McKesson Corp. shares jumped 3.2% to $901.49 in afternoon trading, extending gains after the healthcare distributor announced plans to acquire Precision Medicine Group LLC for approximately $2.25 billion.
The transaction marks a strategic expansion in McKesson’s oncology and multispecialty operations, according to Chief Executive Brian Tyler. Precision Medicine Group, a global provider of clinical research and biopharma commercialization services, offers capabilities including biomarker intelligence, lab services, clinical trial execution, and market access consulting.
Barclays raised its price target on McKesson to $1,000 shortly before the announcement, citing the acquisition’s alignment with the company’s growth strategy. The stock reached an intraday high of $902.13, bringing its year-to-date gain to roughly 27% and trimming its 52-week loss to 9.8% from the peak of $999.
The deal follows a 33% revenue increase in McKesson’s Oncology & Multispecialty unit during the most recent quarter. The company also increased its quarterly dividend by 15% to $0.94 per share, signaling confidence in its cash flow outlook.
Broader equities showed muted gains, with the S&P 500 up 0.2%, the Dow Jones Industrial Average rising 0.2%, and the Nasdaq Composite climbing 0.4%. Analysts attributed McKesson’s outsized move to company-specific momentum rather than broader market trends.
