Evercore ISI Raises McDonald’s (NYSE:MCD) Price Target to $320.00

McDonald’s (NYSE:MCD) had its target price boosted by Evercore ISI from $300.00 to $320.00 in a research report sent to investors on Monday morning, Benzinga reports. The brokerage currently has an outperform rating on the fast-food giant’s stock.

MCD has been the subject of several other reports. TD Cowen downgraded McDonald’s from a buy rating to a hold rating and reduced their price target for the company from $285.00 to $280.00 in a report on Wednesday, July 31st. Robert W. Baird decreased their target price on shares of McDonald’s from $305.00 to $300.00 and set an outperform rating for the company in a report on Wednesday, May 1st. Morgan Stanley cut their price target on shares of McDonald’s from $312.00 to $300.00 and set an overweight rating on the stock in a report on Thursday, July 11th. BMO Capital Markets reduced their price objective on McDonald’s from $330.00 to $315.00 and set an outperform rating for the company in a report on Tuesday, July 30th. Finally, Citigroup lowered their target price on shares of McDonald’s from $280.00 to $275.00 and set a neutral rating on the stock in a research note on Tuesday, July 30th. Eleven research analysts have rated the stock with a hold rating and twenty have given a buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of Moderate Buy and a consensus price target of $303.71.

McDonald’s Price Performance

NYSE:MCD opened at $289.35 on Monday. The firm has a market capitalization of $208.53 billion, a P/E ratio of 24.56, a PEG ratio of 3.58 and a beta of 0.71. McDonald’s has a one year low of $243.53 and a one year high of $302.39. The company’s 50-day simple moving average is $261.43 and its 200 day simple moving average is $270.98.

McDonald’s (NYSE:MCD) last issued its quarterly earnings results on Monday, July 29th. The fast-food giant reported $2.97 EPS for the quarter, missing analysts’ consensus estimates of $3.07 by ($0.10). McDonald’s had a negative return on equity of 178.92% and a net margin of 32.25%. The company had revenue of $6.49 billion during the quarter, compared to the consensus estimate of $6.62 billion. During the same period in the prior year, the firm earned $3.17 earnings per share. The business’s revenue for the quarter was down .1% compared to the same quarter last year. On average, equities research analysts expect that McDonald’s will post 11.71 earnings per share for the current fiscal year.

McDonald’s Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 17th. Shareholders of record on Tuesday, September 3rd will be paid a dividend of $1.67 per share. This represents a $6.68 dividend on an annualized basis and a yield of 2.31%. The ex-dividend date is Tuesday, September 3rd. McDonald’s’s payout ratio is 56.71%.

Insiders Place Their Bets

In other news, insider Joseph M. Erlinger sold 1,099 shares of the firm’s stock in a transaction on Tuesday, July 23rd. The shares were sold at an average price of $260.00, for a total transaction of $285,740.00. Following the sale, the insider now directly owns 13,681 shares in the company, valued at approximately $3,557,060. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other McDonald’s news, insider Joseph M. Erlinger sold 1,099 shares of the stock in a transaction on Tuesday, July 23rd. The stock was sold at an average price of $260.00, for a total value of $285,740.00. Following the completion of the sale, the insider now owns 13,681 shares in the company, valued at approximately $3,557,060. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Marion K. Gross sold 1,498 shares of the business’s stock in a transaction dated Wednesday, July 3rd. The shares were sold at an average price of $248.26, for a total value of $371,893.48. Following the completion of the transaction, 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. Insiders sold a total of 3,695 shares of company stock worth $943,113 over the last three months. 0.23% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On McDonald’s

Several institutional investors and hedge funds have recently modified their holdings of MCD. Dixon Mitchell Investment Counsel Inc. purchased a new position in McDonald’s during the first quarter valued at $28,000. Signature Resources Capital Management LLC purchased a new position in shares of McDonald’s during the fourth quarter valued at about $31,000. Clear Investment Research LLC bought a new stake in shares of McDonald’s in the fourth quarter worth about $38,000. Kings Path Partners LLC purchased a new stake in shares of McDonald’s in the second quarter worth about $38,000. Finally, Atlantic Edge Private Wealth Management LLC bought a new position in McDonald’s during the fourth quarter valued at approximately $39,000. Institutional investors own 70.29% of the company’s stock.

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.