Do you think shares of McKesson Corporation (MCK) are exposed to current macro issues?

Baron Funds, an investment management firm, has released its Q3 2022 “Baron Health Care Fund” investor letter. A copy of it can be downloaded here. In the third quarter, the fund fell 6.01%, compared to a 4.72% decline for the Russell 3000 Health Care Index. The fund’s underperformance during the quarter was attributed to poor stock selection. Additionally, please see the fund’s top five holdings for its top picks in 2022.

Baron Funds highlighted stocks like McKesson Corporation (NYSE:MCK) in its third quarter 2022 letter to investors. Irving, Texas-based McKesson Corporation (NYSE:MCK) is a healthcare services provider. On October 14, 2022, McKesson Corporation (NYSE:MCK) stock closed at $352.65 per share. McKesson Corporation’s (NYSE:MCK) one-month return was 1.06% and its shares have gained 75.62% of their value over the past 52 weeks. McKesson Corporation (NYSE: MCK) has a market capitalization of $50.686 billion.

Here’s what Baron Funds specifically said about McKesson Corporation (NYSE:MCK) in its Q3 2022 letter to investors:

McKesson Corporation (NYSE: MCK) is a leading distributor of pharmaceuticals and medical supplies. The company also provides prescription technology solutions that connect pharmacies, providers, payers and biopharmaceutical customers. The stock price rose on strong financial results as its business was less exposed to the current macroeconomic headwinds. We continue to believe McKesson can increase earnings per share by an average of 12-14% per year and believe the stock is still reasonably valued. »

Photo by Myriam Zilles on Unsplash

McKesson Corporation (NYSE: MCK) is not on our list of the 30 most popular stocks among hedge funds. According to our database, McKesson Corporation (NYSE:MCK) held 47 hedge fund portfolios at the end of the second quarter, up from 59 in the prior quarter.

We discussed McKesson Corporation (NYSE:MCK) in another article and shared Carillon Tower Advisers’ views on the company. In addition, please see our Q3 2022 Hedge Fund Investor Letters page for more letters to hedge fund investors and other leading investors.

Suggested items:

Disclosure: none. This article originally appeared on Insider Monkey.

About Virginia Ahn

Check Also

Is Trex Company Inc (TREX) stock a smart Thursday investment?

Trex Company Inc (TREX) stock is down -61.72% over the past 12 months, and the …