McDonald’s (NYSE:MCD) Shares Down 0.4% Following Analyst Downgrade

McDonald’s Co. (NYSE:MCD) traded down 0.4% during trading on Tuesday after Guggenheim lowered their price target on the stock from $315.00 to $280.00. Guggenheim currently has a buy rating on the stock. McDonald’s traded as low as $248.62 and last traded at $249.11. 707,687 shares traded hands during mid-day trading, a decline of 79% from the average session volume of 3,412,052 shares. The stock had previously closed at $249.99.

Several other brokerages have also recently issued reports on MCD. Bank of America dropped their target price on shares of McDonald’s from $302.00 to $288.00 and set a “neutral” rating on the stock in a report on Tuesday, May 28th. BMO Capital Markets dropped their target price on shares of McDonald’s from $335.00 to $330.00 and set an “outperform” rating on the stock in a report on Wednesday, May 1st. KeyCorp dropped their target price on shares of McDonald’s from $315.00 to $310.00 and set an “overweight” rating on the stock in a report on Wednesday, May 1st. Erste Group Bank reiterated a “hold” rating on shares of McDonald’s in a report on Wednesday, April 3rd. Finally, Robert W. Baird dropped their target price on shares of McDonald’s from $305.00 to $300.00 and set an “outperform” rating on the stock in a report on Wednesday, May 1st. Ten investment analysts have rated the stock with a hold rating and twenty have assigned a buy rating to the company. According to data from MarketBeat, McDonald’s presently has an average rating of “Moderate Buy” and a consensus target price of $313.89.

Insiders Place Their Bets

In other news, insider Joseph M. Erlinger sold 1,098 shares of the firm’s stock in a transaction that occurred on Friday, June 21st. The shares were sold at an average price of $260.00, for a total transaction of $285,480.00. Following the sale, the insider now owns 14,780 shares of the company’s stock, valued at approximately $3,842,800. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, insider Joseph M. Erlinger sold 1,098 shares of the firm’s stock in a transaction that occurred on Friday, June 21st. The shares were sold at an average price of $260.00, for a total transaction of $285,480.00. Following the sale, the insider now owns 14,780 shares of the company’s stock, valued at approximately $3,842,800. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Joseph M. Erlinger sold 1,099 shares of the firm’s stock in a transaction that occurred on Thursday, May 23rd. The stock was sold at an average price of $265.13, for a total transaction of $291,377.87. Following the sale, the insider now directly owns 15,878 shares in the company, valued at approximately $4,209,734.14. The disclosure for this sale can be found here. In the last ninety days, insiders sold 4,095 shares of company stock valued at $1,100,625. 0.23% of the stock is owned by insiders.

Institutional Investors Weigh In On McDonald’s

Institutional investors have recently added to or reduced their stakes in the stock. Dixon Mitchell Investment Counsel Inc. acquired a new stake in McDonald’s in the 1st quarter valued at $28,000. Signature Resources Capital Management LLC purchased a new position in McDonald’s in the 4th quarter valued at $31,000. Spartan Planning & Wealth Management purchased a new position in McDonald’s in the 3rd quarter valued at $33,000. Clear Investment Research LLC purchased a new position in McDonald’s in the 4th quarter valued at $38,000. Finally, Keener Financial Planning LLC purchased a new position in McDonald’s in the 4th quarter valued at $39,000. Institutional investors and hedge funds own 70.29% of the company’s stock.

McDonald’s Trading Down 0.5 %

The business has a fifty day simple moving average of $263.31 and a two-hundred day simple moving average of $279.07. The company has a market cap of $179.31 billion, a PE ratio of 21.15, a price-to-earnings-growth ratio of 2.87 and a beta of 0.71.

McDonald’s (NYSE:MCD) last announced its quarterly earnings data on Tuesday, April 30th. The fast-food giant reported $2.70 earnings per share for the quarter, missing analysts’ consensus estimates of $2.71 by ($0.01). The firm had revenue of $6.17 billion during the quarter, compared to analysts’ expectations of $6.16 billion. McDonald’s had a net margin of 33.36% and a negative return on equity of 180.74%. The company’s revenue for the quarter was up 4.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.63 EPS. Equities analysts expect that McDonald’s Co. will post 12.19 EPS for the current year.

McDonald’s Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 17th. Stockholders of record on Monday, June 3rd were issued a dividend of $1.67 per share. The ex-dividend date was Monday, June 3rd. This represents a $6.68 annualized dividend and a dividend yield of 2.68%. McDonald’s’s dividend payout ratio is presently 56.71%.

About McDonald’s

McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.