McDonald’s Corporation $MCD Shares Sold by Rathbones Group PLC

Rathbones Group PLC lessened its stake in shares of McDonald’s Corporation (NYSE:MCD) by 3.9% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 70,360 shares of the fast-food giant’s stock after selling 2,883 shares during the quarter. Rathbones Group PLC’s holdings in McDonald’s were worth $21,867,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors have also recently added to or reduced their stakes in MCD. Norges Bank purchased a new position in shares of McDonald’s during the 4th quarter worth $2,890,438,000. Diamant Asset Management Inc. lifted its position in McDonald’s by 30,979.0% during the first quarter. Diamant Asset Management Inc. now owns 2,596,340 shares of the fast-food giant’s stock worth $806,917,000 after buying an additional 2,587,986 shares during the period. J. Stern & Co. LLP lifted its position in McDonald’s by 9,867.5% during the fourth quarter. J. Stern & Co. LLP now owns 2,541,008 shares of the fast-food giant’s stock worth $776,608,000 after buying an additional 2,515,515 shares during the period. Viking Global Investors LP boosted its stake in McDonald’s by 171.7% in the 2nd quarter. Viking Global Investors LP now owns 3,125,432 shares of the fast-food giant’s stock worth $913,157,000 after buying an additional 1,974,998 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its stake in McDonald’s by 49.9% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 3,104,337 shares of the fast-food giant’s stock worth $948,779,000 after buying an additional 1,033,041 shares during the last quarter. Institutional investors and hedge funds own 70.29% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have recently commented on the stock. TD Cowen reaffirmed a “hold” rating on shares of McDonald’s in a research note on Friday, June 12th. UBS Group decreased their target price on shares of McDonald’s from $365.00 to $340.00 and set a “buy” rating on the stock in a research report on Monday, July 27th. Weiss Ratings downgraded shares of McDonald’s from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, June 23rd. Robert W. Baird set a $305.00 price target on shares of McDonald’s in a research report on Thursday, May 7th. Finally, Erste Group Bank downgraded shares of McDonald’s from a “buy” rating to a “hold” rating in a research note on Monday, April 27th. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat.com, McDonald’s has a consensus rating of “Moderate Buy” and an average price target of $331.92.

McDonald’s News Summary

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

Insider Transactions at McDonald’s

In other news, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction dated 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 sale, the executive vice president owned 6,268 shares in the company, valued at approximately $1,744,760.48. This trade represents a 30.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Joseph M. Erlinger sold 5,252 shares of the firm’s stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total value of $1,493,248.64. Following the sale, the insider owned 7,734 shares in the company, valued at approximately $2,198,930.88. The trade was a 40.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 8,348 shares of company stock worth $2,355,634. 0.26% of the stock is currently owned by insiders.

McDonald’s Stock Down 1.7%

Shares of MCD stock opened at $266.02 on Tuesday. McDonald’s Corporation has a fifty-two week low of $260.96 and a fifty-two week high of $341.75. The firm’s 50 day moving average price is $274.55 and its two-hundred day moving average price is $297.32. The stock has a market cap of $189.01 billion, a price-to-earnings ratio of 21.93, a price-to-earnings-growth ratio of 2.91 and a beta of 0.41.

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

McDonald’s Dividend Announcement

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