McKesson (NYSE:MCK) Updates FY 2027 Earnings Guidance

McKesson (NYSE:MCK) issued an update on its FY 2027 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 44.200-45.000 for the period, compared to the consensus EPS 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.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on MCK shares. JPMorgan Chase & Co. decreased their price objective on shares of McKesson from $1,107.00 to $1,015.00 and set an “overweight” rating for the company in a report on Friday, May 8th. UBS Group boosted their target price on shares of McKesson from $1,000.00 to $1,050.00 and gave the company a “buy” rating in a research note on Friday, May 8th. Citigroup raised their price target on shares of McKesson from $945.00 to $1,000.00 and gave the stock a “buy” rating in a research note on Friday, July 24th. Barclays lowered their price target on shares of McKesson from $1,050.00 to $925.00 and set an “overweight” rating on the stock in a report on Wednesday, June 10th. Finally, Wall Street Zen downgraded McKesson from a “buy” rating to a “hold” rating in a research note on Saturday, June 27th. Fourteen analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $962.67.

McKesson Stock Up 5.2%

McKesson stock traded up $43.58 during midday trading on Wednesday, reaching $874.01. The stock had a trading volume of 1,142,514 shares, compared to its average volume of 947,883. The firm has a market capitalization of $102.33 billion, a PE ratio of 22.72, a P/E/G ratio of 1.36 and a beta of 0.30. McKesson has a 12 month low of $637.00 and a 12 month high of $999.00. The firm’s 50-day moving average price is $793.42 and its 200 day moving average price is $840.32.

McKesson (NYSE:MCK) last issued its earnings results on Wednesday, August 5th. The company reported $9.93 earnings per share for the quarter, topping analysts’ consensus estimates of $9.56 by $0.37. The firm had revenue of $105.38 billion during 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%. McKesson has set its FY 2027 guidance at 44.200-45.000 EPS. Equities research analysts expect that McKesson will post 44.28 EPS for the current 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 paid a $0.94 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $3.76 dividend on an annualized basis and a yield of 0.4%. This is a positive change from McKesson’s previous quarterly dividend of $0.82. McKesson’s dividend payout ratio (DPR) is presently 8.53%.

Insider Buying and Selling at McKesson

In other news, CAO Napoleon B. Rutledge, Jr. sold 133 shares of the firm’s stock in a transaction 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 completion of the transaction, the chief accounting officer directly owned 632 shares of the company’s stock, valued at $482,848. This trade represents a 17.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thomas L. Rodgers sold 699 shares of McKesson stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $735.27, for a total value of $513,953.73. Following the completion of the transaction, the executive vice president owned 2,268 shares of the company’s stock, valued at approximately $1,667,592.36. This trade represents a 23.56% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 28,748 shares of company stock worth $22,262,035. 0.06% of the stock is owned by insiders.

Key Stories Impacting McKesson

Here are the key news stories impacting McKesson this week:

• Positive Sentiment: Positive coverage emphasizes McKesson’s defensive healthcare exposure, resilient pharmaceutical demand, specialty-pharmacy and oncology growth opportunities, and potential for operational efficiency gains. These factors may support investor confidence in the company’s longer-term earnings outlook. Why McKesson is a top value stock for the long term
• Positive Sentiment: McKesson entered earnings season with expectations for resilient demand. Industry results from Cencora, including an earnings beat and raised fiscal-year outlook, may have reinforced the view that pharmaceutical distribution fundamentals remain supportive for MCK. What’s in Store for These 4 Healthcare Companies This Earnings Season?
• Neutral Sentiment: McKesson was scheduled to report fiscal first-quarter 2027 results after the market close on August 5. The earnings event is likely to increase volatility as investors focus on revenue growth, margins, specialty pharmaceuticals, pricing dynamics and management’s outlook. McKesson Slides Ahead of Earnings as Investors Weigh Setup Into Q1 Report
• Negative Sentiment: Investors have previously shown caution over top-line momentum, pricing pressure and the possibility of profit-taking ahead of earnings. Reports that McKesson laid off dozens of employees at Rx Savings Solutions amid restructuring add a modest concern about costs and business execution, although the financial impact is not specified. McKesson lays off dozens at Rx Savings Solutions amid restructuring

Institutional Investors Weigh In On McKesson

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Brighton Jones LLC lifted its stake in McKesson by 46.3% in the 4th quarter. Brighton Jones LLC now owns 2,523 shares of the company’s stock worth $1,438,000 after purchasing an additional 798 shares in the last quarter. Caxton Associates LLP purchased a new stake in shares of McKesson in the first quarter worth $233,000. Sivia Capital Partners LLC boosted its stake in McKesson by 77.9% during the second quarter. Sivia Capital Partners LLC now owns 685 shares of the company’s stock valued at $502,000 after buying an additional 300 shares during the period. Treasurer of the State of North Carolina grew its position in McKesson by 0.9% during the second 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. purchased a new position in McKesson during the second quarter worth about $166,000. 85.07% of the stock is currently owned by institutional investors.

McKesson Company Profile

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.