Willis Investment Counsel Increases Holdings in McDonald’s Corporation $MCD

Willis Investment Counsel increased its stake in shares of McDonald’s Corporation (NYSE:MCD) by 14.9% during the third quarter, according to its most recent filing with the SEC. The institutional investor owned 84,785 shares of the fast-food giant’s stock after purchasing an additional 10,994 shares during the period. McDonald’s accounts for 1.4% of Willis Investment Counsel’s investment portfolio, making the stock its 27th largest position. Willis Investment Counsel’s holdings in McDonald’s were worth $25,765,000 as of its most recent filing with the SEC.

Other hedge funds have also added to or reduced their stakes in the company. Legacy Investment Solutions LLC purchased a new position in shares of McDonald’s during the second quarter worth about $25,000. Decker Retirement Planning Inc. lifted its position in McDonald’s by 142.9% during the second quarter. Decker Retirement Planning Inc. now owns 85 shares of the fast-food giant’s stock valued at $25,000 after purchasing an additional 50 shares during the last quarter. Evergreen Private Wealth LLC grew its stake in McDonald’s by 162.5% in the 3rd quarter. Evergreen Private Wealth LLC now owns 84 shares of the fast-food giant’s stock worth $26,000 after buying an additional 52 shares in the last quarter. GFG Capital LLC bought a new position in shares of McDonald’s in the 2nd quarter worth $29,000. Finally, Financial Gravity Companies Inc. purchased a new stake in shares of McDonald’s during the 2nd quarter valued at $29,000. Hedge funds and other institutional investors own 70.29% of the company’s stock.

McDonald’s Stock Up 0.3%

Shares of NYSE MCD opened at $324.49 on Friday. The firm’s fifty day moving average is $310.65 and its 200 day moving average is $307.03. McDonald’s Corporation has a 52 week low of $283.47 and a 52 week high of $328.06. The company has a market cap of $231.09 billion, a price-to-earnings ratio of 27.66, a PEG ratio of 3.27 and a beta of 0.52.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Wednesday, November 5th. The fast-food giant reported $3.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.11). The firm had revenue of $7.08 billion during the quarter, compared to analysts’ expectations of $7.10 billion. McDonald’s had a net margin of 32.04% and a negative return on equity of 280.89%. McDonald’s’s revenue was up 3.0% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $3.23 EPS. Equities research analysts anticipate that McDonald’s Corporation will post 12.25 earnings per share for the current year.

McDonald’s Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Shareholders of record on Tuesday, March 3rd will be given a dividend of $1.86 per share. The ex-dividend date of this dividend is Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a yield of 2.3%. McDonald’s’s dividend payout ratio is presently 63.48%.

McDonald’s News Roundup

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

• Positive Sentiment: Board approved quarterly dividend of $1.86 per share (annualized yield ~2.3%), payable Mar. 17 — supports income investors and signals cash?flow strength. PR Newswire
• Positive Sentiment: Several bullish analyst moves (recent BTIG and UBS price target raises to $360/$350) and MarketBeat commentary highlight MCD’s defensive appeal and upward momentum into earnings, supporting buying interest. MarketBeat
• Positive Sentiment: Leadership update: Loek Beckers named CFO of McDonald’s USA — management continuity may reassure investors on execution and U.S. operations. NRN
• Neutral Sentiment: Mizuho raised its price target to $325 but kept a “neutral” rating (small implied upside vs. current levels), signaling limited near?term upside from that shop. TickerReport
• Neutral Sentiment: Consensus analyst stance remains mixed — MarketBeat/MarketRank shows an average “Hold” from ~31 firms, indicating balanced expectations ahead of earnings. DefenseWorld
• Neutral Sentiment: Marketing buzz: Valentine’s Day “McNugget caviar kit” promotion is driving headlines and social engagement — good for short?term foot traffic and brand visibility but uncertain sales impact. Yahoo
• Neutral Sentiment: Local openings continue (24?hour Tinley Park drive?thru approved), incremental sales potential but occasional community pushback. Chicago Tribune
• Negative Sentiment: Brand/experience headwinds: consumer articles reporting perceived declines in some menu quality and mixed reviews of gimmick items — could weigh on repeat traffic if widespread. MSN
• Negative Sentiment: Strategic exposure: McDonald’s opted out of selling food/drink at official World Cup Fan Fests (NYT Athletic) — reduced on?site visibility at a major global event could be viewed as a missed marketing/revenue opportunity. NYT Athletic

Analyst Ratings Changes

Several research analysts recently issued reports on the stock. Robert W. Baird upped their target price on shares of McDonald’s from $322.00 to $325.00 and gave the stock a “neutral” rating in a research report on Thursday, November 6th. Guggenheim upped their price objective on McDonald’s from $310.00 to $325.00 and gave the stock a “neutral” rating in a report on Tuesday. BMO Capital Markets reissued an “outperform” rating on shares of McDonald’s in a report on Thursday, November 6th. BTIG Research upgraded McDonald’s from a “neutral” rating to a “buy” rating and set a $360.00 target price for the company in a research report on Monday. Finally, Citigroup reduced their price target on shares of McDonald’s from $381.00 to $375.00 and set a “buy” rating on the stock in a research report on Tuesday, October 21st. Fifteen analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $332.30.

Insiders Place Their Bets

In related news, EVP Desiree Ralls-Morrison sold 2,486 shares of the firm’s stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $320.00, for a total value of $795,520.00. Following the completion of the sale, the executive vice president owned 6,268 shares of the company’s stock, valued at $2,005,760. This trade represents a 28.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Joseph M. Erlinger sold 3,195 shares of the business’s stock in a transaction on Friday, November 14th. The shares were sold at an average price of $305.82, for a total transaction of $977,094.90. Following the transaction, the insider directly owned 6,088 shares in the company, valued at approximately $1,861,832.16. The trade was a 34.42% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 32,008 shares of company stock worth $9,895,452. 0.25% of the stock is currently owned by company insiders.

About McDonald’s

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.