SummitTX Capital L.P. Cuts Stock Position in McDonald’s Corporation $MCD

SummitTX Capital L.P. lessened its holdings in McDonald’s Corporation (NYSE:MCD) by 60.9% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The fund owned 9,177 shares of the fast-food giant’s stock after selling 14,275 shares during the period. SummitTX Capital L.P.’s holdings in McDonald’s were worth $2,852,000 at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. Brighton Jones LLC raised its position in McDonald’s by 21.6% during the fourth quarter. Brighton Jones LLC now owns 9,286 shares of the fast-food giant’s stock valued at $2,692,000 after purchasing an additional 1,649 shares during the period. Revolve Wealth Partners LLC lifted its stake in shares of McDonald’s by 2.8% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,942 shares of the fast-food giant’s stock valued at $563,000 after purchasing an additional 52 shares during the last quarter. Sivia Capital Partners LLC boosted its holdings in shares of McDonald’s by 11.4% in the 2nd quarter. Sivia Capital Partners LLC now owns 2,017 shares of the fast-food giant’s stock worth $589,000 after purchasing an additional 206 shares during the period. United Bank increased its position in shares of McDonald’s by 6.0% during the 2nd quarter. United Bank now owns 8,102 shares of the fast-food giant’s stock valued at $2,367,000 after purchasing an additional 459 shares during the last quarter. Finally, Schnieders Capital Management LLC. raised its holdings in McDonald’s by 2.5% during the 2nd quarter. Schnieders Capital Management LLC. now owns 12,938 shares of the fast-food giant’s stock valued at $3,780,000 after buying an additional 312 shares during the period. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Analyst Ratings Changes

A number of research analysts have weighed in on MCD shares. KeyCorp reiterated an “overweight” rating on shares of McDonald’s in a research report on Wednesday, July 15th. Barclays reduced their price objective on shares of McDonald’s from $380.00 to $350.00 and set an “overweight” rating on the stock in a research report on Friday, May 8th. Royal Bank Of Canada restated a “sector perform” rating on shares of McDonald’s in a research report on Tuesday. TD Cowen reiterated a “hold” rating on shares of McDonald’s in a report on Friday, June 12th. Finally, Robert W. Baird set a $305.00 price target on McDonald’s in a research note on Thursday, May 7th. Fifteen investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $333.32.

McDonald’s Trading Up 0.8%

NYSE MCD opened at $272.82 on Wednesday. The stock has a market cap of $193.84 billion, a PE ratio of 22.49, a PEG ratio of 2.91 and a beta of 0.41. McDonald’s Corporation has a 12 month low of $260.96 and a 12 month high of $341.75. The company’s 50-day moving average price is $275.60 and its 200-day moving average price is $298.42.

McDonald’s (NYSE:MCD) last announced its quarterly earnings data on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, beating analysts’ consensus estimates of $2.74 by $0.09. The company had revenue of $6.52 billion during the quarter, compared to analyst estimates of $6.47 billion. McDonald’s had a net margin of 31.62% and a negative return on equity of 442.10%. The firm’s revenue for the quarter was up 9.4% on a year-over-year basis. During the same quarter last year, the business posted $2.67 EPS. As a group, sell-side analysts forecast that McDonald’s Corporation will post 12.86 earnings per share for the current year.

McDonald’s Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Stockholders of record on Tuesday, September 1st will be given a dividend of $1.86 per share. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.7%. McDonald’s’s dividend payout ratio (DPR) is 61.34%.

Insider Activity at McDonald’s

In related news, insider Joseph M. Erlinger sold 5,252 shares of the stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total value of $1,493,248.64. Following the transaction, the insider owned 7,734 shares of the company’s stock, valued at $2,198,930.88. This represents a 40.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of McDonald’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $278.36, for a total value of $769,108.68. Following the sale, the executive vice president directly owned 6,268 shares of the company’s stock, valued at approximately $1,744,760.48. This trade represents a 30.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 8,348 shares of company stock valued at $2,355,634 in the last ninety days. Insiders own 0.26% of the company’s stock.

Key McDonald’s News

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

• Positive Sentiment: UBS maintained a Buy rating despite lowering its price target from $365 to $340, implying substantial potential upside from recent levels. The target reduction reflects a more cautious outlook, but the continued Buy rating provides a positive signal. UBS McDonald’s price target report
• Positive Sentiment: McDonald’s affirmed its quarterly dividend of $1.86 per share, payable September 16. Its long record of annual dividend increases may attract income-oriented investors, particularly with the stock trading well below its 52-week high. McDonald’s dividend and valuation analysis
• Positive Sentiment: Wall Street’s average price targets remain materially above the current share price, with some analysts viewing the pullback as a buying opportunity if McDonald’s can stabilize sales and restore growth. McDonald’s near 52-week low analysis

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.