Financial Solutions Advisory Group Inc. bought a new stake in McDonald’s Corporation (NYSE:MCD – Free Report) during the first quarter, Holdings Channel reports. The fund bought 4,020 shares of the fast-food giant’s stock, valued at approximately $1,249,000.
A number of other institutional investors have also recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its stake in McDonald’s by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 72,351,127 shares of the fast-food giant’s stock worth $22,112,675,000 after acquiring an additional 703,458 shares during the last quarter. State Street Corp lifted its stake in shares of McDonald’s by 2.7% in the 4th quarter. State Street Corp now owns 35,983,997 shares of the fast-food giant’s stock valued at $10,997,789,000 after purchasing an additional 959,140 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of McDonald’s by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 17,038,519 shares of the fast-food giant’s stock worth $5,195,965,000 after purchasing an additional 76,090 shares during the period. Price T Rowe Associates Inc. MD grew its holdings in shares of McDonald’s by 3.0% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 9,474,749 shares of the fast-food giant’s stock worth $2,895,768,000 after purchasing an additional 277,617 shares during the period. Finally, Norges Bank acquired a new stake in McDonald’s during the 4th quarter worth approximately $2,890,438,000. Hedge funds and other institutional investors own 70.29% of the company’s stock.
Insiders Place Their Bets
In other McDonald’s news, EVP Desiree Ralls-Morrison sold 2,763 shares of the company’s stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $278.36, for a total value of $769,108.68. Following the completion of the transaction, the executive vice president directly owned 6,268 shares of the company’s stock, valued at $1,744,760.48. This represents a 30.59% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Joseph M. Erlinger sold 5,252 shares of the company’s stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the completion of the transaction, the insider directly owned 7,734 shares of the company’s stock, valued at approximately $2,198,930.88. The trade was a 40.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 8,348 shares of company stock valued at $2,355,634. Company insiders own 0.26% of the company’s stock.
McDonald’s News Summary
- Positive Sentiment: Unusually heavy call-option activity suggests some traders are positioning for upside. Investors purchased 32,245 calls, approximately 45% above the average volume of 22,241 calls.
- Positive Sentiment: Technical analyst Jay Woods said McDonald’s chart is beginning to form a potential buy signal, which could attract bargain hunters after the stock’s recent correction. CNBC article
- Positive Sentiment: McDonald’s continues to appeal to income-focused investors after declaring a quarterly dividend of $1.86 per share. Analysts also maintain a consensus “moderate buy” recommendation. Dividend strength and softer sales expectations Consensus recommendation
- Neutral Sentiment: Investors are focused on value meals, menu innovation, digital promotions, same-store sales, margins and management’s outlook when McDonald’s reports second-quarter results. Q2 earnings factors
- Negative Sentiment: Mizuho lowered its price target from $300 to $290 and assigned a “neutral” rating, signaling limited conviction despite implied upside from current levels.
- Negative Sentiment: The stock has remained below its 200-week moving average for the longest stretch since 2003, highlighting persistent technical weakness. Barchart technical analysis
- Negative Sentiment: Analysts expect softer sales and weaker earnings, particularly as lower-income consumers remain pressured. That caution could limit gains before the earnings release. McDonald’s stock ahead of August 4 earnings
McDonald’s Stock Performance
Shares of NYSE:MCD opened at $270.83 on Friday. The business’s 50-day simple moving average is $274.88 and its 200 day simple moving average is $297.69. The company has a market cap of $192.43 billion, a P/E ratio of 22.33, a PEG ratio of 2.91 and a beta of 0.41. McDonald’s Corporation has a one year low of $260.96 and a one year high of $341.75.
McDonald’s (NYSE:MCD – Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.74 by $0.09. The company had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. McDonald’s had a net margin of 31.62% and a negative return on equity of 442.10%. McDonald’s’s revenue for the quarter was up 9.4% on a year-over-year basis. During the same quarter last year, the company earned $2.67 earnings per share. Analysts predict that McDonald’s Corporation will post 12.86 earnings per share for the current year.
McDonald’s Announces Dividend
The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Tuesday, September 1st will be issued a dividend of $1.86 per share. This represents a $7.44 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date of this dividend is Tuesday, September 1st. McDonald’s’s dividend payout ratio (DPR) is presently 61.34%.
Wall Street Analysts Forecast Growth
Several research analysts recently commented on MCD shares. Weiss Ratings lowered shares of McDonald’s from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, June 23rd. Morgan Stanley decreased their price objective on shares of McDonald’s from $331.00 to $322.00 and set an “equal weight” rating for the company in a research note on Wednesday, July 15th. UBS Group dropped their price objective on shares of McDonald’s from $365.00 to $340.00 and set a “buy” rating for the company in a research report on Monday, July 27th. Erste Group Bank downgraded shares of McDonald’s from a “buy” rating to a “hold” rating in a research note on Monday, April 27th. Finally, BTIG Research reduced their target price on shares of McDonald’s from $370.00 to $350.00 and set a “buy” rating on the stock in a report on Friday, July 24th. Fifteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat.com, McDonald’s presently has a consensus rating of “Moderate Buy” and a consensus target price of $331.92.
View Our Latest Stock Analysis on MCD
About McDonald’s
McDonald’s Corporation (NYSE: MCD) is a global quick-service restaurant company best known for its hamburgers, French fries and breakfast offerings. The company develops, operates and franchises a system of restaurants that sell a range of food and beverage items, including signature products such as the Big Mac, Quarter Pounder, Chicken McNuggets, McCafé coffee beverages and a variety of salads, desserts and seasonal menu items. McDonald’s serves customers through company-operated restaurants and franchised locations, and it supports sales via dine-in, drive-thru, digital ordering platforms and third-party delivery partnerships.
Founded in 1940 by brothers Richard and Maurice McDonald as a single San Bernardino, California restaurant, the business was transformed into a franchising model after Ray Kroc joined in the mid-1950s and led the brand’s national and international expansion.
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