McDonald’s (NYSE:MCD – Get Free Report) had its price target decreased by research analysts at JPMorgan Chase & Co. from $325.00 to $305.00 in a note issued to investors on Monday,Benzinga reports. The firm presently has an “overweight” rating on the fast-food giant’s stock. JPMorgan Chase & Co.‘s target price points to a potential upside of 11.34% from the company’s previous close.
A number of other brokerages also recently issued reports on MCD. Guggenheim dropped their price target on shares of McDonald’s from $325.00 to $320.00 and set a “neutral” rating on the stock in a research report on Friday, February 13th. Evercore set a $350.00 price objective on shares of McDonald’s in a research note on Friday. Royal Bank Of Canada lowered their price objective on shares of McDonald’s from $330.00 to $305.00 and set a “sector perform” rating for the company in a research note on Friday. Erste Group Bank lowered shares of McDonald’s from a “buy” rating to a “hold” rating in a research note on Monday, April 27th. Finally, Cfra upgraded shares of McDonald’s to a “buy” rating in a research note on Friday. Seventeen investment analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, McDonald’s presently has a consensus rating of “Moderate Buy” and an average price target of $334.45.
Check Out Our Latest Stock Report on McDonald’s
McDonald’s Trading Down 0.7%
McDonald’s (NYSE:MCD – Get Free Report) last posted its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 EPS for the quarter, topping the consensus estimate of $2.74 by $0.09. McDonald’s had a net margin of 31.62% and a negative return on equity of 442.10%. The business had revenue of $6.52 billion for the quarter, compared to the consensus estimate of $6.47 billion. During the same period last year, the company earned $2.67 EPS. The firm’s revenue was up 9.4% compared to the same quarter last year. As a group, analysts expect that McDonald’s will post 13.04 earnings per share for the current year.
Insider Buying and Selling at McDonald’s
In other McDonald’s news, CMO Edith Morgan Flatley sold 4,692 shares of the company’s stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $331.00, for a total transaction of $1,553,052.00. Following the sale, the chief marketing officer directly owned 6,200 shares of the company’s stock, valued at $2,052,200. This represents a 43.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Joseph M. Erlinger sold 333 shares of the company’s stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $302.72, for a total transaction of $100,805.76. Following the sale, the insider directly owned 8,067 shares in the company, valued at approximately $2,442,042.24. This trade represents a 3.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 71,990 shares of company stock valued at $23,824,113 in the last three months. 0.26% of the stock is owned by company insiders.
Institutional Investors Weigh In On McDonald’s
A number of institutional investors and hedge funds have recently modified their holdings of the company. Evergreen Private Wealth LLC raised its stake in 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 purchasing an additional 52 shares in the last quarter. Your Advocates Ltd. LLP bought a new position in McDonald’s during the fourth quarter valued at approximately $27,000. Park Place Capital Corp grew its position in McDonald’s by 95.7% during the fourth quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant’s stock valued at $28,000 after acquiring an additional 45 shares during the last quarter. IFC & Insurance Marketing Inc. bought a new position in McDonald’s during the fourth quarter valued at approximately $29,000. Finally, Abound Financial LLC bought a new position in McDonald’s during the fourth quarter valued at approximately $30,000. 70.29% of the stock is owned by hedge funds and other institutional investors.
McDonald’s News Roundup
Here are the key news stories impacting McDonald’s this week:
- Positive Sentiment: Some commentators argue the recent selloff may be overdone, pointing to McDonald’s solid Q1 comparable-store sales growth and suggesting the stock could appeal to value-oriented investors after falling to multi-month lows.
- Positive Sentiment: McDonald’s value-focused promotions continue to support traffic, and one recent article highlighted that the company’s pricing and menu strategy has helped lift sales despite a tougher consumer backdrop.
- Positive Sentiment: McDonald’s long track record of dividend growth was also highlighted, with some investors viewing the stock as a durable dividend compounder despite near-term volatility.
- Neutral Sentiment: Articles about menu hacks, breakfast nostalgia, drive-thru etiquette, and modernization efforts such as phasing out self-serve soda machines are more consumer-interest driven than stock-moving.
- Negative Sentiment: JPMorgan cut its price target on McDonald’s to $305, marking the second analyst target reduction in two sessions and reinforcing concerns that the same-store-sales story may be stalling. JPMorgan Cuts McDonald’s Price Target to $305: Is the Same-Store-Sales Story Stalling?
- Negative Sentiment: McDonald’s CEO has warned about a possible consumer spending pullback, and one report noted gas prices could weigh on demand from lower-income customers, adding to fears of softer restaurant traffic.
- Negative Sentiment: TD Cowen also lowered its price target to $300, adding to the broader analyst caution around the stock.
McDonald’s Company Profile
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.
Read More
- Five stocks we like better than McDonald’s
- Manic Monday.com: The Rally Is Just the Beginning for this SaaS Leader
- 5 Stocks Positioned to Benefit From the AI Inference Boom
- Meta Platforms’ Wild Post-Earnings Swings: Where Analyst Price Targets Stand Now
- 3 Metals and Mining Stocks Riding the Commodity Supercycle
Receive News & Ratings for McDonald's Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for McDonald's and related companies with MarketBeat.com's FREE daily email newsletter.
