Cadence Bank Raises Holdings in McDonald's Corporation $MCD

Key Points

• Cadence Bank boosted its McDonald's stake by 18.6% in Q4, buying 6,830 shares to hold 43,545 shares worth about $13.31 million, making MCD roughly 0.8% of its portfolio and its 27th-largest position.
• Insider selling has been notable recently: EVP Jonathan Banner sold 6,201 shares at $333.29 and Joseph M. Erlinger sold 333 shares at $302.72, with insiders disposing of 71,990 shares (~$23.8M) over the past three months and now owning 0.26% of the stock.
• Fundamentals and payout: McDonald's beat quarterly EPS and revenue estimates (EPS $3.12 vs. $3.05; revenue $7.01B vs. $6.81B), pays a $1.86 quarterly dividend (annualized $7.44, ~2.6% yield), and carries a MarketBeat consensus "Hold" with a $340.93 target amid mixed analyst ratings.

Cadence Bank grew its position in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 18.6% during the 4th quarter, according to the company in its most recent disclosure with the SEC. The fund owned 43,545 shares of the fast-food giant's stock after purchasing an additional 6,830 shares during the quarter. McDonald's makes up about 0.8% of Cadence Bank's holdings, making the stock its 27th largest position. Cadence Bank's holdings in McDonald's were worth $13,309,000 at the end of the most recent reporting period.

Several other hedge funds also recently made changes to their positions in MCD. D.A. Davidson & CO. boosted its stake in shares of McDonald's by 2.7% during the third quarter. D.A. Davidson & CO. now owns 143,492 shares of the fast-food giant's stock worth $43,606,000 after buying an additional 3,774 shares during the period. Synergy Asset Management LLC boosted its stake in shares of McDonald's by 317.2% during the third quarter. Synergy Asset Management LLC now owns 19,079 shares of the fast-food giant's stock worth $5,691,000 after buying an additional 14,506 shares during the period. National Pension Service boosted its stake in shares of McDonald's by 2.5% during the third quarter. National Pension Service now owns 1,533,015 shares of the fast-food giant's stock worth $465,868,000 after buying an additional 37,744 shares during the period. Schroder Investment Management Group boosted its stake in shares of McDonald's by 5.2% during the third quarter. Schroder Investment Management Group now owns 1,029,572 shares of the fast-food giant's stock worth $312,877,000 after buying an additional 51,039 shares during the period. Finally, Abich Financial Wealth Management LLC acquired a new stake in shares of McDonald's during the third quarter worth about $1,697,000. Hedge funds and other institutional investors own 70.29% of the company's stock.

Insider Activity

In other McDonald's news, EVP Jonathan Banner sold 6,201 shares of the stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $333.29, for a total value of $2,066,731.29. Following the completion of the transaction, the executive vice president directly owned 2,291 shares of the company's stock, valued at approximately $763,567.39. This trade represents a 73.02% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Joseph M. Erlinger sold 333 shares of the stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $302.72, for a total transaction of $100,805.76. Following the completion of the transaction, the insider directly owned 8,067 shares of the company's stock, valued at approximately $2,442,042.24. This trade represents a 3.96% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 71,990 shares of company stock worth $23,824,113 in the last three months. 0.26% of the stock is currently owned by company insiders.

McDonald's Stock Down 3.0%

Shares of NYSE:MCD opened at $290.45 on Tuesday. The company has a market cap of $206.46 billion, a P/E ratio of 24.31, a PEG ratio of 2.71 and a beta of 0.53. McDonald's Corporation has a 52 week low of $283.47 and a 52 week high of $341.75. The company has a 50-day moving average price of $316.41 and a 200 day moving average price of $312.04.

McDonald's (NYSE:MCD - Get Free Report) last announced its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 EPS for the quarter, beating analysts' consensus estimates of $3.05 by $0.07. The firm had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.81 billion. McDonald's had a net margin of 31.85% and a negative return on equity of 343.90%. The firm's revenue was up 9.7% compared to the same quarter last year. During the same quarter last year, the firm earned $2.83 earnings per share. Analysts expect that McDonald's Corporation will post 13.21 EPS for the current year.

McDonald's Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 17th. Investors of record on Tuesday, March 3rd were given a $1.86 dividend. The ex-dividend date was Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a yield of 2.6%. McDonald's's dividend payout ratio (DPR) is presently 62.26%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on the stock. BTIG Research increased their target price on shares of McDonald's from $360.00 to $370.00 and gave the stock a "buy" rating in a research note on Thursday, February 12th. Piper Sandler increased their target price on shares of McDonald's from $323.00 to $325.00 and gave the stock a "neutral" rating in a research note on Thursday, February 12th. Mizuho increased their target price on shares of McDonald's from $300.00 to $325.00 and gave the stock a "neutral" rating in a research note on Friday, February 6th. Citigroup increased their target price on shares of McDonald's from $371.00 to $375.00 and gave the stock a "buy" rating in a research note on Thursday, February 12th. Finally, Barclays increased their target price on shares of McDonald's from $372.00 to $380.00 and gave the stock an "overweight" rating in a research note on Thursday, February 12th. Sixteen equities research analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $340.93.

McDonald's News Roundup

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

• Positive Sentiment: Several analysts have adjusted targets in the mid‑$300s (some raised), reflecting continued confidence in McDonald's long‑term growth and prompting debate over how much upside remains. This support from parts of the Street can buoy sentiment. How The McDonald's (MCD) Investment Story Is Shifting As Analysts Rework Growth And Valuation
• Positive Sentiment: New product and marketing initiatives — including a major Stranger Things Happy Meal collaboration — provide short‑term traffic drivers and brand visibility that can help sales while cross‑promotions roll out. McDonald's x Stranger Things Happy Meal
• Positive Sentiment: Product expansion efforts, like a new drinks menu aimed at capturing more beverage spend, could incrementally lift check sizes if adoption scales. Investors view beverage gains as a meaningful long‑term lever. McDonald's takes aim at Starbucks with new drinks menu
• Positive Sentiment: Institutional buying was reported in a recent 13F (Advisors Capital Management increased holdings), a sign that some money managers are adding to positions. Holdings Increased by Advisors Capital Management
• Neutral Sentiment: Analysts are also reworking fair value and valuation assumptions (a very small fair‑value tweak was reported), highlighting that expectations are being recalibrated rather than radically shifted. This creates mixed signals for near‑term price moves. How The McDonald's (MCD) Investment Story Is Shifting As Analysts Rework Growth And Valuation
• Neutral Sentiment: Various viral/consumer stories (CEO explaining a viral tiny‑burger bite, menu articles) are generating media buzz but are unlikely to move fundamentals materially. CEO explains viral tiny burger bite
• Negative Sentiment: Erste Group downgraded MCD from "buy" to "hold," a direct negative catalyst that can pressure sentiment and prompt short‑term selling. Finviz (Erste Group downgrade)
• Negative Sentiment: Analysts and outlets note a tougher operating backdrop—slowing customer traffic, softening sales and rising food costs—which raises near‑term margin and growth concerns for the restaurant sector and weighs on the stock. McDonald's unveils new Happy Meal; operating challenges noted

McDonald's Profile

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.

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