Brokerages Set McDonald’s Corporation (NYSE:MCD) PT at $333.32

Shares of McDonald’s Corporation (NYSE:MCD) have earned an average recommendation of “Moderate Buy” from the twenty-seven research firms that are currently covering the firm, Marketbeat reports. Twelve analysts have rated the stock with a hold rating and fifteen have given a buy rating to the company. The average 12-month target price among analysts that have updated their coverage on the stock in the last year is $331.92.

Several equities research analysts recently issued reports on MCD shares. Evercore set a $320.00 price objective on shares of McDonald’s in a research report on Thursday, July 23rd. Barclays decreased their target price on shares of McDonald’s from $380.00 to $350.00 and set an “overweight” rating on the stock in a report on Friday, May 8th. Robert W. Baird set a $305.00 price target on shares of McDonald’s in a research note on Thursday, May 7th. Royal Bank Of Canada restated a “sector perform” rating on shares of McDonald’s in a report on Tuesday, July 28th. Finally, TD Cowen reiterated a “hold” rating on shares of McDonald’s in a report on Friday, June 12th.

Insider Buying and Selling at McDonald’s

In related news, EVP Desiree Ralls-Morrison sold 2,763 shares of the firm’s stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $278.36, for a total transaction of $769,108.68. Following the completion of the sale, the executive vice president directly owned 6,268 shares of the company’s stock, valued at approximately $1,744,760.48. This trade represents a 30.59% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Joseph M. Erlinger sold 5,252 shares of the business’s stock in a transaction dated 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 sale, the insider owned 7,734 shares in the company, valued at approximately $2,198,930.88. This trade represents a 40.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 8,348 shares of company stock worth $2,355,634. Corporate insiders own 0.26% of the company’s stock.

Institutional Investors Weigh In On McDonald’s

A number of institutional investors have recently made changes to their positions in MCD. Your Advocates Ltd. LLP purchased a new position in shares of McDonald’s during the 4th quarter worth approximately $27,000. IFC & Insurance Marketing Inc. purchased a new stake in McDonald’s in the fourth quarter valued at approximately $29,000. Abound Financial LLC acquired a new position in McDonald’s during the fourth quarter worth $30,000. DecisionPoint Financial LLC lifted its stake in McDonald’s by 1,616.7% during the fourth quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant’s stock worth $31,000 after purchasing an additional 97 shares in the last quarter. Finally, Entrust Financial LLC purchased a new position in shares of McDonald’s during the fourth quarter worth $31,000. 70.29% of the stock is currently owned by institutional investors and hedge funds.

Key McDonald’s News

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

• Positive Sentiment: McDonald’s second-quarter results could benefit from its new $3 menu, promotional initiatives and potential traffic tied to the World Cup. Investors will look for evidence that value offerings are increasing visits without materially damaging margins. McDonald’s Q2 Preview: World Cup, New $3 Menu, Higher Gas Prices – Which Theme Wins Out
• Neutral Sentiment: Options traders expect a substantial move following earnings, with some anticipating a potential new two-year low. The report and management’s outlook are likely to drive near-term volatility, particularly around U.S. comparable sales, international performance and franchisee margins. Here’s How Much McDonald’s Stock Is Expected to Move After Earnings
• Negative Sentiment: Budget-conscious consumers remain under financial pressure, raising concern that customers may trade down, reduce restaurant visits or limit discretionary purchases. This makes the performance of McDonald’s value strategy especially important in the earnings release. McDonald’s to Report Q2 Earnings as Budget-Conscious Consumers Remain Under Stress
• Negative Sentiment: Reports about lettuce-related illness and consumer safety concerns could weigh on restaurant traffic and brand sentiment, although the earnings reports will provide the clearest indication of whether such issues affected McDonald’s demand. Did Lettuce Illness Hurt Restaurants? These Reports Will Tell If Diners Feel Safe
• Negative Sentiment: Mizuho lowered its McDonald’s price target to $290, signaling reduced expectations even though the new target remains above recent trading levels. Mizuho Cuts McDonald’s Price Target to $290

McDonald’s Stock Down 1.7%

Shares of MCD opened at $266.02 on Thursday. McDonald’s has a 52-week low of $260.96 and a 52-week high of $341.75. The company has a market capitalization of $189.01 billion, a PE ratio of 21.93, a price-to-earnings-growth ratio of 2.91 and a beta of 0.41. The stock has a fifty day simple moving average of $274.55 and a two-hundred day simple moving average of $297.32.

McDonald’s (NYSE:MCD) last posted its quarterly 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. The business had revenue of $6.52 billion for the quarter, compared to analyst estimates of $6.47 billion. McDonald’s had a negative return on equity of 442.10% and a net margin of 31.62%.The company’s quarterly revenue was up 9.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.67 EPS. As a group, equities analysts anticipate that McDonald’s will post 12.86 earnings per share for the current fiscal year.

McDonald’s Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Tuesday, September 1st will be given a $1.86 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $7.44 dividend on an annualized basis and a yield of 2.8%. McDonald’s’s payout ratio is currently 61.34%.

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.