Talon Private Wealth LLC Buys New Position in McDonald’s Corporation $MCD

Talon Private Wealth LLC bought a new stake in shares of McDonald’s Corporation (NYSE:MCD) in the first quarter, Holdings Channel.com reports. The fund bought 3,214 shares of the fast-food giant’s stock, valued at approximately $999,000.

Several other hedge funds have also recently added to or reduced their stakes in the company. Your Advocates Ltd. LLP bought a new stake in shares of McDonald’s in the 4th quarter valued at $27,000. IFC & Insurance Marketing Inc. bought a new position in McDonald’s during the fourth quarter worth $29,000. Abound Financial LLC bought a new position in McDonald’s during the fourth quarter worth $30,000. Purpose Unlimited Inc. acquired a new position in McDonald’s in the fourth quarter valued at $31,000. Finally, DecisionPoint Financial LLC lifted its holdings in McDonald’s by 1,616.7% in the fourth quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant’s stock valued at $31,000 after buying an additional 97 shares during the period. Institutional investors own 70.29% of the company’s stock.

McDonald’s Price Performance

MCD stock opened at $272.82 on Wednesday. The company’s 50-day moving average is $275.60 and its 200-day moving average is $298.42. The stock has a market capitalization of $193.84 billion, a PE ratio of 22.49, a price-to-earnings-growth ratio of 2.91 and a beta of 0.41. McDonald’s Corporation has a 1 year low of $260.96 and a 1 year high of $341.75.

McDonald’s (NYSE:MCD) last issued its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 EPS for the quarter, beating 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 business had revenue of $6.52 billion during the quarter, compared to analyst estimates of $6.47 billion. During the same period in the previous year, the company posted $2.67 EPS. The firm’s revenue was up 9.4% compared to the same quarter last year. On average, analysts anticipate that McDonald’s Corporation will post 12.86 earnings per share for the current fiscal year.

McDonald’s Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Tuesday, September 1st will be issued a $1.86 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $7.44 annualized dividend and a yield of 2.7%. McDonald’s’s dividend payout ratio is presently 61.34%.

Key McDonald’s News

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

• Positive Sentiment: UBS maintained a Buy rating despite lowering its price target from $365 to $340, implying substantial potential upside from recent levels. The target reduction reflects a more cautious outlook, but the continued Buy rating provides a positive signal. UBS McDonald’s price target report
• Positive Sentiment: McDonald’s affirmed its quarterly dividend of $1.86 per share, payable September 16. Its long record of annual dividend increases may attract income-oriented investors, particularly with the stock trading well below its 52-week high. McDonald’s dividend and valuation analysis
• Positive Sentiment: Wall Street’s average price targets remain materially above the current share price, with some analysts viewing the pullback as a buying opportunity if McDonald’s can stabilize sales and restore growth. McDonald’s near 52-week low analysis

Insider Buying and Selling

In other news, insider Joseph M. Erlinger sold 5,252 shares of the company’s stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following 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 ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction on Thursday, May 28th. The stock was 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 in the company, valued at approximately $1,744,760.48. This represents a 30.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 8,348 shares of company stock valued at $2,355,634 in the last three months. Insiders own 0.26% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on MCD. Morgan Stanley decreased their price target on McDonald’s from $331.00 to $322.00 and set an “equal weight” rating for the company in a report on Wednesday, July 15th. Barclays dropped their price objective on McDonald’s from $380.00 to $350.00 and set an “overweight” rating on the stock in a research note on Friday, May 8th. Wells Fargo & Company cut their target price on McDonald’s from $320.00 to $300.00 and set an “overweight” rating on the stock in a research report on Thursday, July 16th. TD Cowen reaffirmed a “hold” rating on shares of McDonald’s in a research note on Friday, June 12th. Finally, Rothschild & Co Redburn raised McDonald’s from a “sell” rating to a “neutral” rating and raised their target price for the stock from $260.00 to $306.00 in a research note on Thursday, April 23rd. Fifteen research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $333.32.

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.