McKesson Corp. shares advanced 3.2% in afternoon trading on Tuesday, reaching $901.49 after touching an intraday high of $902.13. The stock has traded between a 52-week low of $673.38 and a high of $999 over the past year.
The rally followed the company’s announcement of a definitive agreement to acquire Precision Medicine Group, LLC for approximately $2.25 billion. Precision Medicine Group operates as a global provider of clinical research and biopharma commercialization services, including biomarker intelligence, laboratory operations, clinical trial execution, market access consulting, and commercialization support.
McKesson’s CEO Brian Tyler stated that the transaction represents "another meaningful step in advancing our oncology and multispecialty strategy." The company’s Oncology & Multispecialty unit reported 33% revenue growth in its most recent quarter, contributing to the positive market reaction.
Analysts at Barclays raised McKesson’s price target to $1,000 just days before the deal announcement. The stock also benefited from a 15% increase in the company’s quarterly dividend to $0.94 per share.
Broader equity markets showed modest gains during the session, with the S&P 500 up 0.2%, the Dow Jones Industrial Average rising 0.2%, and the Nasdaq Composite climbing 0.4%.
