McDonald’s Corporation $MCD Stock: Prime Capital Investment Advisors LLC Cuts Holdings

Prime Capital Investment Advisors LLC lessened its position in shares of McDonald’s Corporation (NYSE:MCD) by 7.8% in the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 36,090 shares of the fast-food giant’s stock after selling 3,049 shares during the period. Prime Capital Investment Advisors LLC’s holdings in McDonald’s were worth $8,335,000 at the end of the most recent quarter.

A number of other institutional investors also recently made changes to their positions in MCD. Cypress Capital LLC raised its stake in McDonald’s by 5.5% in the 3rd quarter. Cypress Capital LLC now owns 8,391 shares of the fast-food giant’s stock worth $1,938,000 after purchasing an additional 440 shares in the last quarter. Norway Savings Bank boosted its holdings in McDonald’s by 18.7% in the 3rd quarter. Norway Savings Bank now owns 4,393 shares of the fast-food giant’s stock valued at $1,015,000 after purchasing an additional 691 shares during the period. Net Worth Advisory Group boosted its holdings in McDonald’s by 31.6% in the 3rd quarter. Net Worth Advisory Group now owns 3,164 shares of the fast-food giant’s stock valued at $734,000 after purchasing an additional 759 shares during the period. Lakeside Advisors INC. boosted its holdings in McDonald’s by 2.2% in the 3rd quarter. Lakeside Advisors INC. now owns 3,873 shares of the fast-food giant’s stock valued at $894,000 after purchasing an additional 85 shares during the period. Finally, Sumitomo Mitsui DS Asset Management Company Ltd grew its position in shares of McDonald’s by 0.4% during the 3rd quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 354,816 shares of the fast-food giant’s stock worth $81,941,000 after purchasing an additional 1,451 shares in the last quarter. Institutional investors own 70.29% of the company’s stock.

Key McDonald’s News

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

• Positive Sentiment: Attractive valuation and dividend support: McDonald’s trades at roughly 20 times trailing earnings, below its historical average, while its dividend yield is near multiyear highs. Investors may view the pullback as an opportunity, particularly as the company approaches another milestone in its Dividend King history. Is the Market Underpricing McDonald’s Stock?
• Positive Sentiment: Longer-term growth strategy: UBS believes McDonald’s NEXT strategy and value initiatives could outweigh near-term weakness in the United States and help the company gain global market share in 2027. The franchise model also continues to support recurring cash flow and dividend growth. McDonald’s NEXT Plan and Value Push
• Positive Sentiment: Product and promotional activity: New chicken offerings, Disney-themed Happy Meal collectibles, and the return of Halloween Boo Buckets could increase customer traffic and engagement, though their financial impact is likely limited. McDonald’s Happy Meal Features New Disney Collectible

McDonald’s Stock Performance

McDonald’s stock opened at $246.47 on Wednesday. McDonald’s Corporation has a 52 week low of $229.20 and a 52 week high of $341.75. The stock has a market capitalization of $174.41 billion, a P/E ratio of 20.02, a price-to-earnings-growth ratio of 2.72 and a beta of 0.44. The stock has a fifty day moving average of $250.89 and a 200-day moving average of $270.92.

McDonald’s (NYSE:MCD) last released its quarterly earnings data 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 business 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 revenue was up 3.7% compared to the same quarter last year. During the same period last year, the firm posted $3.19 earnings per share. On average, research analysts forecast that McDonald’s Corporation will post 12.84 earnings per share for the current year.

McDonald’s Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a dividend of $1.93 per share. The ex-dividend date of this dividend is Tuesday, December 1st. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. This represents a $7.72 annualized dividend and a yield of 3.1%. McDonald’s’s payout ratio is presently 60.44%.

Analysts Set New Price Targets

MCD has been the topic of a number of analyst reports. Freedom Capital upgraded shares of McDonald’s from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, August 5th. Loop Capital dropped their price target on shares of McDonald’s from $301.00 to $273.00 and set a “hold” rating for the company in a research report on Wednesday, August 5th. Sanford C. Bernstein cut their price target on McDonald’s from $295.00 to $250.00 and set a “market perform” rating for the company in a research note on Thursday, October 8th. Morgan Stanley cut their price target on McDonald’s from $308.00 to $297.00 and set an “equal weight” rating for the company in a research note on Monday, September 28th. Finally, Deutsche Bank Aktiengesellschaft reduced their price target on McDonald’s from $325.00 to $300.00 and set a “buy” rating on the stock in a research report on Monday, September 14th. One analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $295.64.

About McDonald’s

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.