McKesson Corp Surpasses Analyst Price Target: What’s Next for Investors?
Recently, McKesson Corp (Symbol: MCK) shares traded at $615.60, surpassing the average analyst 12-month target price of $612.07. When a stock achieves its target price, analysts typically consider two options: downgrade their rating due to valuation concerns or raise the target price to reflect positive developments in the company. The decision to adjust target prices often hinges on the company’s current business performance and prospects for future growth.
The average price target for McKesson is calculated from 15 different analysts in the Zacks coverage universe. It’s essential to note that this average masks a wide range of individual opinions; one analyst sets a target at $86.00, while another reaches as high as $713.00, resulting in a standard deviation of $154.313.
The rationale behind examining the average target price is to benefit from a collective insight, or “wisdom of crowds.” With McKesson exceeding its average target price of $612.07/share, investors now face a crucial decision. They must determine if this is merely a waypoint towards even greater heights or if the valuation is stretched, necessitating a careful consideration of whether to retain or sell their shares. Below is a breakdown of current analyst perspectives on McKesson Corp:
| Recent MCK Analyst Ratings Breakdown | ||||
|---|---|---|---|---|
| » | Current | 1 Month Ago | 2 Months Ago | 3 Months Ago |
| Strong buy ratings: | 11 | 10 | 12 | 12 |
| Buy ratings: | 1 | 1 | 1 | 1 |
| Hold ratings: | 4 | 5 | 3 | 3 |
| Sell ratings: | 0 | 0 | 0 | 0 |
| Strong sell ratings: | 0 | 0 | 0 | 0 |
| Average rating: | 1.53 | 1.66 | 1.41 | 1.41 |
The average rating scale ranges from 1 to 5, where 1 is a Strong Buy and 5 is a Strong Sell. This analysis utilizes data provided by Zacks Investment Research via Quandl.com. For detailed insights, access the latest Zacks research report on MCK—free of charge.
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Additional Resources:
• Dividend Channel
• EGRX Shares Outstanding History
• Funds Holding QMID
The views and opinions expressed herein are solely those of the author and do not necessarily reflect those of Nasdaq, Inc.
