Baird: McKesson (MCK.US) hosts "unusual" sell-side event, cuts target to $531

Market VisionWednesday, Sep 25, 2024 3:20 am ET

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Zhitong Finance learned that Baird downgraded Mckesson (MCK.US) from outperform to neutral and cut its target price from $603 to $531 on Tuesday, saying the company's plan to hold an investor event with the sell-side community was "unusual".

Analyst Eric Coldwell wrote: "The unusual nature and timing of the event, scheduled for the morning of November 7, following the company's second-quarter earnings call, gives us concern, especially in the context of the year-to-date backdrop."

Coldwell noted that Mckesson's June announcement of its first-quarter 25 fiscal year results, and its latest results at its most recent meeting, further damaged Wall Street's expectations for the second quarter, following two disappointing quarterly reports this year.

The analyst wrote: "The past few months have seen two poor reports, two downgrades of second-quarter guidance, and other concerns and frustrations mounting. We are concerned about a sell-off in November."

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