McDonald’s (NYSE:MCD) Price Target Lowered to $350.00 at BTIG Research

McDonald’s (NYSE:MCD) had its price target trimmed by BTIG Research from $370.00 to $350.00 in a research note published on Friday, MarketBeat.com reports. The brokerage currently has a buy rating on the fast-food giant’s stock.

A number of other brokerages have also recently commented on MCD. JPMorgan Chase & Co. decreased their price target on McDonald’s from $325.00 to $305.00 and set an “overweight” rating on the stock in a research note on Monday, May 11th. TD Cowen restated a “hold” rating on shares of McDonald’s in a report on Friday, June 12th. Sanford C. Bernstein reaffirmed a “market perform” rating on shares of McDonald’s in a research note on Monday, June 22nd. Barclays lowered their price target on shares of McDonald’s from $380.00 to $350.00 and set an “overweight” rating for the company in a report on Friday, May 8th. Finally, Evercore set a $320.00 price target on shares of McDonald’s in a research report on Thursday. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company. Based on data from MarketBeat, McDonald’s has an average rating of “Moderate Buy” and an average price target of $334.32.

McDonald’s Stock Up 0.6%

Shares of NYSE:MCD opened at $264.46 on Friday. The stock has a market cap of $187.90 billion, a PE ratio of 21.80, a PEG ratio of 2.82 and a beta of 0.41. The company’s fifty day moving average is $275.99 and its 200 day moving average is $298.87. McDonald’s has a 52 week low of $260.96 and a 52 week high of $341.75.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.74 by $0.09. The business had revenue of $6.52 billion during the quarter, compared to analyst estimates of $6.47 billion. McDonald’s had a net margin of 31.62% and a negative return on equity of 442.10%. The company’s revenue was up 9.4% on a year-over-year basis. During the same period in the prior year, the business posted $2.67 earnings per share. Sell-side analysts anticipate that McDonald’s will post 12.86 EPS for the current year.

McDonald’s Announces Dividend

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

Insider Buying and Selling at McDonald’s

In other news, insider Joseph M. Erlinger sold 5,252 shares of the firm’s stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total value of $1,493,248.64. Following the transaction, the insider owned 7,734 shares of the company’s stock, valued at $2,198,930.88. This trade represents a 40.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of McDonald’s stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $278.36, for a total value of $769,108.68. Following the transaction, the executive vice president directly owned 6,268 shares in the company, valued at approximately $1,744,760.48. The trade was a 30.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 8,348 shares of company stock valued at $2,355,634 over the last 90 days. 0.26% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On McDonald’s

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MCD. Vanguard Group Inc. raised its position in shares of McDonald’s by 1.0% during the 4th quarter. Vanguard Group Inc. now owns 72,351,127 shares of the fast-food giant’s stock valued at $22,112,675,000 after buying an additional 703,458 shares in the last quarter. State Street Corp grew its position in McDonald’s by 2.7% in the fourth quarter. State Street Corp now owns 35,983,997 shares of the fast-food giant’s stock worth $10,997,789,000 after acquiring an additional 959,140 shares in the last quarter. Geode Capital Management LLC increased its stake in McDonald’s by 0.4% during the fourth quarter. Geode Capital Management LLC now owns 17,038,519 shares of the fast-food giant’s stock worth $5,195,965,000 after acquiring an additional 76,090 shares during the last quarter. Price T Rowe Associates Inc. MD increased its stake in McDonald’s by 3.0% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 9,474,749 shares of the fast-food giant’s stock worth $2,895,768,000 after acquiring an additional 277,617 shares during the last quarter. Finally, Norges Bank purchased a new stake in McDonald’s during the fourth quarter valued at approximately $2,890,438,000. Institutional investors own 70.29% of the company’s stock.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: McDonald’s announced a quarterly dividend of $1.86 per share, reinforcing its reputation as a steady income stock and highlighting continued cash generation. McDONALD’S ANNOUNCES QUARTERLY CASH DIVIDEND
• Positive Sentiment: BTIG Research kept a buy rating on McDonald’s and said the stock still offers meaningful upside, even after cutting its price target to $350 from $370. Benzinga
• Positive Sentiment: Recent consumer-focused coverage around McValue packs, online availability, and a new dipping sauce suggests McDonald’s is still leaning on value-driven promotions and menu innovation to drive traffic. Here’s what’s new at McDonald’s this week
• Neutral Sentiment: Media coverage highlighting McDonald’s new McValue packs and online ordering is more promotional than financial, so it may help awareness but does not yet prove a material sales lift. McDonald’s McValue packs now available online. Here’s how to score one
• Neutral Sentiment: Analysts and media continue to frame McDonald’s as a defensive dividend name, but that alone is not enough to offset broader concerns about consumer spending. These 4 Dividend Stocks Are Money-Printing Machines
• Negative Sentiment: New research indicates restaurant customers remain highly price sensitive despite lower gas prices, which is a warning sign for traffic and margins at McDonald’s. McDonald’s (MCD) Faces Stubborn Price Sensitive Traffic Despite Lower Gas Prices
• Negative Sentiment: McDonald’s recently hit a new 52-week low, and commentary around the stock suggests investors are waiting for the August 4 earnings report before buying the dip. McDonald’s Just Hit a New 52-Week Low. Don’t Buy the Dip Until After August 4.
• Negative Sentiment: StockTwits-style coverage also points to McDonald’s trading near 52-week lows amid broader concerns about weakening consumer demand. Why Did PEGA, ISRG, MCD Stocks Plunge To 52-Week Lows Today?

McDonald’s Company 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.