Kercheville Advisors LLC Trims Stock Position in McDonald’s Corporation $MCD

Kercheville Advisors LLC cut its stake in shares of McDonald’s Corporation (NYSE:MCD) by 24.6% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 5,198 shares of the fast-food giant’s stock after selling 1,700 shares during the quarter. Kercheville Advisors LLC’s holdings in McDonald’s were worth $1,519,000 at the end of the most recent reporting period.

A number of other institutional investors have also modified their holdings of MCD. Nova Wealth Management Inc. bought a new position in shares of McDonald’s during the first quarter valued at approximately $26,000. HFM Investment Advisors LLC bought a new position in shares of McDonald’s during the first quarter valued at approximately $26,000. Abound Financial LLC bought a new position in shares of McDonald’s during the first quarter valued at approximately $30,000. Redmont Wealth Advisors LLC bought a new position in shares of McDonald’s during the first quarter valued at approximately $31,000. Finally, Financial Gravity Asset Management Inc. bought a new position in shares of McDonald’s during the first quarter valued at approximately $31,000. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s Trading Up 0.3%

NYSE MCD opened at $300.72 on Friday. The company has a fifty day simple moving average of $306.93 and a two-hundred day simple moving average of $306.16. The stock has a market cap of $214.59 billion, a P/E ratio of 25.77, a P/E/G ratio of 3.07 and a beta of 0.50. McDonald’s Corporation has a 12-month low of $276.53 and a 12-month high of $326.32.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Wednesday, August 6th. The fast-food giant reported $3.19 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.15 by $0.04. The business had revenue of $6.84 billion during the quarter, compared to analysts’ expectations of $6.68 billion. McDonald’s had a net margin of 32.21% and a negative return on equity of 225.52%. The business’s quarterly revenue was up 5.4% on a year-over-year basis. During the same quarter last year, the company posted $2.97 earnings per share. As a group, sell-side analysts forecast that McDonald’s Corporation will post 12.25 earnings per share for the current year.

McDonald’s Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 16th. Shareholders of record on Tuesday, September 2nd were issued a $1.77 dividend. The ex-dividend date of this dividend was Tuesday, September 2nd. This represents a $7.08 dividend on an annualized basis and a dividend yield of 2.4%. McDonald’s’s dividend payout ratio (DPR) is currently 60.67%.

Insider Activity at McDonald’s

In other McDonald’s news, EVP Desiree Ralls-Morrison sold 2,487 shares of the firm’s stock in a transaction on Wednesday, August 6th. The shares were sold at an average price of $310.00, for a total value of $770,970.00. Following the completion of the transaction, the executive vice president owned 8,754 shares of the company’s stock, valued at approximately $2,713,740. This trade represents a 22.12% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, EVP Jonathan Banner sold 1,000 shares of the firm’s stock in a transaction on Tuesday, August 19th. The stock was sold at an average price of $310.00, for a total transaction of $310,000.00. Following the transaction, the executive vice president directly owned 99 shares of the company’s stock, valued at approximately $30,690. This trade represents a 90.99% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 7,402 shares of company stock worth $2,273,407. Corporate insiders own 0.25% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on MCD shares. Barclays increased their price objective on shares of McDonald’s from $355.00 to $360.00 and gave the company an “overweight” rating in a research note on Thursday, August 7th. Truist Financial increased their price objective on shares of McDonald’s from $356.00 to $360.00 and gave the company a “buy” rating in a research note on Thursday, August 7th. Redburn Atlantic reiterated a “sell” rating and set a $260.00 price objective (down from $319.00) on shares of McDonald’s in a research note on Tuesday, June 10th. Guggenheim reiterated a “neutral” rating on shares of McDonald’s in a research note on Friday, August 8th. Finally, TD Cowen raised their target price on shares of McDonald’s from $305.00 to $315.00 and gave the company a “hold” rating in a research note on Wednesday, August 6th. Twelve equities research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $325.86.

McDonald’s Company Profile

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.