Callan Family Office LLC Cuts Stake in McDonald's Corporation (NYSE:MCD)

Key Points

• Callan Family Office LLC has reduced its position in McDonald's Corporation by 32.2%, selling 3,253 shares and now holding 6,849 shares valued at $2,139,000.
• McDonald's reported $3.19 EPS for the last quarter, exceeding analyst expectations of $3.15, with revenue up 5.4% year-over-year.
• The company has announced a quarterly dividend of $1.77, which equates to an annual yield of 2.3% and a payout ratio of 60.67%.

Callan Family Office LLC trimmed its position in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 32.2% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 6,849 shares of the fast-food giant's stock after selling 3,253 shares during the quarter. Callan Family Office LLC's holdings in McDonald's were worth $2,139,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds have also recently bought and sold shares of the company. First American Trust FSB raised its stake in McDonald's by 55.9% in the 1st quarter. First American Trust FSB now owns 36,917 shares of the fast-food giant's stock valued at $11,532,000 after acquiring an additional 13,234 shares during the period. Red Door Wealth Management LLC increased its position in shares of McDonald's by 1.9% during the first quarter. Red Door Wealth Management LLC now owns 5,724 shares of the fast-food giant's stock valued at $1,788,000 after buying an additional 109 shares during the period. Sumitomo Mitsui DS Asset Management Company Ltd increased its position in shares of McDonald's by 5.6% during the first quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 345,319 shares of the fast-food giant's stock valued at $107,867,000 after buying an additional 18,393 shares during the period. Sagespring Wealth Partners LLC increased its position in shares of McDonald's by 22.9% during the first quarter. Sagespring Wealth Partners LLC now owns 17,226 shares of the fast-food giant's stock valued at $5,381,000 after buying an additional 3,212 shares during the period. Finally, Segment Wealth Management LLC increased its position in shares of McDonald's by 1.7% during the first quarter. Segment Wealth Management LLC now owns 54,672 shares of the fast-food giant's stock valued at $17,078,000 after buying an additional 937 shares during the period. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald's Trading Up 1.2%

MCD stock traded up $3.57 during midday trading on Thursday, hitting $308.64. The company had a trading volume of 4,698,548 shares, compared to its average volume of 3,468,737. McDonald's Corporation has a 52 week low of $271.85 and a 52 week high of $326.32. The stock's 50 day moving average price is $298.03 and its 200 day moving average price is $304.85. The stock has a market cap of $220.25 billion, a price-to-earnings ratio of 26.45, a PEG ratio of 3.11 and a beta of 0.52.

McDonald's (NYSE:MCD - Get Free Report) last announced its earnings results on Wednesday, August 6th. The fast-food giant reported $3.19 EPS for the quarter, beating analysts' consensus estimates of $3.15 by $0.04. The company had revenue of $6.84 billion during the quarter, compared to the consensus estimate of $6.68 billion. McDonald's had a negative return on equity of 225.52% and a net margin of 32.21%. The firm's revenue for the quarter was up 5.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.97 earnings per share. Analysts predict that McDonald's Corporation will post 12.25 earnings per share for the current year.

McDonald's Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 16th. Investors of record on Tuesday, September 2nd will be issued a dividend of $1.77 per share. This represents a $7.08 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date is Tuesday, September 2nd. McDonald's's dividend payout ratio is currently 60.67%.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on MCD shares. Argus cut McDonald's from a "buy" rating to a "hold" rating in a research report on Friday, June 13th. The Goldman Sachs Group raised McDonald's from a "neutral" rating to a "buy" rating and set a $345.00 price objective for the company in a report on Thursday, July 10th. TD Cowen boosted their price objective on McDonald's from $305.00 to $315.00 and gave the stock a "hold" rating in a report on Wednesday, August 6th. BMO Capital Markets reissued an "outperform" rating and set a $350.00 price objective (up previously from $345.00) on shares of McDonald's in a report on Thursday, August 7th. Finally, Redburn Atlantic reissued a "sell" rating and set a $260.00 price objective (down previously from $319.00) on shares of McDonald's in a report on Tuesday, June 10th. Two investment analysts have rated the stock with a sell rating, thirteen have assigned a hold rating and thirteen have assigned a buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $326.87.

Insider Activity at McDonald's

In other McDonald's news, insider Joseph M. Erlinger sold 939 shares of the stock in a transaction on Wednesday, July 23rd. The stock was sold at an average price of $299.49, for a total value of $281,221.11. Following the completion of the transaction, the insider owned 9,283 shares in the company, valued at approximately $2,780,165.67. This represents a 9.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CMO Edith Morgan Flatley sold 1,000 shares of the stock in a transaction on Thursday, July 10th. The stock was sold at an average price of $300.00, for a total value of $300,000.00. Following the completion of the transaction, the chief marketing officer owned 8,858 shares of the company's stock, valued at approximately $2,657,400. This trade represents a 10.14% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 7,280 shares of company stock worth $2,215,178 over the last quarter. 0.25% of the stock is owned by corporate insiders.

McDonald's Company Profile

McDonald's Corp. engages in the operation and franchising of restaurants. It operates through the following segments: U.S., International Operated Markets, and International Developmental Licensed Markets and Corporate. The U.S. segment focuses its operations on the United States. The International Operated Markets segment consists of operations and the franchising of restaurants in Australia, Canada, France, Germany, Italy, the Netherlands, Spain, and the U.K.