McKesson (NYSE:MCK) Reaches New 52-Week High Following Analyst Upgrade

McKesson Corporation (NYSE:MCK)’s share price hit a new 52-week high during trading on Wednesday after Mizuho raised their price target on the stock from $905.00 to $1,020.00. Mizuho currently has a neutral rating on the stock. McKesson traded as high as $1,030.27 and last traded at $1,029.5240, with a volume of 789,379 shares trading hands. The stock had previously closed at $1,010.43.

A number of other brokerages also recently commented on MCK. Morgan Stanley set a $977.00 price target on shares of McKesson in a report on Tuesday, October 6th. TD Cowen boosted their price objective on McKesson from $989.00 to $1,006.00 and gave the stock a “buy” rating in a research note on Thursday, August 6th. Royal Bank Of Canada reissued a “sector perform” rating and set a $845.00 price objective on shares of McKesson in a research note on Monday, September 14th. Wall Street Zen upgraded McKesson from a “hold” rating to a “buy” rating in a research report on Saturday, October 17th. Finally, Barclays upped their price objective on McKesson from $925.00 to $1,000.00 and gave the company an “overweight” rating in a research report on Wednesday, August 19th. Fifteen investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $997.12.

Insider Activity

In other news, EVP Francisco Fraga sold 800 shares of the firm’s stock in a transaction dated Thursday, October 15th. The shares were sold at an average price of $995.80, for a total value of $796,640.00. Following the completion of the sale, the executive vice president owned 5,423 shares in the company, valued at approximately $5,400,223.40. This trade represents a 12.86% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO B Jr sold 111 shares of the firm’s stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $891.45, for a total transaction of $98,950.95. Following the completion of the sale, the chief accounting officer owned 521 shares of the company’s stock, valued at $464,445.45. This trade represents a 17.56% decrease in their position. 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 have sold 1,212 shares of company stock valued at $1,164,182. 0.06% of the stock is currently owned by company insiders.

Trending Headlines about McKesson

Here are the key news stories impacting McKesson this week:

• Positive Sentiment: Mizuho raised its price target for McKesson to $1,020, implying modest additional upside from recent trading levels. The upgrade follows the stock reaching a new one-year high and could support investor confidence. Mizuho raises McKesson price target
• Positive Sentiment: A recent analysis argues that artificial-intelligence initiatives and a potential FDA overhaul could become larger growth drivers for McKesson in 2027, potentially outweighing current regulatory headwinds. McKesson AI and FDA outlook
• Neutral Sentiment: McKesson declared a quarterly dividend of $0.94 per share, payable January 4, 2027, to shareholders of record December 1. The annualized payout is $3.76, representing a relatively low yield of about 0.4%, so the announcement is primarily a signal of continued shareholder returns rather than a major income catalyst. McKesson declares quarterly dividend
• Neutral Sentiment: Investor attention remains elevated after McKesson’s strong long-term performance and recent analyst upgrade, but elevated valuation and the stock’s proximity to its 52-week high may limit near-term upside. McKesson reaches one-year high
• Negative Sentiment: An insider, Francisco Fraga, reportedly sold 800 McKesson shares. The transaction is not necessarily a fundamental warning, but insider selling can weigh modestly on sentiment. McKesson insider share sale
• Negative Sentiment: Coverage of a McKesson-related security incident highlights potential cybersecurity and operational risks, which could add to investor concerns alongside regulatory uncertainty. McKesson security incident analysis

Institutional Trading of McKesson

Institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new position in shares of McKesson during the second quarter valued at approximately $8,156,743,000. Bank of America Corp DE purchased a new stake in shares of McKesson in the second quarter worth approximately $998,896,000. Legal & General Group Plc bought a new stake in shares of McKesson during the 2nd quarter worth approximately $656,566,000. The Manufacturers Life Insurance Company bought a new stake in shares of McKesson during the 2nd quarter worth approximately $651,462,000. Finally, Bank of New York Mellon Corp bought a new stake in shares of McKesson during the 2nd quarter worth approximately $599,060,000. Institutional investors own 85.07% of the company’s stock.

McKesson Stock Performance

The stock has a fifty day moving average of $908.70 and a 200-day moving average of $841.27. The company has a market cap of $117.86 billion, a PE ratio of 24.88, a PEG ratio of 2.02 and a beta of 0.30.

McKesson (NYSE:MCK) last announced its quarterly earnings data on Wednesday, August 5th. The company reported $9.93 EPS for the quarter, beating the consensus estimate of $9.56 by $0.37. McKesson had a negative return on equity of 253.21% and a net margin of 1.12%. The company had revenue of $105.38 billion for the quarter, compared to the consensus estimate of $103.88 billion. During the same quarter in the prior year, the company posted $8.26 EPS. McKesson’s quarterly revenue was up 7.7% on a year-over-year basis. McKesson has set its FY 2027 guidance at 44.200-45.000 EPS. As a group, equities analysts anticipate that McKesson Corporation will post 44.71 EPS for the current fiscal year.

McKesson Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, January 4th. Investors of record on Tuesday, December 1st will be paid a $0.94 dividend. This represents a $3.76 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Tuesday, December 1st. McKesson’s dividend payout ratio (DPR) is currently 10.06%.

McKesson Company Profile

McKesson Corporation is a healthcare services and information technology company that distributes pharmaceuticals and medical products to pharmacies, hospitals, health systems, physicians and other healthcare providers. The company also provides technology, data and business solutions designed to support prescription management, pharmacy operations and patient care.

McKesson’s principal activities include pharmaceutical distribution, medical-surgical supply distribution, specialty pharmaceutical services and oncology care support.