McDonald’s (NYSE:MCD) Stock Price Target Raised at KeyCorp

McDonald’s (NYSE:MCD) had its target price upped by investment analysts at KeyCorp from $280.00 to $307.00 in a report released on Thursday, Benzinga reports. The brokerage presently has an “overweight” rating on the fast-food giant’s stock. KeyCorp‘s price target points to a potential upside of 9.63% from the company’s previous close.

Other equities research analysts have also issued reports about the stock. Weiss Ratings lowered shares of McDonald’s from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday, October 2nd. DZ Bank reiterated a “buy” rating on shares of McDonald’s in a report on Thursday, September 24th. BMO Capital Markets restated an “outperform” rating on shares of McDonald’s in a research report on Thursday. Gordon Haskett lowered their price target on shares of McDonald’s from $315.00 to $285.00 and set a “buy” rating on the stock in a research report on Thursday, September 24th. Finally, Wells Fargo & Company raised their price target on McDonald’s from $270.00 to $300.00 and gave the stock an “overweight” rating in a research report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, McDonald’s currently has an average rating of “Moderate Buy” and an average target price of $295.24.

McDonald’s Stock Performance

Shares of NYSE MCD traded down $0.19 during mid-day trading on Thursday, hitting $280.03. 1,454,814 shares of the stock were exchanged, compared to its average volume of 4,326,264. The stock’s fifty day simple moving average is $248.20 and its two-hundred day simple moving average is $282.85. McDonald’s has a twelve month low of $229.20 and a twelve month high of $341.75. The company has a market cap of $198.16 billion, a P/E ratio of 22.70, a PEG ratio of 3.01 and a beta of 0.42.

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

Hedge Funds Weigh In On McDonald’s

A number of institutional investors and hedge funds have recently modified their holdings of the business. Cassia Capital Partners LLC raised its stake in McDonald’s by 10.7% during the 3rd quarter. Cassia Capital Partners LLC now owns 5,077 shares of the fast-food giant’s stock worth $1,173,000 after buying an additional 492 shares during the period. Gables Capital Management Inc. boosted its holdings in McDonald’s by 18.9% in the third quarter. Gables Capital Management Inc. now owns 16,111 shares of the fast-food giant’s stock worth $3,721,000 after acquiring an additional 2,560 shares in the last quarter. Marathon Wealth Advisors LLC grew its stake in McDonald’s by 0.6% in the third quarter. Marathon Wealth Advisors LLC now owns 10,571 shares of the fast-food giant’s stock valued at $2,441,000 after acquiring an additional 61 shares during the period. Gen Wealth Partners Inc increased its holdings in shares of McDonald’s by 5.0% during the third quarter. Gen Wealth Partners Inc now owns 7,848 shares of the fast-food giant’s stock valued at $1,812,000 after acquiring an additional 374 shares in the last quarter. Finally, Kinsale Capital Group Inc. lifted its holdings in shares of McDonald’s by 2.4% in the 3rd quarter. Kinsale Capital Group Inc. now owns 43,309 shares of the fast-food giant’s stock worth $10,002,000 after purchasing an additional 1,025 shares in the last quarter. 70.29% of the stock is currently owned by institutional investors.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: Adjusted Q3 earnings were $3.57 per share, ahead of the roughly $3.38 analyst consensus and up from $3.22 a year earlier. Stronger franchised margins and international performance helped offset U.S. softness. McDonald’s Q3 Earnings Beat on Franchised Margins, Revenues Miss
• Positive Sentiment: Management said U.S. sales improved as the quarter progressed, with value promotions helping draw diners back. Investors are looking to these efforts to support a recovery in traffic. McDonald’s says US sales on the mend as promotions draw diners back
• Positive Sentiment: The company plans additional value bundles and is testing affordable offers at U.S. restaurants, aiming to attract budget-conscious customers. McDonald’s also raised its dividend for the 50th consecutive year. Why McDonald’s Stock Popped Today
• Neutral Sentiment: New value bundles could help restore traffic, but their effectiveness will depend on execution and franchisee participation; the company has reported tensions with some franchisees over promotions and pricing. McDonald’s says US sales are improving amid tensions with franchisees
• Negative Sentiment: Revenue was $7.16 billion, below the roughly $7.28 billion consensus, while U.S. comparable sales fell 0.2%—the first decline in six quarters—amid pressured consumer spending and weaker traffic. McDonald’s US sales decline for first time in six quarters despite value push

About McDonald’s

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.