McDonald’s (NYSE:MCD) Stock Price Down 0.7% – What’s Next?

Shares of McDonald’s Co. (NYSE:MCD) traded down 0.7% during mid-day trading on Friday . The stock traded as low as $304.77 and last traded at $304.57. 872,645 shares changed hands during mid-day trading, a decline of 76% from the average session volume of 3,565,869 shares. The stock had previously closed at $306.78.

Wall Street Analyst Weigh In

MCD has been the subject of several research reports. Loop Capital reiterated a “buy” rating and set a $342.00 price objective on shares of McDonald’s in a research note on Friday, January 3rd. TD Securities reissued a “hold” rating and issued a $300.00 price objective on shares of McDonald’s in a research note on Monday, February 10th. Piper Sandler lowered their target price on McDonald’s from $297.00 to $290.00 and set a “neutral” rating on the stock in a report on Tuesday, February 4th. Wedbush upped their price target on McDonald’s from $320.00 to $330.00 and gave the company an “outperform” rating in a research report on Tuesday, February 11th. Finally, JPMorgan Chase & Co. lifted their price objective on McDonald’s from $280.00 to $300.00 and gave the stock an “overweight” rating in a research report on Tuesday, February 11th. Nine research analysts have rated the stock with a hold rating, sixteen have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $322.87.

McDonald’s Price Performance

The stock has a 50 day moving average price of $306.10 and a two-hundred day moving average price of $299.04. The firm has a market capitalization of $221.37 billion, a price-to-earnings ratio of 27.20, a PEG ratio of 3.10 and a beta of 0.62.

McDonald’s (NYSE:MCD) last issued its quarterly earnings results on Monday, February 10th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $2.83. McDonald’s had a net margin of 31.73% and a negative return on equity of 181.63%. As a group, research analysts expect that McDonald’s Co. will post 12.25 earnings per share for the current fiscal year.

McDonald’s Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, March 17th. Shareholders of record on Monday, March 3rd were given a $1.77 dividend. The ex-dividend date was Monday, March 3rd. This represents a $7.08 annualized dividend and a yield of 2.29%. McDonald’s’s dividend payout ratio is presently 62.16%.

Insider Transactions at McDonald’s

In related news, CEO Christopher J. Kempczinski sold 10,500 shares of the company’s stock in a transaction that occurred on Tuesday, February 11th. The shares were sold at an average price of $310.05, for a total transaction of $3,255,525.00. Following the sale, the chief executive officer now directly owns 32,756 shares in the company, valued at approximately $10,155,997.80. This represents a 24.27 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Manuel Jm Steijaert sold 10,459 shares of McDonald’s stock in a transaction that occurred on Monday, February 24th. The stock was sold at an average price of $308.71, for a total transaction of $3,228,797.89. Following the completion of the transaction, the executive vice president now owns 4,606 shares of the company’s stock, valued at $1,421,918.26. This represents a 69.43 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 27,497 shares of company stock valued at $8,461,400. 0.23% of the stock is currently owned by company insiders.

Institutional Trading of McDonald’s

Hedge funds and other institutional investors have recently bought and sold shares of the business. Mattern Capital Management LLC increased its holdings in shares of McDonald’s by 2.0% in the 4th quarter. Mattern Capital Management LLC now owns 30,110 shares of the fast-food giant’s stock valued at $8,729,000 after acquiring an additional 579 shares during the last quarter. Bell Bank boosted its holdings in McDonald’s by 3.0% in the fourth quarter. Bell Bank now owns 12,699 shares of the fast-food giant’s stock valued at $3,681,000 after purchasing an additional 371 shares in the last quarter. YANKCOM Partnership purchased a new position in McDonald’s in the fourth quarter valued at approximately $1,628,000. Integral Investment Advisors Inc. raised its holdings in McDonald’s by 2.6% during the fourth quarter. Integral Investment Advisors Inc. now owns 6,512 shares of the fast-food giant’s stock worth $1,888,000 after purchasing an additional 164 shares in the last quarter. Finally, PFW Advisors LLC purchased a new stake in shares of McDonald’s during the 4th quarter worth approximately $2,471,000. 70.29% of the stock is currently owned by institutional investors and hedge funds.

About McDonald’s

McDonald’s Corp. engages in the operation and franchising of restaurants. It operates through the following segments: U.S., International Operated Markets, and International Developmental Licensed Markets and Corporate. The U.S. segment focuses its operations on the United States. The International Operated Markets segment consists of operations and the franchising of restaurants in Australia, Canada, France, Germany, Italy, the Netherlands, Spain, and the U.K.