Compagnie Lombard Odier SCmA Sells 4,401 Shares of McDonald's Corporation $MCD

Key Points

• Compagnie Lombard Odier SCmA reduced its McDonald’s stake by 1.4%, selling 4,401 shares and retaining 320,756 shares valued at approximately $86.7 million. Institutional investors own 70.29% of the company.
• McDonald’s reported quarterly adjusted EPS of $3.38, above the $3.32 consensus, while revenue of $7.10 billion slightly missed estimates. The company is emphasizing lower-priced meals and new menu offerings as it faces pressure from value-focused competitors.
• The stock recently traded near $272.61, below its 50- and 200-day moving averages, while analysts maintained a “Moderate Buy” consensus with an average target of $325.44. McDonald’s also declared a quarterly dividend of $1.86, equivalent to a 2.7% annual yield.

Compagnie Lombard Odier SCmA lowered its position in McDonald's Corporation (NYSE:MCD - Free Report) by 1.4% in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 320,756 shares of the fast-food giant's stock after selling 4,401 shares during the period. McDonald's comprises about 0.9% of Compagnie Lombard Odier SCmA's portfolio, making the stock its 25th largest position. Compagnie Lombard Odier SCmA's holdings in McDonald's were worth $86,704,000 at the end of the most recent reporting period.

Other large investors also recently made changes to their positions in the company. Ascentis Wealth Management LLC increased its position in McDonald's by 4,008.8% in the second quarter. Ascentis Wealth Management LLC now owns 84,230 shares of the fast-food giant's stock worth $22,768,000 after buying an additional 82,180 shares during the last quarter. Borer Denton & Associates Inc. lifted its position in shares of McDonald's by 16.9% during the 2nd quarter. Borer Denton & Associates Inc. now owns 13,859 shares of the fast-food giant's stock valued at $3,746,000 after buying an additional 2,000 shares during the last quarter. Peterson Wealth Services lifted its position in shares of McDonald's by 3,294.5% during the 4th quarter. Peterson Wealth Services now owns 11,779 shares of the fast-food giant's stock valued at $3,600,000 after buying an additional 11,432 shares during the last quarter. Harbour Investments Inc. grew its stake in shares of McDonald's by 84.4% during the 4th quarter. Harbour Investments Inc. now owns 35,510 shares of the fast-food giant's stock worth $10,853,000 after acquiring an additional 16,252 shares during the period. Finally, Capital International Sarl grew its stake in shares of McDonald's by 10.4% during the 4th quarter. Capital International Sarl now owns 64,256 shares of the fast-food giant's stock worth $19,639,000 after acquiring an additional 6,079 shares during the period. 70.29% of the stock is owned by institutional investors.

McDonald's News Summary

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

• Positive Sentiment: McDonald’s is emphasizing lower-priced meals to win back cost-conscious customers, a potentially supportive strategy as consumers increasingly prioritize value. McDonald’s is betting on cheaper meals to win back customers
• Positive Sentiment: New growth initiatives include Red Bull energy drinks, additional beverages and limited-time menu items. These products could increase traffic and average spending while supporting a simpler restaurant operating model. McDonald’s bringing Red Bull drinks and new sodas to US customers
• Positive Sentiment: The Hello Kitty x Godzilla Happy Meal promotion may generate customer interest and family traffic when it launches, although its financial impact is likely limited. McDonald’s Announces Eight Hello Kitty x Godzilla Toys
• Neutral Sentiment: Recent earnings showed adjusted EPS of $3.38, above expectations, while revenue of $7.10 billion was slightly below consensus. Management acknowledged inconsistent value-menu execution and excessive operational complexity, making successful implementation of the turnaround strategy critical. Five Insightful Analyst Questions From McDonald’s Q2 Earnings Call
• Negative Sentiment: McDonald’s is reportedly losing ground to Burger King and other low-cost alternatives, including gas-station food, as customers seek cheaper meals. Slowing second-quarter sales growth raises concerns about U.S. traffic and market share. The burger wars are heating up as McDonald’s loses ground
• Negative Sentiment: Erste Group lowered its fiscal 2027 EPS forecast, adding to investor concerns about earnings growth. McDonald’s FY2027 EPS Forecast Lowered
• Negative Sentiment: Reports that McDonald’s maintained a 515-page customer dossier could create privacy and reputational risks, though the immediate financial effect is unclear. McDonald’s customer dossier report

McDonald's Trading Down 0.1%

MCD stock opened at $272.61 on Monday. The firm has a 50 day moving average of $273.81 and a 200-day moving average of $295.15. McDonald's Corporation has a 12 month low of $260.96 and a 12 month high of $341.75. The firm has a market capitalization of $192.91 billion, a P/E ratio of 22.15, a price-to-earnings-growth ratio of 3.05 and a beta of 0.41.

McDonald's (NYSE:MCD - Get Free Report) last posted its earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share for the quarter, topping analysts' consensus estimates of $3.32 by $0.06. McDonald's had a net margin of 31.72% and a negative return on equity of 572.06%. The business had revenue of $7.10 billion for the quarter, compared to analyst estimates of $7.13 billion. During the same quarter in the prior year, the firm posted $3.19 EPS. McDonald's's revenue was up 3.7% on a year-over-year basis. Sell-side analysts predict that McDonald's Corporation will post 12.88 EPS for the current year.

McDonald's Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Tuesday, September 1st will be given a $1.86 dividend. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date is Tuesday, September 1st. McDonald's's dividend payout ratio (DPR) is 60.44%.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on MCD. 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 note on Monday, May 11th. Erste Group Bank lowered shares of McDonald's from a "buy" rating to a "hold" rating in a research note on Monday, April 27th. UBS Group set a $305.00 target price on shares of McDonald's in a report on Wednesday, August 5th. Royal Bank Of Canada dropped their target price on McDonald's from $305.00 to $295.00 and set a "sector perform" rating on the stock in a research report on Wednesday, August 5th. Finally, Guggenheim cut their price target on McDonald's from $320.00 to $290.00 and set a "neutral" rating for the company in a report on Wednesday, August 5th. One analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and twelve have issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $325.44.

Insider Buying and Selling at McDonald's

In related news, insider Joseph M. Erlinger sold 5,252 shares of the business's 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 completion of the transaction, the insider directly owned 7,734 shares in the company, valued at $2,198,930.88. The trade was a 40.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the company's 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 completion of the transaction, the executive vice president owned 6,268 shares in the company, valued at $1,744,760.48. This represents a 30.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 8,348 shares of company stock valued at $2,355,634 in the last three months. 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.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source