Banco Bilbao Vizcaya Argentaria S.A. Sells 10,325 Shares of McDonald's Corporation $MCD

Key Points

• Banco Bilbao Vizcaya Argentaria S.A. reduced its McDonald’s stake by 11.2% in the fourth quarter, selling 10,325 shares and leaving it with 82,017 shares worth about $25.1 million.
• McDonald’s reported better-than-expected quarterly results, with EPS of $2.83 versus the $2.74 consensus and revenue of $6.52 billion versus $6.47 billion expected. Revenue rose 9.4% year over year.
• Despite some analyst target-price cuts, Wall Street still has a Moderate Buy view overall, with 16 Buy ratings and an average price target of $336.26. The stock was trading around $284.16, below both its 50-day and 200-day moving averages.

Banco Bilbao Vizcaya Argentaria S.A. trimmed its stake in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 11.2% in the 4th quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 82,017 shares of the fast-food giant's stock after selling 10,325 shares during the period. Banco Bilbao Vizcaya Argentaria S.A.'s holdings in McDonald's were worth $25,100,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also added to or reduced their stakes in MCD. Basso Capital Management L.P. bought a new position in shares of McDonald's in the 4th quarter worth approximately $56,000. Bridgeway Capital Management LLC raised its position in McDonald's by 6.2% in the fourth quarter. Bridgeway Capital Management LLC now owns 79,910 shares of the fast-food giant's stock worth $24,423,000 after acquiring an additional 4,653 shares during the period. Align Financial LLC purchased a new position in shares of McDonald's during the 4th quarter worth $11,957,000. Guggenheim Capital LLC grew its holdings in McDonald's by 0.8% during the fourth quarter. Guggenheim Capital LLC now owns 190,336 shares of the fast-food giant's stock valued at $58,172,000 after purchasing an additional 1,433 shares during the period. Finally, Viking Global Investors LP raised its stake in shares of McDonald's by 7.2% in the fourth quarter. Viking Global Investors LP now owns 3,619,215 shares of the fast-food giant's stock worth $1,106,141,000 after buying an additional 244,340 shares during the period. Institutional investors own 70.29% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the stock. Rothschild & Co Redburn raised shares of McDonald's from a "sell" rating to a "neutral" rating and increased their target price for the stock from $260.00 to $306.00 in a report on Thursday, April 23rd. Robert W. Baird set a $305.00 target price on shares of McDonald's in a research note on Thursday, May 7th. KeyCorp dropped their target price on shares of McDonald's from $345.00 to $330.00 and set an "overweight" rating for the company in a report on Friday, May 8th. JPMorgan Chase & Co. lowered their price objective on McDonald's from $325.00 to $305.00 and set an "overweight" rating on the stock in a research report on Monday, May 11th. Finally, Weiss Ratings lowered McDonald's from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Friday, May 29th. Sixteen analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $336.26.

McDonald's Trading Down 1.3%

Shares of MCD stock opened at $284.16 on Thursday. The stock's 50-day moving average price is $288.07 and its 200-day moving average price is $306.22. McDonald's Corporation has a 12-month low of $271.85 and a 12-month high of $341.75. The stock has a market capitalization of $201.90 billion, a price-to-earnings ratio of 23.43, a price-to-earnings-growth ratio of 2.87 and a beta of 0.41.

McDonald's (NYSE:MCD - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.74 by $0.09. The business had revenue of $6.52 billion for 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 company's revenue was up 9.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.67 EPS. As a group, research analysts predict that McDonald's Corporation will post 12.93 EPS for the current fiscal year.

McDonald's Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd were issued a $1.86 dividend. The ex-dividend date was Tuesday, June 2nd. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.6%. McDonald's's payout ratio is 61.34%.

Insider Activity

In related news, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $278.36, for a total value of $769,108.68. Following the completion of the transaction, the executive vice president 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 position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Joseph M. Erlinger sold 5,252 shares of the company's stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total value of $1,493,248.64. Following the sale, the insider owned 7,734 shares in the company, valued at approximately $2,198,930.88. This trade represents a 40.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 11,307 shares of company stock worth $3,262,622 over the last 90 days. Corporate insiders own 0.26% 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

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.