McDonald’s Corporation $MCD Stock: Mechanics Bank Trust Department Cuts Stake

Mechanics Bank Trust Department lowered its holdings in McDonald’s Corporation (NYSE:MCD) by 14.1% during the third quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 20,551 shares of the fast-food giant’s stock after selling 3,363 shares during the quarter. Mechanics Bank Trust Department’s holdings in McDonald’s were worth $4,746,000 as of its most recent filing with the SEC.

Several other large investors also recently made changes to their positions in the business. State Street Corp raised its holdings in shares of McDonald’s by 1.8% in the second quarter. State Street Corp now owns 36,080,505 shares of the fast-food giant’s stock valued at $9,752,921,000 after buying an additional 646,675 shares during the last quarter. Bank of New York Mellon Corp acquired a new position in McDonald’s during the 2nd quarter worth about $1,359,276,000. Arrowstreet Capital Limited Partnership lifted its position in McDonald’s by 17.2% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,637,785 shares of the fast-food giant’s stock worth $1,130,587,000 after buying an additional 533,448 shares in the last quarter. Diamant Asset Management Inc. lifted its position in McDonald’s by 30,979.0% during the 1st quarter. Diamant Asset Management Inc. now owns 2,596,340 shares of the fast-food giant’s stock worth $806,917,000 after buying an additional 2,587,986 shares in the last quarter. Finally, J. Stern & Co. LLP grew its holdings in McDonald’s by 9,867.5% during the 4th quarter. J. Stern & Co. LLP now owns 2,541,008 shares of the fast-food giant’s stock worth $776,608,000 after acquiring an additional 2,515,515 shares during the last quarter. Institutional investors own 70.29% of the company’s stock.

McDonald’s Price Performance

Shares of MCD stock traded up $0.29 on Tuesday, reaching $235.94. 4,540,226 shares of the stock were exchanged, compared to its average volume of 4,235,564. The stock has a market cap of $166.96 billion, a PE ratio of 19.17, a P/E/G ratio of 2.64 and a beta of 0.44. McDonald’s Corporation has a one year low of $229.20 and a one year high of $341.75. The stock has a 50 day moving average price of $254.06 and a 200 day moving average price of $273.24.

McDonald’s (NYSE:MCD) last issued its quarterly earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.32 by $0.06. The business had revenue of $7.10 billion for the quarter, compared to analyst estimates of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%. The firm’s revenue for the quarter was up 3.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $3.19 earnings per share. On average, research analysts expect that McDonald’s Corporation will post 12.85 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. Investors of record on Tuesday, December 1st will be given a $1.93 dividend. The ex-dividend date is Tuesday, December 1st. This is a positive change 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%. McDonald’s’s dividend payout ratio is 60.44%.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on the stock. Sanford C. Bernstein lowered their price objective on shares of McDonald’s from $295.00 to $250.00 and set a “market perform” rating for the company in a research report on Thursday, October 8th. HSBC dropped their target price on shares of McDonald’s from $357.00 to $356.00 and set a “buy” rating for the company in a research note on Wednesday, August 5th. Gordon Haskett reduced their target price 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. Morgan Stanley decreased their price target on shares of McDonald’s from $308.00 to $297.00 and set an “equal weight” rating on the stock in a research note on Monday, September 28th. Finally, Deutsche Bank Aktiengesellschaft decreased their price target on shares of McDonald’s from $325.00 to $300.00 and set a “buy” rating on the stock in a research note on Monday, September 14th. One analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $295.94.

McDonald’s News Roundup

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

• Positive Sentiment: McDonald’s has a consensus price target of approximately $295.94, implying substantial upside from recent trading levels. The target reflects expectations that the company’s brand, franchise model and turnaround efforts can support a recovery. McDonald’s Corporation Stock Has Consensus Target Price of $295.94
• Positive Sentiment: Management is resetting its marketing strategy around personalized digital offers, value meals and more streamlined campaigns. Better execution could improve customer engagement and help rebuild baseline sales after recent promotions failed to meet expectations. Can MCD’s Marketing Reset Help Improve Customer Engagement and Sales?
• Neutral Sentiment: McDonald’s may bring Disney villains to its Boo Buckets Halloween promotion in 2026. The potential collaboration could create marketing buzz, but its direct financial impact is likely limited. Disney villains may appear on McDonald’s Boo Buckets in 2026 return
• Negative Sentiment: Investors have reacted cautiously to McDonald’s roughly $8.5 billion franchisee-support commitment through 2036. The spending could strengthen restaurants over time, but it raises near-term capital-allocation and return-on-investment concerns. McDonald’s Trades at 18 Times Earnings. Is the $8.5B Fix Priced In?
• Negative Sentiment: The Restaurant NEXT overhaul requires U.S. drive-through franchisees to invest about $800,000 per location in technology and operational upgrades, prompting resistance from some operators who question the payoff. McDonald’s $800,000 overhaul hits resistance from within
• Negative Sentiment: McDonald’s efforts to drive growth through chicken and beverages face competitive pressure: consumer-spending data reportedly shows Chick-fil-A and coffee chains gaining share. Value promotions have also not yet produced strong demand. McDonald’s is leaning into chicken and drinks to grow
• Negative Sentiment: Erste Group Bank lowered its FY2026 EPS estimate to $12.87 from $12.92 and its FY2027 estimate to $13.80 from $13.96, reinforcing concerns about slower earnings growth. McDonald’s earnings estimate revisions

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.