McDonald’s Corporation $MCD Position Boosted by Legal & General Group Plc

Legal & General Group Plc lifted its stake in McDonald’s Corporation (NYSE:MCD) by 6.4% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 4,757,967 shares of the fast-food giant’s stock after acquiring an additional 286,284 shares during the period. Legal & General Group Plc owned 0.67% of McDonald’s worth $1,445,899,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Evergreen Private Wealth LLC boosted its stake in McDonald’s by 162.5% during the 3rd quarter. Evergreen Private Wealth LLC now owns 84 shares of the fast-food giant’s stock valued at $26,000 after purchasing an additional 52 shares in the last quarter. Financial Gravity Companies Inc. bought a new stake in shares of McDonald’s in the 2nd quarter worth $29,000. Traub Capital Management LLC bought a new stake in shares of McDonald’s in the 2nd quarter worth $29,000. Davis Capital Management acquired a new stake in shares of McDonald’s in the third quarter valued at $37,000. Finally, Miller Wealth Advisors LLC bought a new position in McDonald’s during the third quarter valued at about $38,000. Institutional investors own 70.29% of the company’s stock.

McDonald’s News Summary

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

• Positive Sentiment: New product momentum — McDonald’s Big Arch burger is being heavily promoted (CEO appearances, social campaigns such as “First Job Confessional”) and is generating strong online buzz that can lift traffic and brand engagement. McDonald’s Big Arch Burger Tests Brand Power And Rich Valuation
• Positive Sentiment: Analyst upgrade — At least one outlet reports a raised price target to $385, signaling increased analyst confidence in MCD’s outlook and valuation support. McDonald’s (NYSE:MCD) Price Target Raised to $385.00
• Positive Sentiment: Viral CEO marketing — A widely viewed video of McDonald’s CEO sampling the new product has driven free publicity and conversations that amplify the Big Arch campaign. Increased organic attention can translate into short-term traffic gains. Viral video of McDonald’s CEO eating new ‘product’ draws response from Columbus Metropolitan Library
• Neutral Sentiment: Pricing variability — A study shows Big Arch prices vary widely across U.S. markets; this affects local comps and customer perception but is not a company-wide earnings surprise. McDonald’s Big Arch Burger Prices Swing Wildly Across U.S., New Study Shows
• Neutral Sentiment: Ongoing product initiatives — New Happy Meal offerings and Filet?O?Fish tips/PR continue to support menu innovation and value perception, which can aid transaction growth over time. McDonald’s announces new happy meal
• Negative Sentiment: Competitive and reputational noise — Rival chains (notably Burger King) and their agencies have produced social jabs that highlight brand rivalry; while largely promotional theatre, sustained negative narratives can dent sentiment. Burger King names 2 new agencies following viral Whopper bite moment
• Negative Sentiment: Macro/logistics risk — Analysis flags meaningful exposure to very high oil prices (fuel for delivery/drive?thru, packaging, logistics) that could suppress demand or raise operating risk if energy spikes materially. McDonald’s Real Risk From $150 Oil Has Nothing to Do With Costs

McDonald’s Trading Up 0.9%

MCD opened at $331.03 on Tuesday. The stock has a fifty day moving average price of $318.66 and a 200 day moving average price of $311.15. McDonald’s Corporation has a 1 year low of $283.47 and a 1 year high of $341.75. The stock has a market cap of $235.17 billion, a price-to-earnings ratio of 27.70, a PEG ratio of 2.92 and a beta of 0.51.

McDonald’s (NYSE:MCD) last issued its earnings results on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share for the quarter, topping the consensus estimate of $3.05 by $0.07. McDonald’s had a negative return on equity of 343.90% and a net margin of 31.85%.The company had revenue of $7.01 billion for the quarter, compared to analyst estimates of $6.81 billion. During the same period in the prior year, the firm posted $2.83 EPS. The business’s revenue was up 9.7% compared to the same quarter last year. As a group, sell-side analysts forecast that McDonald’s Corporation will post 12.25 earnings per share for the current fiscal year.

McDonald’s Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Investors of record on Tuesday, March 3rd will be issued a dividend of $1.86 per share. This represents a $7.44 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Tuesday, March 3rd. McDonald’s’s dividend payout ratio (DPR) is currently 62.26%.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on MCD shares. Truist Financial boosted their price target on shares of McDonald’s from $356.00 to $370.00 and gave the stock a “buy” rating in a research report on Thursday, February 12th. BTIG Research lifted their price objective on shares of McDonald’s from $360.00 to $370.00 and gave the stock a “buy” rating in a research note on Thursday, February 12th. Jefferies Financial Group raised their target price on shares of McDonald’s from $360.00 to $375.00 and gave the stock a “buy” rating in a report on Thursday, February 12th. Barclays upped their price target on McDonald’s from $372.00 to $380.00 and gave the company an “overweight” rating in a report on Thursday, February 12th. Finally, Wells Fargo & Company lifted their target price on McDonald’s from $345.00 to $355.00 and gave the stock an “overweight” rating in a report on Thursday, February 12th. Seventeen research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $339.69.

Insider Transactions at McDonald’s

In other news, CEO Christopher J. Kempczinski sold 26,277 shares of McDonald’s stock in a transaction that occurred on Thursday, February 12th. The shares were sold at an average price of $331.35, for a total value of $8,706,883.95. Following the completion of the transaction, the chief executive officer owned 22,900 shares in the company, valued at approximately $7,587,915. The trade was a 53.43% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Joseph M. Erlinger sold 2,626 shares of the business’s stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $325.25, for a total value of $854,106.50. Following the completion of the transaction, the insider directly owned 5,398 shares in the company, valued at $1,755,699.50. The trade was a 32.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 71,517 shares of company stock valued at $23,655,503. 0.25% of the stock is owned by company insiders.

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.