McDonald’s Corporation (NYSE:MCD) Stock Now Rated “Moderate Buy” by Wall Street Analysts

Shares of McDonald’s Corporation (NYSE:MCD – Get Free Report) have been given an average recommendation of “Moderate Buy” by the thirty-seven ratings firms that are presently covering the firm, Marketbeat reports. One investment analyst has rated the stock with a sell recommendation, thirteen have assigned a hold recommendation, twenty-two have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $295.94.

A number of research analysts have weighed in on MCD shares. Needham & Company LLC reiterated a “buy” rating on shares of McDonald’s in a research report on Monday, September 21st. Weiss Ratings downgraded shares of McDonald’s from a “hold (c)” rating to a “hold (c-)” rating in a research note on Friday, October 2nd. Oppenheimer lowered their target price on shares of McDonald’s from $325.00 to $295.00 and set an “outperform” rating for the company in a report on Thursday, September 24th. Robert W. Baird dropped their price target on shares of McDonald’s from $285.00 to $250.00 and set a “neutral” rating for the company in a research note on Thursday, September 24th. Finally, UBS Group reaffirmed a “buy” rating on shares of McDonald’s in a research note on Monday.

Check Out Our Latest Stock Analysis on McDonald’s

McDonald’s Stock Performance

NYSE MCD opened at $242.60 on Tuesday. The company has a market cap of $171.68 billion, a P/E ratio of 19.71, a P/E/G ratio of 2.72 and a beta of 0.44. The business’s 50 day moving average price is $251.44 and its 200-day moving average price is $271.35. McDonald’s has a fifty-two week low of $229.20 and a fifty-two week high of $341.75.

McDonald’s (NYSE:MCD – Get Free Report) last released its quarterly earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share for the quarter, beating the consensus estimate of $3.32 by $0.06. The company had revenue of $7.10 billion for the quarter, compared to analyst estimates of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%. McDonald’s’s quarterly revenue was up 3.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $3.19 EPS. As a group, equities analysts predict that McDonald’s will post 12.84 EPS for the current year.

McDonald’s Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a $1.93 dividend. The ex-dividend date of this dividend is Tuesday, December 1st. This is an increase from McDonald’s’s previous quarterly dividend of $1.86. This represents a $7.72 annualized dividend and a yield of 3.2%. McDonald’s’s payout ratio is 60.44%.

Key McDonald’s News

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

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of MCD. State Street Corp grew its position in shares of McDonald’s by 1.8% during the second quarter. State Street Corp now owns 36,080,505 shares of the fast-food giant’s stock worth $9,752,921,000 after buying an additional 646,675 shares in the last quarter. Bank of New York Mellon Corp bought a new stake in shares of McDonald’s in the second quarter worth $1,359,276,000. Arrowstreet Capital Limited Partnership raised its holdings in McDonald’s by 17.2% in the first quarter. Arrowstreet Capital Limited Partnership now owns 3,637,785 shares of the fast-food giant’s stock valued at $1,130,587,000 after acquiring an additional 533,448 shares in the last quarter. Diamant Asset Management Inc. raised its holdings in McDonald’s by 30,979.0% in the first quarter. Diamant Asset Management Inc. now owns 2,596,340 shares of the fast-food giant’s stock valued at $806,917,000 after acquiring an additional 2,587,986 shares in the last quarter. Finally, J. Stern & Co. LLP boosted its stake in McDonald’s by 9,867.5% during the 4th quarter. J. Stern & Co. LLP now owns 2,541,008 shares of the fast-food giant’s stock valued at $776,608,000 after acquiring an additional 2,515,515 shares during the last quarter. Institutional investors own 70.29% of the company’s stock.

About McDonald’s

(Get Free Report)

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.

Further Reading

Analyst Recommendations for McDonald's (NYSE:MCD)

Receive News & Ratings for McDonald's Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for McDonald's and related companies with MarketBeat.com's FREE daily email newsletter.