Diversified Management Inc. Acquires New Stake in McDonald’s Corporation $MCD

Diversified Management Inc. bought a new position in shares of McDonald’s Corporation (NYSE:MCD) in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm bought 3,605 shares of the fast-food giant’s stock, valued at approximately $1,102,000.

Several other hedge funds and other institutional investors have also recently bought and sold shares of MCD. Evergreen Private Wealth LLC increased its stake in shares of McDonald’s by 162.5% in the third quarter. Evergreen Private Wealth LLC now owns 84 shares of the fast-food giant’s stock valued at $26,000 after buying an additional 52 shares during the period. Park Place Capital Corp lifted its stake in shares of McDonald’s by 95.7% in the fourth quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant’s stock worth $28,000 after acquiring an additional 45 shares during the period. Painted Porch Advisors LLC boosted its holdings in McDonald’s by 735.7% in the third quarter. Painted Porch Advisors LLC now owns 117 shares of the fast-food giant’s stock valued at $36,000 after acquiring an additional 103 shares during the last quarter. Davis Capital Management acquired a new stake in McDonald’s during the 3rd quarter valued at approximately $37,000. Finally, Saranac Partners Ltd acquired a new stake in McDonald’s during the 3rd quarter valued at approximately $37,000. 70.29% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at McDonald’s

In other McDonald’s news, CEO Christopher J. Kempczinski sold 26,276 shares of the firm’s stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $333.54, for a total value of $8,764,097.04. Following the completion of the sale, the chief executive officer owned 22,900 shares of the company’s stock, valued at approximately $7,638,066. This trade represents a 53.43% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP Jonathan Banner sold 6,201 shares of the business’s stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $333.29, for a total value of $2,066,731.29. Following the sale, the executive vice president owned 2,291 shares of the company’s stock, valued at approximately $763,567.39. This represents a 73.02% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 71,657 shares of company stock valued at $23,723,307. 0.25% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on MCD. Piper Sandler boosted their price target on shares of McDonald’s from $323.00 to $325.00 and gave the stock a “neutral” rating in a research report on Thursday, February 12th. Barclays increased their price objective on shares of McDonald’s from $372.00 to $380.00 and gave the stock an “overweight” rating in a research report on Thursday, February 12th. UBS Group boosted their target price on shares of McDonald’s from $350.00 to $365.00 and gave the company a “buy” rating in a report on Thursday, February 12th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of McDonald’s in a research report on Wednesday, January 28th. Finally, Mizuho increased their price target on McDonald’s from $300.00 to $325.00 and gave the stock a “neutral” rating in a report on Friday, February 6th. Seventeen analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, McDonald’s currently has a consensus rating of “Hold” and an average target price of $339.69.

More McDonald’s News

Here are the key news stories impacting McDonald’s this week:

• Positive Sentiment: Large beverage push — McDonald’s is rolling out energy drinks (including Red Bull Dragonberry), crafted sodas and “refreshers” nationwide to target younger, price‑sensitive customers and lift repeat visits and beverage margins. This strategic push is the clearest near‑term growth lever investors are citing. Read More.
• Positive Sentiment: Value menu expansion — Management is expanding an “under $3” value lineup to drive transactions and traffic, a defensive move to support comps while higher‑margin initiatives scale. Read More.
• Positive Sentiment: Recent fundamentals and analyst coverage — McDonald’s beat last quarter’s EPS and revenue expectations (Feb. results) and several brokerages maintain constructive targets, supporting the stock’s upward bias. Read More.
• Neutral Sentiment: Marketing & cultural buzz — Promotional tie‑ins (K‑pop collab, viral CEO clips) and local guest‑experience pilots can drive short‑term traffic but are hard to quantify for long‑term earnings. Read More.
• Neutral Sentiment: Operator initiatives — Independent franchisees (e.g., Kaufman Enterprises) are testing customer‑insight programs to boost service — positive for operations but limited near‑term market impact. Read More.
• Negative Sentiment: Commodity cost pressure — Cattle prices and broader meat inflation are at multiyear highs, which could compress margins if franchisees/management cannot fully pass costs through. Read More.
• Negative Sentiment: Legal risk — A lawsuit filed by former Black executives is headed to trial, adding headline/legal risk that could weigh on sentiment if outcomes or damages emerge. Read More.
• Negative Sentiment: Insider sale & competitive noise — A disclosed sale by the U.S. president under a 10b5‑1 plan, combined with month‑to‑date share weakness and rival menu moves (e.g., Chili’s targeting late‑night/value segments), is adding short‑term selling pressure. Read More. Read More.

McDonald’s Stock Up 1.1%

Shares of MCD stock opened at $306.57 on Thursday. The firm has a 50 day moving average of $320.25 and a 200-day moving average of $311.74. The company has a market cap of $217.92 billion, a price-to-earnings ratio of 25.65, a price-to-earnings-growth ratio of 2.70 and a beta of 0.53. McDonald’s Corporation has a 52 week low of $283.47 and a 52 week high of $341.75.

McDonald’s (NYSE:MCD) last issued its earnings results on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.05 by $0.07. The business had revenue of $7.01 billion for the quarter, compared to analyst estimates of $6.81 billion. McDonald’s had a net margin of 31.85% and a negative return on equity of 343.90%. McDonald’s’s revenue was up 9.7% on a year-over-year basis. During the same period in the prior year, the firm earned $2.83 earnings per share. Analysts anticipate that McDonald’s Corporation will post 12.25 earnings per share for the current year.

McDonald’s Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd were given a dividend of $1.86 per share. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend was Tuesday, March 3rd. McDonald’s’s dividend payout ratio is 62.26%.

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.