MML Investors Services LLC Increases Position in McDonald’s Corporation $MCD

MML Investors Services LLC raised its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 13.3% in the 4th quarter, Holdings Channel reports. The institutional investor owned 161,996 shares of the fast-food giant’s stock after purchasing an additional 19,034 shares during the quarter. MML Investors Services LLC’s holdings in McDonald’s were worth $49,511,000 at the end of the most recent quarter.

A number of other large investors have also recently modified their holdings of MCD. Your Advocates Ltd. LLP purchased a new stake in McDonald’s during the fourth quarter worth $27,000. Park Place Capital Corp increased its position in shares of McDonald’s by 95.7% in the 4th 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 period. IFC & Insurance Marketing Inc. acquired a new position in shares of McDonald’s in the 4th quarter valued at $29,000. DecisionPoint Financial LLC increased its position in shares of McDonald’s by 1,616.7% in the 4th quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant’s stock valued at $31,000 after acquiring an additional 97 shares during the period. Finally, Entrust Financial LLC purchased a new stake in McDonald’s in the fourth quarter valued at $31,000. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Analyst Upgrades and Downgrades

MCD has been the topic of several recent research reports. JPMorgan Chase & Co. lowered their price target on shares of McDonald’s from $325.00 to $305.00 and set an “overweight” rating on the stock in a report on Monday, May 11th. Erste Group Bank lowered shares of McDonald’s from a “buy” rating to a “hold” rating in a research note on Monday, April 27th. TD Cowen reaffirmed a “hold” rating on shares of McDonald’s in a research note on Friday. Royal Bank Of Canada cut 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 report on Friday, May 8th. Finally, Morgan Stanley set a $331.00 price objective on shares of McDonald’s in a report on Friday, May 8th. Sixteen equities research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, McDonald’s has an average rating of “Moderate Buy” and an average target price of $336.26.

McDonald’s News Roundup

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

• Positive Sentiment: McDonald’s is testing a broader beverage lineup, including custom sodas, refreshers, and Red Bull energy drinks, which could boost check sizes and attract younger or more beverage-focused customers. McDonald’s 70-Year Coke Alliance Enters New Beverage Test
• Positive Sentiment: Wall Street’s average brokerage recommendation on McDonald’s remains a Buy, which supports the stock’s valuation even if analysts’ bullishness is sometimes seen as overly optimistic. Is It Worth Investing in McDonald’s (MCD) Based on Wall Street’s Bullish Views?
• Positive Sentiment: McDonald’s is also leaning into World Cup-related promotions and collectibles, which could lift traffic and sales if the tournament drives more consumer spending. Walmart and McDonald’s chase $7.5B World Cup boom
• Neutral Sentiment: Additional coverage emphasized that McDonald’s beverage push may help expand its drink platform, but it also raises questions about how the new options fit with the company’s long-running Coca-Cola partnership and brand identity. McDonald’s Red Bull Drinks Test Brand Perception And Valuation Gap
• Neutral Sentiment: McDonald’s is also working on menu refreshes such as changes to McCrispy Strips and reintroducing older treats, which may support customer engagement but are not yet clear stock catalysts. McDonald’s to Revamp McCrispy Strips After Customer Criticism
• Negative Sentiment: Some articles highlight friction in the long-standing McDonald’s-Coke relationship and customer criticism of certain menu items, which could create execution risk if new product tests confuse the brand or disappoint consumers. The 70-Year Marriage Between McDonald’s and Coke Has Some Issues

Insider Activity at McDonald’s

In other McDonald’s news, EVP Desiree Ralls-Morrison sold 2,763 shares of the firm’s stock in a transaction that occurred on 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 owned 6,268 shares of the company’s stock, valued at $1,744,760.48. This trade represents a 30.59% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider Joseph M. Erlinger sold 5,252 shares of the firm’s stock in a transaction that occurred on 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 $2,198,930.88. This represents a 40.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 11,307 shares of company stock valued at $3,262,622 in the last quarter. 0.26% of the stock is owned by insiders.

McDonald’s Price Performance

Shares of NYSE MCD opened at $286.35 on Tuesday. McDonald’s Corporation has a 1 year low of $271.85 and a 1 year high of $341.75. The company has a 50 day simple moving average of $288.96 and a 200-day simple moving average of $306.59. The company has a market capitalization of $203.45 billion, a P/E ratio of 23.61, a P/E/G ratio of 2.84 and a beta of 0.41.

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, beating 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 firm had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. During the same quarter last year, the firm earned $2.67 EPS. The firm’s revenue for the quarter was up 9.4% on a year-over-year basis. As a group, research analysts expect that McDonald’s Corporation will post 12.93 EPS for the current year.

McDonald’s Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 16th. Investors of record on Tuesday, June 2nd will be issued a $1.86 dividend. This represents a $7.44 annualized dividend and a yield of 2.6%. The ex-dividend date is Tuesday, June 2nd. McDonald’s’s dividend payout ratio (DPR) is 61.34%.

McDonald’s 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.