McDonald’s Corporation $MCD Stock: Cornerstone Wealth Management LLC Lowers Position

Cornerstone Wealth Management LLC lessened its position in McDonald’s Corporation (NYSE:MCD) by 19.4% in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 9,052 shares of the fast-food giant’s stock after selling 2,179 shares during the period. Cornerstone Wealth Management LLC’s holdings in McDonald’s were worth $2,090,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also modified their holdings of the company. State Street Corp boosted its position in McDonald’s by 1.8% during the second quarter. State Street Corp now owns 36,080,505 shares of the fast-food giant’s stock worth $9,752,921,000 after acquiring an additional 646,675 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in McDonald’s in the 2nd quarter worth approximately $1,359,276,000. Arrowstreet Capital Limited Partnership raised its holdings in McDonald’s by 17.2% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,637,785 shares of the fast-food giant’s stock valued at $1,130,587,000 after acquiring an additional 533,448 shares during the last quarter. Swiss National Bank raised its holdings in McDonald’s by 6.9% in the 1st quarter. Swiss National Bank now owns 2,089,980 shares of the fast-food giant’s stock valued at $649,545,000 after acquiring an additional 134,480 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its holdings in McDonald’s by 3.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,909,321 shares of the fast-food giant’s stock valued at $593,366,000 after acquiring an additional 62,562 shares during the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have weighed in on the company. 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 note on Thursday, August 6th. Needham & Company LLC reaffirmed a “buy” rating on shares of McDonald’s in a research report on Monday, September 21st. Melius Research dropped their target price on McDonald’s from $250.00 to $230.00 and set a “sell” rating for the company in a research note on Monday, September 28th. Weiss Ratings downgraded McDonald’s from a “hold (c)” rating to a “hold (c-)” rating in a research report on Friday, October 2nd. Finally, Argus raised their price target on McDonald’s from $310.00 to $320.00 and gave the stock a “buy” rating in a research note on Friday, November 6th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, fourteen have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, McDonald’s currently has an average rating of “Moderate Buy” and an average target price of $297.82.

McDonald’s Stock Down 2.4%

MCD stock opened at $275.30 on Thursday. The company has a market cap of $194.30 billion, a price-to-earnings ratio of 21.78, a PEG ratio of 3.26 and a beta of 0.42. The business has a fifty day simple moving average of $249.73 and a 200-day simple moving average of $282.16. McDonald’s Corporation has a 52 week low of $229.20 and a 52 week high of $341.75.

McDonald’s (NYSE:MCD) last issued its earnings results on Wednesday, November 4th. The fast-food giant reported $3.57 earnings per share for the quarter, topping the consensus estimate of $3.38 by $0.19. McDonald’s had a negative return on equity of 826.29% and a net margin of 32.38%. The business had revenue of $7.16 billion for the quarter, compared to analyst estimates of $7.28 billion. During the same period last year, the company posted $3.22 EPS. The business’s quarterly revenue was up 1.1% on a year-over-year basis. As a group, analysts expect that McDonald’s Corporation will post 12.91 earnings per share for the current fiscal year.

McDonald’s Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a dividend of $1.93 per share. This is a boost from McDonald’s’s previous quarterly dividend of $1.86. This represents a $7.72 annualized dividend and a yield of 2.8%. The ex-dividend date is Tuesday, December 1st. McDonald’s’s payout ratio is currently 61.08%.

Top McDonald’s Stories

Investors following MCD have been watching these stories:

• Positive Sentiment: McDonald’s and Uber are expanding their delivery and loyalty partnership across 14 markets, including the U.S. and U.K. The effort could increase delivery orders, improve customer engagement and generate incremental sales. McDonald’s and Uber expand delivery and loyalty tie-up
• Positive Sentiment: An analyst upgrade was reported overnight, providing a potential positive signal on the stock, though the headline does not identify the analyst’s rationale or price target. McDonald’s Stock Price Up 1.8% on Analyst Upgrade
• Negative Sentiment: A market commentary says Treasury yields near 5% are pressuring valuations across stocks. Higher yields can make dividend-paying shares like MCD less attractive relative to bonds and weigh on valuation multiples. Bonds Are Paying 5% Again

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.