McDonald’s Co. Announces Quarterly Dividend of $1.67 (NYSE:MCD)

McDonald’s Co. (NYSE:MCD) declared a quarterly dividend on Thursday, July 25th, RTT News reports. Investors of record on Tuesday, September 3rd will be paid a dividend of 1.67 per share by the fast-food giant on Tuesday, September 17th. This represents a $6.68 annualized dividend and a yield of 2.66%.

McDonald’s has increased its dividend by an average of 7.3% annually over the last three years and has increased its dividend every year for the last 48 years. McDonald’s has a payout ratio of 50.6% meaning its dividend is sufficiently covered by earnings. Analysts expect McDonald’s to earn $13.11 per share next year, which means the company should continue to be able to cover its $6.68 annual dividend with an expected future payout ratio of 51.0%.

McDonald’s Trading Down 0.8 %

Shares of NYSE MCD opened at $251.41 on Friday. McDonald’s has a twelve month low of $243.53 and a twelve month high of $302.39. The firm has a 50-day moving average of $255.85 and a two-hundred day moving average of $274.06. The company has a market capitalization of $181.19 billion, a price-to-earnings ratio of 21.34, a PEG ratio of 2.91 and a beta of 0.71.

McDonald’s (NYSE:MCD) last issued its earnings results 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 business had revenue of $6.17 billion for the quarter, compared to the consensus estimate of $6.16 billion. McDonald’s had a negative return on equity of 180.74% and a net margin of 33.36%. The company’s quarterly revenue was up 4.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.63 earnings per share. As a group, research analysts predict that McDonald’s will post 12.13 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on the company. Truist Financial cut their target price on McDonald’s from $320.00 to $300.00 and set a “buy” rating on the stock in a research report on Tuesday, July 9th. Morgan Stanley cut their price objective on McDonald’s from $312.00 to $300.00 and set an “overweight” rating on the stock in a report on Thursday, July 11th. Citigroup decreased their target price on shares of McDonald’s from $297.00 to $280.00 and set a “neutral” rating for the company in a report on Tuesday, July 16th. JPMorgan Chase & Co. cut their price target on shares of McDonald’s from $300.00 to $290.00 and set an “overweight” rating on the stock in a report on Wednesday, July 10th. Finally, The Goldman Sachs Group assumed coverage on shares of McDonald’s in a research note on Thursday, June 13th. They issued a “neutral” rating and a $288.00 price objective for the company. Ten research analysts have rated the stock with a hold rating and nineteen have given a buy rating to the stock. Based on data from MarketBeat, McDonald’s currently has an average rating of “Moderate Buy” and a consensus target price of $308.57.

Insider Activity

In related news, EVP Jonathan Banner sold 800 shares of the business’s stock in a transaction that occurred on Friday, May 10th. The stock was sold at an average price of $275.02, for a total value of $220,016.00. Following the completion of the sale, the executive vice president now directly owns 19 shares in the company, valued at approximately $5,225.38. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. In related news, EVP Jonathan Banner sold 800 shares of McDonald’s stock in a transaction on Friday, May 10th. The shares were sold at an average price of $275.02, for a total value of $220,016.00. Following the transaction, the executive vice president now owns 19 shares in the company, valued at approximately $5,225.38. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Joseph M. Erlinger sold 1,099 shares of the business’s stock in a transaction on Tuesday, July 23rd. The stock was sold at an average price of $260.00, for a total transaction of $285,740.00. Following the transaction, the insider now directly owns 13,681 shares of the company’s stock, valued at approximately $3,557,060. The disclosure for this sale can be found here. In the last quarter, insiders have sold 5,594 shares of company stock valued at $1,454,507. Insiders own 0.23% of the company’s stock.

McDonald’s Company Profile

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.