HB Wealth Management LLC Lowers Position in McDonald’s Corporation $MCD

HB Wealth Management LLC lessened its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 4.9% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 82,678 shares of the fast-food giant’s stock after selling 4,297 shares during the quarter. HB Wealth Management LLC’s holdings in McDonald’s were worth $22,349,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Brighton Jones LLC grew its position in McDonald’s by 21.6% in the fourth quarter. Brighton Jones LLC now owns 9,286 shares of the fast-food giant’s stock worth $2,692,000 after acquiring an additional 1,649 shares in the last quarter. Revolve Wealth Partners LLC raised its position in McDonald’s by 2.8% during the fourth quarter. Revolve Wealth Partners LLC now owns 1,942 shares of the fast-food giant’s stock valued at $563,000 after purchasing an additional 52 shares in the last quarter. Sivia Capital Partners LLC raised its position in McDonald’s by 11.4% during the second quarter. Sivia Capital Partners LLC now owns 2,017 shares of the fast-food giant’s stock valued at $589,000 after purchasing an additional 206 shares in the last quarter. United Bank raised its position in McDonald’s by 6.0% during the second quarter. United Bank now owns 8,102 shares of the fast-food giant’s stock valued at $2,367,000 after purchasing an additional 459 shares in the last quarter. Finally, Schnieders Capital Management LLC. lifted its stake in McDonald’s by 2.5% during the second quarter. Schnieders Capital Management LLC. now owns 12,938 shares of the fast-food giant’s stock worth $3,780,000 after purchasing an additional 312 shares during the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

McDonald’s Trading Down 1.5%

Shares of NYSE:MCD opened at $255.69 on Friday. The stock’s 50-day moving average price is $269.67 and its 200-day moving average price is $289.39. McDonald’s Corporation has a 12-month low of $255.49 and a 12-month high of $341.75. The stock has a market capitalization of $180.94 billion, a P/E ratio of 20.77, a price-to-earnings-growth ratio of 2.76 and a beta of 0.41.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Tuesday, August 4th. The fast-food giant reported $3.38 EPS for the quarter, topping the consensus estimate of $3.32 by $0.06. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%.The firm had revenue of $7.10 billion for the quarter, compared to the consensus estimate of $7.13 billion. During the same quarter in the previous year, the business earned $3.19 earnings per share. The company’s quarterly revenue was up 3.7% on a year-over-year basis. As a group, research analysts predict that McDonald’s Corporation will post 12.87 EPS for the current year.

McDonald’s Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Tuesday, September 1st will be paid a $1.86 dividend. This represents a $7.44 dividend on an annualized basis and a yield of 2.9%. The ex-dividend date of this dividend is Tuesday, September 1st. McDonald’s’s payout ratio is 60.44%.

Insider Buying and Selling

In other McDonald’s news, insider Joseph Erlinger sold 5,252 shares of the business’s stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total value of $1,493,248.64. Following the completion of the sale, the insider owned 7,734 shares in the company, valued at approximately $2,198,930.88. The trade was a 40.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.26% of the stock is owned by company insiders.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: Valuation may attract contrarian buyers: McDonald’s is trading at roughly 19.15 times earnings, below the restaurant industry’s average multiple. Analysts point to global expansion, digital initiatives and new product efforts as possible catalysts for a recovery. McDonald’s Trades at 19.15X P/E: Is This a Discounted Opportunity?
• Positive Sentiment: Promotional activity could support traffic: McDonald’s is bringing back popular menu items, launching a Texas-themed meal with collectible cups and promoting limited-time products. These campaigns may encourage visits and improve near-term sales, though their financial impact is unproven. McDonald’s launches exclusive state-themed meal
• Neutral Sentiment: Brand visibility remains high: Coverage of McDonald’s breakfast offerings, Grimace appearances, collectible merchandise and Warren Buffett’s long-standing affinity for the brand reinforces consumer awareness but is unlikely to materially change earnings expectations. The best McDonald’s breakfast sandwich isn’t on the menu
• Negative Sentiment: U.S. consumer weakness is the main concern: Reports describe consumer-focused stocks, including McDonald’s, as signaling softer spending in middle America. Articles also highlight customers shifting to competing fast-food chains, increasing pressure on traffic and comparable sales. Wall Street worried about consumer stocks
• Negative Sentiment: Value positioning remains problematic: Coverage says McDonald’s $3 value offering has not fully delivered for customers or the company, raising concerns about affordability, franchisee economics and the effectiveness of discounting. Why you can’t find McDonald’s $3 value menu

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on MCD. BTIG Research reiterated a “buy” rating and set a $350.00 price objective on shares of McDonald’s in a research report on Wednesday, August 5th. Argus dropped their target price on McDonald’s from $320.00 to $310.00 and set a “buy” rating for the company in a research report on Wednesday, August 26th. Robert W. Baird raised McDonald’s to a “hold” rating in a research note on Monday, August 24th. Evercore set a $320.00 target price on McDonald’s in a research note on Thursday, July 23rd. Finally, Tigress Financial increased their price target on shares of McDonald’s from $385.00 to $390.00 and gave the company a “buy” rating in a research report on Friday, July 17th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eleven have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $321.35.

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.