McDonald’s Corporation $MCD Stock: Schmidt P J Investment Management Inc. Reduces Stake

Schmidt P J Investment Management Inc. cut its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 33.4% during the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 17,698 shares of the fast-food giant’s stock after selling 8,892 shares during the period. Schmidt P J Investment Management Inc.’s holdings in McDonald’s were worth $4,087,000 at the end of the most recent quarter.

Other institutional investors have also recently added to or reduced their stakes in the company. GKV Capital Management Co. Inc. acquired a new stake in McDonald’s in the first quarter valued at $33,000. Burkett Financial Services LLC raised its position in McDonald’s by 2,312.5% during the 3rd quarter. Burkett Financial Services LLC now owns 193 shares of the fast-food giant’s stock worth $45,000 after purchasing an additional 185 shares during the last quarter. POM Investment Strategies LLC raised its position in McDonald’s by 46.2% during the 2nd quarter. POM Investment Strategies LLC now owns 174 shares of the fast-food giant’s stock worth $47,000 after purchasing an additional 55 shares during the last quarter. Westfuller Advisors LLC raised its position in McDonald’s by 140.0% during the 2nd quarter. Westfuller Advisors LLC now owns 180 shares of the fast-food giant’s stock worth $49,000 after purchasing an additional 105 shares during the last quarter. Finally, Mountain Hill Investment Partners Corp. lifted its holdings in McDonald’s by 777.8% during the 3rd quarter. Mountain Hill Investment Partners Corp. now owns 237 shares of the fast-food giant’s stock worth $55,000 after buying an additional 210 shares during the period. 70.29% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on MCD shares. Daiwa Securities Group reduced their price target on McDonald’s from $309.00 to $293.00 and set an “outperform” rating on the stock in a research report on Thursday, August 6th. Oppenheimer lowered their price objective on McDonald’s from $325.00 to $295.00 and set an “outperform” rating for the company in a research report on Thursday, September 24th. HSBC cut their price objective on McDonald’s from $357.00 to $356.00 and set a “buy” rating on the stock in a research note on Wednesday, August 5th. Gordon Haskett cut their price objective on McDonald’s from $315.00 to $285.00 and set a “buy” rating on the stock in a research note on Thursday, September 24th. Finally, Royal Bank Of Canada reduced their target price on McDonald’s from $290.00 to $285.00 and set a “sector perform” rating on the stock in a report on Thursday, September 24th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $293.21.

McDonald’s Trading Up 6.5%

NYSE:MCD opened at $280.20 on Thursday. McDonald’s Corporation has a 12 month low of $229.20 and a 12 month high of $341.75. The stock has a market capitalization of $198.28 billion, a price-to-earnings ratio of 22.76, a PEG ratio of 3.01 and a beta of 0.42. The firm has a fifty day simple moving average of $248.20 and a two-hundred day simple moving average of $282.85.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Wednesday, November 4th. The fast-food giant reported $3.57 EPS for the quarter, beating the consensus estimate of $3.38 by $0.19. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%. The firm had revenue of $7.16 billion during the quarter, compared to the consensus estimate of $7.28 billion. During the same quarter in the previous year, the company posted $3.22 earnings per share. The company’s quarterly revenue was up 1.1% on a year-over-year basis. Equities analysts predict that McDonald’s Corporation will post 12.82 earnings per share for the current fiscal year.

McDonald’s Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a $1.93 dividend. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. The ex-dividend date is Tuesday, December 1st. This represents a $7.72 annualized dividend and a yield of 2.8%. McDonald’s’s dividend payout ratio (DPR) is 60.44%.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: Third-quarter adjusted EPS was $3.57, above the $3.38 analyst estimate, with stronger franchised margins contributing. Global comparable sales rose 1.5%, led by international markets. McDonald’s Q3 Earnings Beat on Franchised Margins, Revenues Miss
• Positive Sentiment: Management says U.S. sales improved as the quarter progressed and is planning more affordable bundles, digital deals, and other value initiatives to attract budget-conscious customers. Investors may view these plans as a path to a domestic rebound. McDonald’s Puts Focus on Entry-Level Value to Lift Sluggish Sales
• Neutral Sentiment: Holiday drink offerings and a Pokémon Happy Meal promotion add seasonal marketing opportunities, though their impact on overall sales is uncertain. McDonald’s Pokémon Happy Meal Returns Nov. 10 With Cards
• Negative Sentiment: Revenue of $7.16 billion fell short of expectations near $7.28 billion. U.S. comparable sales declined 0.2%—the first drop in six quarters—as customers facing high living costs pulled back and restaurant traffic weakened. McDonald’s US sales decline for first time in six quarters despite value push
• Negative Sentiment: Value promotions may pressure economics and come amid reported tensions with franchisees. Separately, a judge allowed a lawsuit challenging McRib marketing to proceed, creating a potential legal and reputational overhang. McDonald’s facing lawsuit over meat in cult-favorite sandwich

McDonald’s Company Profile

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.