McKesson Corp. Rating Reiterated by Zacks (MCK)
McKesson Corp. (NYSE:MCK)‘s stock had its “neutral” rating restated by Zacks in a research note issued to investors on Friday, Analyst RN reports. They currently have a $181.00 price objective on the stock. Zacks‘ price objective points to a potential upside of 4.99% from the stock’s previous close.
Zacks‘ analyst wrote, “McKesson Corporation’s third quarter of fiscal 2014 earnings of $1.45 per share was up 0.7% from the year-ago quarter. The Zacks Consensus Estimate was $1.83 per share. Revenues grew 10.3% to $34.3 billion in the third quarter of fiscal 2014, surpassing the Zacks Consensus Estimate of $33.6 billion. McKesson lowered its earnings guidance range to $8.05-$8.20 in 2014, from the earlier estimate of $8.40 $8.70 per share. Third quarter results did not surprise us. The lowering of guidance due to onetime charges was disappointing. Nevertheless, we are impressed with McKesson’s relentless efforts to acquire Celesio. We believe the Celesio acquisition is a step in the right direction and will allow McKesson to gain a foothold in Europe, thereby geographically expanding its core operations further. We maintain our Neutral recommendation. “
McKesson Corp. (NYSE:MCK) last posted its quarterly earnings results on Friday, January 31st. The company reported $1.45 EPS for the quarter, missing the Thomson Reuters consensus estimate of $1.85 by $0.40. The company had revenue of $34.30 billion for the quarter, compared to the consensus estimate of $38.57 billion.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, April 1st. Investors of record on Monday, March 3rd will be paid a dividend of 0.24 per share. This represents a $0.96 annualized dividend and a dividend yield of 0.56%. The ex-dividend date is Thursday, February 27th.
In other McKesson Corp. news, EVP Brian Scott Tyler sold 6,250 shares of the stock in a transaction that occurred on Tuesday, February 4th. The shares were sold at an average price of $169.68, for a total value of $1,060,500.00. Following the completion of the transaction, the executive vice president now directly owns 5 shares in the company, valued at approximately $848. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.
A number of other analysts have also recently weighed in on MCK. Analysts at JPMorgan Chase & Co. initiated coverage on shares of McKesson Corp. in a research note to investors on Friday. They set an “overweight” rating on the stock. Separately, analysts at Sterne Agee raised their price target on shares of McKesson Corp. from $185.00 to $203.00 in a research note to investors on Friday, January 31st. Finally, analysts at Leerink Swann raised their price target on shares of McKesson Corp. from $180.00 to $205.00 in a research note to investors on Friday, January 31st. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating, eleven have assigned a buy rating and two have issued a strong buy rating to the stock. The company presently has an average rating of “Buy” and a consensus target price of $178.75.
McKesson Corporation delivers pharmaceuticals, medical supplies and healthcare information technologies.
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