CX Institutional Sells 3,158 Shares of McDonald’s Corporation $MCD

CX Institutional lessened its stake in shares of McDonald’s Corporation (NYSE:MCD) by 8.0% in the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 36,444 shares of the fast-food giant’s stock after selling 3,158 shares during the period. CX Institutional’s holdings in McDonald’s were worth $8,416,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of the stock. Abound Financial LLC acquired a new position in shares of McDonald’s during the fourth quarter valued at approximately $30,000. Purpose Unlimited Inc. acquired a new stake in shares of McDonald’s in the fourth quarter worth approximately $31,000. GKV Capital Management Co. Inc. purchased a new stake in shares of McDonald’s during the first quarter worth approximately $33,000. Merkkuri Wealth Advisors LLC acquired a new position in McDonald’s in the 1st quarter valued at $43,000. Finally, Burkett Financial Services LLC lifted its holdings in McDonald’s by 2,312.5% in the 3rd quarter. Burkett Financial Services LLC now owns 193 shares of the fast-food giant’s stock valued at $45,000 after purchasing an additional 185 shares in the last quarter. 70.29% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: McDonald’s stock has entered technically oversold territory, while analysts retain a Moderate Buy consensus and see substantial upside to the average price target. The valuation and low share price may attract dip buyers, although a fundamental turnaround is still needed. Time to Nibble on MCD Stock After it Enters Oversold Territory?
• Positive Sentiment: McDonald’s is testing hand-breaded chicken tenders and related sandwiches at roughly 200 U.S. restaurants. A successful rollout could strengthen the menu and support customer traffic by expanding the company’s chicken offering. McDonald’s prepares test of hand-breaded chicken tenders
• Positive Sentiment: The company is deploying AI tools, including the Archy drive-through assistant, as part of its modernization program. Management’s goal is to improve service, ordering efficiency, and potentially restaurant economics rather than replace workers outright. McDonald’s Is Using AI for Something More Interesting Than Replacing Workers
• Neutral Sentiment: Jim Cramer described McDonald’s as a “show-me” story but said the depressed valuation is making him more interested in buying. The comments may support sentiment but do not change the company’s fundamentals. Jim Cramer on McDonald’s stock
• Negative Sentiment: Reports that McDonald’s data-driven pricing tools could create significant price differences between nearby restaurants have intensified concerns about customer backlash, brand perception, and demand. McDonald’s disputes claims that it is using AI to charge customers based on their willingness to pay. McDonald’s brushes off claims it’s using AI to set prices
• Negative Sentiment: The prolonged selloff reflects worries that the modernization spending could weigh on near-term margins. Jefferies also reduced its price target, adding to the negative analyst pressure. McDonald’s Stock Price Target Cut by Jefferies

McDonald’s Stock Up 0.1%

Shares of McDonald’s stock traded up $0.23 during mid-day trading on Friday, hitting $232.06. The stock had a trading volume of 6,421,428 shares, compared to its average volume of 4,169,259. The firm has a 50-day moving average of $259.69 and a two-hundred day moving average of $277.78. McDonald’s Corporation has a 12-month low of $229.61 and a 12-month high of $341.75. The firm has a market cap of $164.22 billion, a P/E ratio of 18.85, a price-to-earnings-growth ratio of 2.58 and a beta of 0.44.

McDonald’s (NYSE:MCD) last released its quarterly earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 EPS for the quarter, beating the consensus estimate of $3.32 by $0.06. McDonald’s had a net margin of 31.72% and a negative return on equity of 572.06%. The firm had revenue of $7.10 billion for the quarter, compared to analyst estimates of $7.13 billion. During the same quarter in the previous year, the company earned $3.19 EPS. The business’s revenue for the quarter was up 3.7% compared to the same quarter last year. Sell-side analysts expect that McDonald’s Corporation will post 12.85 earnings per share for the current year.

McDonald’s Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be given a $1.93 dividend. This is an increase from McDonald’s’s previous quarterly dividend of $1.86. This represents a $7.72 dividend on an annualized basis and a yield of 3.3%. The ex-dividend date is Tuesday, December 1st. McDonald’s’s dividend payout ratio (DPR) is presently 60.44%.

Wall Street Analyst Weigh In

MCD has been the subject of a number of research reports. Morgan Stanley dropped their target price on shares of McDonald’s from $308.00 to $297.00 and set an “equal weight” rating for the company in a report on Monday. DZ Bank restated a “buy” rating on shares of McDonald’s in a research report on Thursday, September 24th. Needham & Company LLC reaffirmed a “buy” rating on shares of McDonald’s in a report on Monday, September 21st. Gordon Haskett reduced their price objective on 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, Citigroup lowered their price objective on McDonald’s from $310.00 to $305.00 and set a “buy” rating on the stock in a research note on Thursday, September 24th. One analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $300.64.

McDonald’s 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.