CIBC Asset Management Inc Grows Stock Holdings in McDonald’s Corporation $MCD

CIBC Asset Management Inc raised its position in shares of McDonald’s Corporation (NYSE:MCD) by 26.6% during the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 322,585 shares of the fast-food giant’s stock after purchasing an additional 67,732 shares during the period. CIBC Asset Management Inc’s holdings in McDonald’s were worth $98,534,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in MCD. Norges Bank purchased a new stake in McDonald’s during the fourth quarter valued at about $2,890,438,000. Viking Global Investors LP raised its stake in shares of McDonald’s by 171.7% during the second quarter. Viking Global Investors LP now owns 3,125,432 shares of the fast-food giant’s stock worth $913,157,000 after acquiring an additional 1,974,998 shares in the last quarter. Franklin Resources Inc. raised its stake in shares of McDonald’s by 36.6% during the third quarter. Franklin Resources Inc. now owns 4,396,837 shares of the fast-food giant’s stock worth $1,336,155,000 after acquiring an additional 1,179,244 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its stake in shares of McDonald’s by 111.3% during the third quarter. Arrowstreet Capital Limited Partnership now owns 2,071,296 shares of the fast-food giant’s stock worth $629,446,000 after acquiring an additional 1,090,849 shares in the last quarter. Finally, Marshall Wace LLP raised its stake in shares of McDonald’s by 927.5% during the third quarter. Marshall Wace LLP now owns 827,547 shares of the fast-food giant’s stock worth $251,483,000 after acquiring an additional 927,547 shares in the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: McDonald’s unveiled its new “McDonald’s NEXT” strategy, centered on automation, improved restaurant design, better-tasting food, stronger hospitality, and more effective social media marketing. Investors may view this as a clear roadmap to reignite traffic and long-term sales growth. Article Title
• Positive Sentiment: Multiple articles highlighted that McDonald’s is leaning on value meals, chicken innovation, and restaurant upgrades to gain market share in a cautious consumer environment, which could help sustain demand even if spending stays weak. Article Title
• Positive Sentiment: Jim Cramer also named McDonald’s as a defensive stock to own outside the AI trade, suggesting it could benefit if investors rotate into steadier, out-of-favor sectors. Article Title
• Neutral Sentiment: McDonald’s strategy update also emphasizes making stores easier to run and improving efficiency, which could support margins over time but likely won’t show immediate results. Article Title
• Neutral Sentiment: An EVP recently sold shares, which can add some caution, but the transaction appears routine and is not by itself a strong fundamental warning. Article Title

Analyst Upgrades and Downgrades

MCD has been the topic of several research reports. Piper Sandler lifted their price target on shares of McDonald’s from $323.00 to $325.00 and gave the stock a “neutral” rating in a research note on Thursday, February 12th. Cfra raised shares of McDonald’s to a “buy” rating in a research note on Friday, May 8th. Morgan Stanley set a $331.00 price target on shares of McDonald’s in a research note on Friday, May 8th. Evercore set a $350.00 price objective on McDonald’s in a report on Friday, May 8th. Finally, Mizuho lifted their price objective on McDonald’s from $300.00 to $325.00 and gave the stock a “neutral” rating in a report on Friday, February 6th. Sixteen analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $334.45.

McDonald’s Trading Up 0.2%

Shares of McDonald’s stock opened at $276.61 on Wednesday. The company’s fifty day simple moving average is $294.66 and its two-hundred day simple moving average is $308.42. The company has a market cap of $196.53 billion, a P/E ratio of 22.80, a PEG ratio of 2.75 and a beta of 0.41. McDonald’s Corporation has a 12-month low of $271.98 and a 12-month high of $341.75.

McDonald’s (NYSE:MCD) last posted its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, topping analysts’ consensus estimates of $2.74 by $0.09. McDonald’s had a negative return on equity of 442.10% and a net margin of 31.62%.The firm had revenue of $6.52 billion for the quarter, compared to the consensus estimate of $6.47 billion. During the same quarter in the prior year, the business earned $2.67 EPS. The business’s revenue for the quarter was up 9.4% on a year-over-year basis. Analysts predict that McDonald’s Corporation will post 12.93 EPS for the current fiscal year.

McDonald’s Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 16th. Shareholders of record on Tuesday, June 2nd will be issued a dividend of $1.86 per share. The ex-dividend date is Tuesday, June 2nd. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.7%. McDonald’s’s dividend payout ratio is 61.34%.

Insider Buying and Selling

In other McDonald’s news, EVP Desiree Ralls-Morrison sold 2,763 shares of the company’s stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $278.36, for a total transaction of $769,108.68. Following the transaction, the executive vice president owned 6,268 shares in the company, valued at approximately $1,744,760.48. This represents a 30.59% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Joseph M. Erlinger sold 2,626 shares of the company’s stock in a transaction that occurred on Friday, April 10th. The stock was sold at an average price of $307.00, for a total value of $806,182.00. Following the transaction, the insider owned 8,400 shares in the company, valued at $2,578,800. This trade represents a 23.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 8,681 shares of company stock worth $2,631,594 in the last quarter. Company insiders own 0.26% of the company’s stock.

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.