Bridgeway Capital Management LLC Buys 4,653 Shares of McDonald’s Corporation $MCD

Bridgeway Capital Management LLC increased its stake in shares of McDonald’s Corporation (NYSE:MCD) by 6.2% in the 4th quarter, HoldingsChannel reports. The institutional investor owned 79,910 shares of the fast-food giant’s stock after acquiring an additional 4,653 shares during the quarter. McDonald’s accounts for 0.5% of Bridgeway Capital Management LLC’s portfolio, making the stock its 28th biggest position. Bridgeway Capital Management LLC’s holdings in McDonald’s were worth $24,423,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also bought and sold shares of the company. Your Advocates Ltd. LLP bought a new stake in McDonald’s during the fourth quarter worth $27,000. Park Place Capital Corp grew its holdings in McDonald’s by 95.7% during the fourth quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant’s stock worth $28,000 after buying an additional 45 shares in the last quarter. IFC & Insurance Marketing Inc. bought a new stake in McDonald’s during the fourth quarter worth $29,000. Abound Financial LLC bought a new stake in McDonald’s during the fourth quarter worth $30,000. Finally, DecisionPoint Financial LLC grew its holdings in McDonald’s by 1,616.7% during the fourth quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant’s stock worth $31,000 after buying an additional 97 shares in the last quarter. Institutional investors own 70.29% of the company’s stock.

More McDonald’s News

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

• Positive Sentiment: McDonald’s is bringing back its fried apple pie after more than 30 years, a nostalgic, limited-time menu move that could support traffic and generate buzz with customers. AP News article
• Positive Sentiment: Other reports also note McDonald’s has been winning with value-oriented diners, which may help it hold up better than midtier restaurant chains as consumers trade down or seek familiar brands. Yahoo Finance article
• Neutral Sentiment: Coverage of McDonald’s reviving classic menu items, updating drive-thrus, and rebuilding older locations is mostly brand/operations news, with limited immediate impact on the stock. TheStreet article
• Neutral Sentiment: A Zacks note pointed out that MCD recently fell more than the broader market, but it did not identify a major new catalyst beyond the stock’s recent weakness. Zacks article
• Negative Sentiment: The biggest headwind is the market’s concern that restaurant spending is fragmenting, which could pressure midtier operators and keep sentiment cautious around consumer discretionary names like McDonald’s. Yahoo Finance article

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the company. Rothschild & Co Redburn upgraded McDonald’s from a “sell” rating to a “neutral” rating and upped their price objective for the company from $260.00 to $306.00 in a research note on Thursday, April 23rd. Erste Group Bank downgraded McDonald’s from a “buy” rating to a “hold” rating in a research note on Monday, April 27th. TD Cowen restated a “hold” rating on shares of McDonald’s in a research note on Friday, June 12th. Evercore set a $350.00 price objective on McDonald’s in a research note on Friday, May 8th. Finally, JPMorgan Chase & Co. reduced their price objective on McDonald’s from $325.00 to $305.00 and set an “overweight” rating for the company in a research note on Monday, May 11th. Sixteen equities research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $336.26.

McDonald’s Stock Performance

MCD stock opened at $284.16 on Thursday. The company has a market capitalization of $201.90 billion, a price-to-earnings ratio of 23.43, a PEG ratio of 2.87 and a beta of 0.41. McDonald’s Corporation has a fifty-two week low of $271.85 and a fifty-two week high of $341.75. The stock has a fifty day moving average of $288.07 and a 200-day moving average of $306.22.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, topping the consensus estimate of $2.74 by $0.09. The company had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. McDonald’s had a negative return on equity of 442.10% and a net margin of 31.62%.The firm’s quarterly revenue was up 9.4% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.67 EPS. Equities analysts predict that McDonald’s Corporation will post 12.93 EPS for the current year.

McDonald’s Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd were paid a dividend of $1.86 per share. The ex-dividend date was Tuesday, June 2nd. This represents a $7.44 annualized dividend and a dividend yield of 2.6%. McDonald’s’s dividend payout ratio is presently 61.34%.

Insider Buying and Selling at McDonald’s

In related news, insider Joseph M. Erlinger sold 5,252 shares of the stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the sale, the insider owned 7,734 shares of the company’s stock, valued at approximately $2,198,930.88. This represents a 40.44% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction dated Thursday, May 28th. The stock was 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 in the company, valued at $1,744,760.48. This trade represents a 30.59% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 11,307 shares of company stock valued at $3,262,622 in the last quarter. 0.26% of the stock is owned by corporate insiders.

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.