McKesson upgraded to Outperform from Neutral at Baird

Baird upgraded McKesson (MCK) to Outperform from Neutral with a price target of $688, up from $531. The firm says McKesson cleared up several of its concerns and “removed a few major overhangs.” The company and peers reported strong updates again while large-cap healthcare “is relatively under-owned and relatively inexpensive,” the analyst tells investors in a research note. Baird “can’t strong argument why” the company shouldn’t return toward recently higher multiples.