McDonald’s (NYSE:MCD) Price Target Cut to $335.00 by Analysts at Citigroup

McDonald’s (NYSE:MCD) had its price target lowered by Citigroup from $375.00 to $335.00 in a research note issued on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the fast-food giant’s stock. Citigroup’s price target suggests a potential upside of 24.96% from the stock’s current price.

A number of other equities research analysts have also recently commented on the stock. Cfra upgraded shares of McDonald’s to a “buy” rating in a report on Friday, May 8th. Erste Group Bank cut shares of McDonald’s from a “buy” rating to a “hold” rating in a research report on Monday, April 27th. TD Cowen restated a “hold” rating on shares of McDonald’s in a research note on Friday, June 12th. Sanford C. Bernstein reaffirmed a “market perform” rating on shares of McDonald’s in a research report on Monday, June 22nd. Finally, JPMorgan Chase & Co. cut their price target on McDonald’s from $325.00 to $305.00 and set an “overweight” rating on the stock in a report on Monday, May 11th. Fifteen equities research analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the stock. According to data from MarketBeat, McDonald’s has a consensus rating of “Moderate Buy” and a consensus target price of $336.35.

McDonald’s Trading Down 0.3%

MCD stock traded down $0.86 during trading on Wednesday, hitting $268.08. The company had a trading volume of 1,489,263 shares, compared to its average volume of 3,762,750. The stock has a market cap of $190.47 billion, a PE ratio of 22.09, a PEG ratio of 2.83 and a beta of 0.41. The business has a 50-day moving average of $277.82 and a 200-day moving average of $301.17. McDonald’s has a one year low of $264.53 and a one year high of $341.75.

McDonald’s (NYSE:MCD) last posted its quarterly earnings data on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, topping the consensus estimate of $2.74 by $0.09. The firm had revenue of $6.52 billion during the quarter, compared to analyst estimates of $6.47 billion. McDonald’s had a negative return on equity of 442.10% and a net margin of 31.62%.The business’s quarterly revenue was up 9.4% on a year-over-year basis. During the same period last year, the company posted $2.67 EPS. Research analysts forecast that McDonald’s will post 12.9 EPS for the current year.

Insider Transactions at McDonald’s

In other McDonald’s news, insider Joseph M. Erlinger sold 5,252 shares of the stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the completion of the sale, the insider owned 7,734 shares of the company’s stock, valued at $2,198,930.88. This represents a 40.44% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the company’s stock in a transaction that occurred on 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 owned 6,268 shares of the company’s stock, valued at approximately $1,744,760.48. This represents a 30.59% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 8,681 shares of company stock valued at $2,456,440. Corporate insiders own 0.26% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Brighton Jones LLC boosted its position in McDonald’s by 21.6% in the fourth quarter. Brighton Jones LLC now owns 9,286 shares of the fast-food giant’s stock worth $2,692,000 after purchasing an additional 1,649 shares during the last quarter. Revolve Wealth Partners LLC lifted its stake in shares of McDonald’s by 2.8% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,942 shares of the fast-food giant’s stock worth $563,000 after purchasing an additional 52 shares during the period. Sivia Capital Partners LLC lifted its stake in shares of McDonald’s by 11.4% in the 2nd quarter. Sivia Capital Partners LLC now owns 2,017 shares of the fast-food giant’s stock worth $589,000 after purchasing an additional 206 shares during the period. United Bank boosted its holdings in shares of McDonald’s by 6.0% in the second quarter. United Bank now owns 8,102 shares of the fast-food giant’s stock worth $2,367,000 after buying an additional 459 shares during the last quarter. Finally, Schnieders Capital Management LLC. grew its position in McDonald’s by 2.5% during the second quarter. Schnieders Capital Management LLC. now owns 12,938 shares of the fast-food giant’s stock valued at $3,780,000 after buying an additional 312 shares during the period. 70.29% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: At around $268, MCD is being highlighted as relatively attractive on valuation versus some peers, which could appeal to investors looking for a lower-priced quality dividend stock. MCD at $268, Starbucks at $106: Buy, Sell or Hold?
• Positive Sentiment: McDonald’s is rolling out new menu items, including a new sauce and other limited-time offerings, which may support consumer interest, traffic, and same-store sales. McDonald’s upgrades McCrispy menu with new sauce
• Positive Sentiment: BT21 Happy Meal promotions and toy tie-ins add another marketing catalyst that could boost family visits and engagement. McDonald’s BT21 Happy Meal out now. Take a look at the new toys
• Neutral Sentiment: Multiple articles about new sauces, snack wraps, and limited-time items reinforce the chain’s product pipeline, but these appear more like incremental menu updates than a major earnings-moving announcement.
• Negative Sentiment: Recent market coverage notes MCD has been slipping and trading at a discount as investors weigh traffic and margin pressure, which may be contributing to near-term weakness. McDonald’s Stock Lags Industry, Trades at a Discount: Time to Buy?

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.