State Street Corp Boosts Holdings in McDonald’s Corporation $MCD

State Street Corp lifted its holdings in McDonald’s Corporation (NYSE:MCD) by 1.8% in the second quarter, according to its most recent disclosure with the SEC. The institutional investor owned 36,080,505 shares of the fast-food giant’s stock after purchasing an additional 646,675 shares during the period. State Street Corp owned approximately 0.05% of McDonald’s worth $9,752,921,000 at the end of the most recent reporting period.

Several other large investors have also recently added to or reduced their stakes in the business. Allied Investment Advisors LLC grew its stake in shares of McDonald’s by 2.6% in the fourth quarter. Allied Investment Advisors LLC now owns 1,366 shares of the fast-food giant’s stock worth $417,000 after acquiring an additional 34 shares in the last quarter. Sterling Investment Advisors Ltd. raised its stake in shares of McDonald’s by 0.6% in the fourth quarter. Sterling Investment Advisors Ltd. now owns 5,799 shares of the fast-food giant’s stock valued at $1,772,000 after acquiring an additional 35 shares in the last quarter. Cypress Capital Management LLC WY boosted its holdings in McDonald’s by 7.0% in the fourth quarter. Cypress Capital Management LLC WY now owns 535 shares of the fast-food giant’s stock valued at $164,000 after purchasing an additional 35 shares during the period. Sound Income Strategies LLC boosted its holdings in McDonald’s by 0.6% in the first quarter. Sound Income Strategies LLC now owns 5,590 shares of the fast-food giant’s stock valued at $1,718,000 after purchasing an additional 35 shares during the period. Finally, Rooted Wealth Advisors Inc. grew its stake in McDonald’s by 1.7% during the 4th quarter. Rooted Wealth Advisors Inc. now owns 2,207 shares of the fast-food giant’s stock worth $714,000 after purchasing an additional 36 shares in the last quarter. 70.29% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: McDonald’s remains an attractive income investment after reaching 50 consecutive years of dividend increases. The quarterly dividend was raised 4% to $1.93 per share, or $7.72 annually, supporting a forward yield above 3% at recent prices. McDonald’s Becomes a Dividend King
• Positive Sentiment: One bullish analysis argues that the selloff has created valuation upside, citing an estimated intrinsic value of $309.29, largely intact earnings expectations, a discounted multiple and efforts to reset U.S. value offerings and improve franchisee alignment. McDonald’s Stock Selloff Is Hiding an Even Better Setup
• Neutral Sentiment: The limited-time Global Favorites menu and the returning Monopoly promotion could support customer engagement and traffic, but neither is likely to materially change near-term earnings without evidence of sustained sales improvement. McDonald’s Global Favorites Menu
• Neutral Sentiment: Management says customers using GLP-1 medications are still visiting McDonald’s, increasingly choosing smaller portions such as Happy Meals. This may preserve visits but could pressure average transaction values unless McDonald’s successfully adapts its menu. McDonald’s CEO Discusses GLP-1 Users
• Negative Sentiment: Investor attention remains focused on disappointing U.S. performance and execution challenges. Investors will want measurable targets and timelines at the investor day; vague initiatives or additional discounting without traffic improvement could keep pressure on the stock. McDonald’s Investor Day Expectations
• Negative Sentiment: Recent comparisons with Restaurant Brands highlight stronger competitor earnings growth and Burger King momentum, increasing pressure on McDonald’s to demonstrate that its strategy can reverse slowing sales. McDonald’s vs. Restaurant Brands

McDonald’s Stock Performance

Shares of NYSE:MCD traded up $3.70 on Tuesday, hitting $251.58. 2,386,045 shares of the company’s stock were exchanged, compared to its average volume of 4,012,262. The firm’s 50-day moving average is $264.49 and its 200 day moving average is $282.91. The company has a market capitalization of $178.03 billion, a PE ratio of 20.44, a P/E/G ratio of 2.68 and a beta of 0.41. McDonald’s Corporation has a 1-year low of $246.52 and a 1-year high of $341.75.

McDonald’s (NYSE:MCD) last issued its earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share for the quarter, topping the consensus estimate of $3.32 by $0.06. The business had revenue of $7.10 billion for the quarter, compared to analyst estimates of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%.The business’s quarterly revenue was up 3.7% on a year-over-year basis. During the same quarter last year, the company earned $3.19 EPS. On average, analysts anticipate that McDonald’s Corporation will post 12.88 EPS for the current fiscal year.

McDonald’s Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 1st will be given a dividend of $1.93 per share. The ex-dividend date is Tuesday, December 1st. This represents a $7.72 annualized dividend and a dividend yield of 3.1%. This is a boost from McDonald’s’s previous quarterly dividend of $1.86. McDonald’s’s payout ratio is presently 60.44%.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on the company. Seaport Research Partners started coverage on McDonald’s in a report on Wednesday, September 16th. They set a “neutral” rating on the stock. KeyCorp reiterated an “overweight” rating on shares of McDonald’s in a research note on Monday. BTIG Research restated a “buy” rating and set a $350.00 target price on shares of McDonald’s in a research note on Wednesday, September 16th. Mizuho reduced their target price on shares of McDonald’s from $300.00 to $290.00 and set a “neutral” rating on the stock in a report on Friday, July 31st. Finally, Guggenheim decreased their price target on shares of McDonald’s from $320.00 to $290.00 and set a “neutral” rating for the company in a research note on Wednesday, August 5th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eleven have given a Hold rating to the stock. Based on data from MarketBeat, McDonald’s has an average rating of “Moderate Buy” and a consensus target price of $317.04.

McDonald’s Company Profile

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.