Citigroup Cuts McDonald’s (NYSE:MCD) Price Target to $275.00

McDonald’s (NYSE:MCD) had its target price trimmed by Citigroup from $280.00 to $275.00 in a research note published on Tuesday morning, Benzinga reports. The firm currently has a neutral rating on the fast-food giant’s stock.

MCD has been the subject of a number of other reports. Evercore ISI lowered their price target on shares of McDonald’s from $330.00 to $300.00 and set an outperform rating for the company in a report on Tuesday, July 16th. Erste Group Bank reaffirmed a hold rating on shares of McDonald’s in a research note on Wednesday, April 3rd. Stifel Nicolaus reduced their price target on McDonald’s from $285.00 to $265.00 and set a hold rating on the stock in a report on Monday, July 22nd. JPMorgan Chase & Co. dropped their price objective on McDonald’s from $290.00 to $270.00 and set an overweight rating for the company in a report on Tuesday. Finally, Truist Financial reduced their target price on McDonald’s from $300.00 to $295.00 and set a buy rating on the stock in a research note on Tuesday. Eleven research analysts have rated the stock with a hold rating and twenty have given a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of Moderate Buy and an average price target of $302.64.

McDonald’s Price Performance

NYSE:MCD opened at $268.75 on Tuesday. McDonald’s has a 1-year low of $243.53 and a 1-year high of $302.39. The company has a market capitalization of $193.68 billion, a price-to-earnings ratio of 22.81, a PEG ratio of 3.28 and a beta of 0.71. The business has a 50 day moving average of $255.54 and a 200 day moving average of $273.02.

McDonald’s (NYSE:MCD) last issued its earnings results on Monday, July 29th. The fast-food giant reported $2.97 earnings per share for the quarter, missing the consensus estimate of $3.07 by ($0.10). The company had revenue of $6.49 billion for the quarter, compared to analysts’ expectations of $6.62 billion. McDonald’s had a net margin of 32.25% and a negative return on equity of 178.92%. The company’s revenue was down .1% compared to the same quarter last year. During the same quarter in the prior year, the company earned $3.17 earnings per share. As a group, sell-side analysts anticipate that McDonald’s will post 11.78 EPS for the current year.

McDonald’s Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 17th. Stockholders of record on Tuesday, September 3rd will be paid a $1.67 dividend. This represents a $6.68 annualized dividend and a dividend yield of 2.49%. The ex-dividend date is Tuesday, September 3rd. McDonald’s’s dividend payout ratio (DPR) is presently 56.71%.

Insider Buying and Selling

In other McDonald’s news, insider Joseph M. Erlinger sold 1,099 shares of the stock in a transaction that occurred on Thursday, May 23rd. The shares were sold at an average price of $265.13, for a total value of $291,377.87. Following the transaction, the insider now directly owns 15,878 shares in the company, valued at $4,209,734.14. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In related news, insider Joseph M. Erlinger sold 1,099 shares of the stock in a transaction dated Thursday, May 23rd. The stock was sold at an average price of $265.13, for a total transaction of $291,377.87. Following the completion of the sale, the insider now owns 15,878 shares in the company, valued at $4,209,734.14. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Marion K. Gross sold 1,498 shares of the business’s stock in a transaction dated Wednesday, July 3rd. The stock was sold at an average price of $248.26, for a total transaction of $371,893.48. Following the completion of the sale, the executive vice president now owns 1,560 shares in the company, valued at $387,285.60. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 5,594 shares of company stock valued at $1,454,507. 0.23% of the stock is owned by insiders.

Hedge Funds Weigh In On McDonald’s

A number of hedge funds have recently added to or reduced their stakes in MCD. Concentric Wealth Management LLC grew its stake in McDonald’s by 1.4% in the fourth quarter. Concentric Wealth Management LLC now owns 2,551 shares of the fast-food giant’s stock worth $756,000 after purchasing an additional 35 shares in the last quarter. Mechanics Financial Corp lifted its holdings in shares of McDonald’s by 0.7% in the 4th quarter. Mechanics Financial Corp now owns 5,331 shares of the fast-food giant’s stock worth $1,581,000 after buying an additional 36 shares during the period. FinTrust Capital Advisors LLC increased its stake in shares of McDonald’s by 2.9% during the fourth quarter. FinTrust Capital Advisors LLC now owns 1,268 shares of the fast-food giant’s stock valued at $376,000 after buying an additional 36 shares during the period. 9258 Wealth Management LLC lifted its stake in McDonald’s by 1.3% in the first quarter. 9258 Wealth Management LLC now owns 2,833 shares of the fast-food giant’s stock worth $799,000 after acquiring an additional 37 shares during the period. Finally, Blue Bell Private Wealth Management LLC boosted its stake in shares of McDonald’s by 30.9% during the fourth quarter. Blue Bell Private Wealth Management LLC now owns 161 shares of the fast-food giant’s stock valued at $48,000 after purchasing an additional 38 shares in the last quarter. 70.29% of the stock is currently owned by institutional investors.

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.