World Investment Advisors Trims Holdings in McDonald’s Corporation $MCD

World Investment Advisors lowered its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 5.0% in the first quarter, Holdings Channel reports. The firm owned 38,397 shares of the fast-food giant’s stock after selling 2,003 shares during the quarter. World Investment Advisors’ holdings in McDonald’s were worth $11,933,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors also recently bought and sold shares of the business. Your Advocates Ltd. LLP purchased a new stake in shares of McDonald’s in the fourth quarter valued at about $27,000. Park Place Capital Corp grew its holdings in shares of McDonald’s by 95.7% during the fourth quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant’s stock worth $28,000 after buying an additional 45 shares during the last quarter. IFC & Insurance Marketing Inc. purchased a new position in shares of McDonald’s during the fourth quarter worth about $29,000. Abound Financial LLC acquired a new position in McDonald’s in the 4th quarter valued at about $30,000. Finally, Purpose Unlimited Inc. acquired a new position in McDonald’s in the 4th quarter valued at about $31,000. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s News Roundup

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

• Positive Sentiment: McDonald’s stock was lifted by a UBS note highlighting it as an attractive defensive dividend name, helping support the shares as investors rotate toward stable cash-generating companies. Why McDonald’s (MCD) Stock Is Up Today
• Positive Sentiment: McDonald’s continues to appeal to income investors after its latest quarterly dividend, reinforcing its reputation as one of the most reliable dividend payers in the Dow. Despite Franchisees Struggling, McDonald’s Dividend Keeps Rising
• Positive Sentiment: New menu and promotional chatter, including Happy Meal tie-ins, free fries offers, and added chicken items, could help drive customer engagement and traffic. BT21 Toys Teases Coming To McDonald’s Happy Meals On July 14
• Neutral Sentiment: McDonald’s is also getting broader media attention around its brand history and restaurant expansion plans, but these items are not likely to move the stock much on their own. The McDonald’s Big Mac jingle from the mid ’70s that still lives in our heads
• Neutral Sentiment: McDonald’s hired a new development executive to support its NEXT strategy, which signals execution progress but is still more of a long-term operating update than an immediate stock catalyst. McDonald’s taps Raising Cane’s vet to lead development
• Negative Sentiment: A Trefis report said McDonald’s is facing a real risk from trying to win over budget-conscious customers, with franchisee strain from inflation and weak consumer sentiment weighing on the system. The Real Risk Squeezing McDonald’s Stock
• Negative Sentiment: Another recent analysis said MCD is near 52-week lows because of margin pressure at franchisees and softer foot traffic, which continues to limit enthusiasm despite the dividend appeal. Should You Buy McDonald’s (MCD) At 52-Week Lows

Analysts Set New Price Targets

Several equities research analysts recently weighed in on MCD shares. KeyCorp decreased their price target on McDonald’s from $330.00 to $315.00 and set an “overweight” rating for the company in a report on Monday, June 29th. BTIG Research restated a “buy” rating and set a $370.00 price objective on shares of McDonald’s in a research report on Thursday, May 7th. TD Cowen restated a “hold” rating on shares of McDonald’s in a research report on Friday, June 12th. Barclays reduced their target price on shares of McDonald’s from $380.00 to $350.00 and set an “overweight” rating for the company in a research note on Friday, May 8th. Finally, Robert W. Baird set a $305.00 target price on shares of McDonald’s in a report on Thursday, May 7th. Sixteen analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $335.70.

Insiders Place Their Bets

In related news, insider Joseph M. Erlinger sold 5,252 shares of the business’s stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total value of $1,493,248.64. Following the sale, the insider directly owned 7,734 shares in the company, valued at $2,198,930.88. The trade was a 40.44% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $278.36, for a total transaction of $769,108.68. Following the completion of the sale, the executive vice president directly owned 6,268 shares in the company, valued at approximately $1,744,760.48. The trade was a 30.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 11,307 shares of company stock worth $3,262,622. 0.26% of the stock is owned by company insiders.

McDonald’s Trading Down 0.1%

Shares of MCD opened at $280.48 on Friday. The firm’s 50-day moving average is $280.25 and its two-hundred day moving average is $303.22. McDonald’s Corporation has a twelve month low of $264.53 and a twelve month high of $341.75. The firm has a market capitalization of $199.29 billion, a P/E ratio of 23.12, a PEG ratio of 2.80 and a beta of 0.41.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.74 by $0.09. The company had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. McDonald’s had a net margin of 31.62% and a negative return on equity of 442.10%. The company’s revenue for the quarter was up 9.4% on a year-over-year basis. During the same period last year, the firm earned $2.67 EPS. Analysts predict that McDonald’s Corporation will post 12.93 EPS for the current year.

McDonald’s Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 16th. Investors of record on Tuesday, June 2nd were issued a dividend of $1.86 per share. The ex-dividend date of this dividend was Tuesday, June 2nd. This represents a $7.44 annualized dividend and a yield of 2.7%. McDonald’s’s payout ratio is currently 61.34%.

McDonald’s Profile

McDonald’s Corporation (NYSE: MCD) is a global quick-service restaurant company best known for its hamburgers, French fries and breakfast offerings. The company develops, operates and franchises a system of restaurants that sell a range of food and beverage items, including signature products such as the Big Mac, Quarter Pounder, Chicken McNuggets, McCafé coffee beverages and a variety of salads, desserts and seasonal menu items. McDonald’s serves customers through company-operated restaurants and franchised locations, and it supports sales via dine-in, drive-thru, digital ordering platforms and third-party delivery partnerships.

Founded in 1940 by brothers Richard and Maurice McDonald as a single San Bernardino, California restaurant, the business was transformed into a franchising model after Ray Kroc joined in the mid-1950s and led the brand’s national and international expansion.