a one year high of $999.00.

McKesson (NYSE:MCK) last issued its quarterly earnings data on Thursday, May 7th. The company reported $11.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $11.56 by $0.13. The company had revenue of $96.30 billion during the quarter, compared to analysts’ expectations of $101.35 billion. McKesson had a negative return on equity of 345.35% and a net margin of 1.18%.The business’s revenue was up 6.0% on a year-over-year basis. During the same quarter in the previous year, the company posted $10.12 earnings per share. McKesson has set its FY 2027 guidance at 43.800-44.600 EPS. As a group, research analysts expect that McKesson will post 44.29 earnings per share for the current year.

Insider Buying and Selling

In related news, EVP Michele Lau sold 2,725 shares of the company’s stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $990.00, for a total transaction of $2,697,750.00. Following the completion of the sale, the executive vice president owned 3,247 shares of the company’s stock, valued at $3,214,530. This represents a 45.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Maria Martinez sold 349 shares of the firm’s stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $939.87, for a total transaction of $328,014.63. Following the completion of the transaction, the director directly owned 301 shares in the company, valued at approximately $282,900.87. This represents a 53.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 3,264 shares of company stock worth $3,205,315. Company insiders own 0.08% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. Brighton Jones LLC lifted its stake 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 purchasing an additional 798 shares during the last quarter. Caxton Associates LLP bought a new position in shares of McKesson in the 1st quarter valued at $233,000. Sivia Capital Partners LLC increased its stake in shares of McKesson by 77.9% in the 2nd quarter. Sivia Capital Partners LLC now owns 685 shares of the company’s stock valued at $502,000 after purchasing an additional 300 shares during the last quarter. Treasurer of the State of North Carolina raised its holdings in shares of McKesson by 0.9% during the 2nd quarter. Treasurer of the State of North Carolina now owns 58,623 shares of the company’s stock worth $42,958,000 after buying an additional 508 shares in the last quarter. Finally, Osterweis Capital Management Inc. bought a new stake in shares of McKesson during the 2nd quarter worth $166,000. 85.07% of the stock is owned by institutional investors.

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.