McDonald's Corporation $MCD Shares Purchased by Dimensional Fund Advisors LP

Key Points

• Dimensional Fund Advisors LP increased its stake in McDonald's Corporation by 1.1%, owning approximately 1,780,205 shares valued at $556 million following the acquisition of an additional 18,809 shares.
• McDonald's reported $3.19 earnings per share for the last quarter, surpassing estimates, and had revenue of $6.84 billion, reflecting a 5.4% increase year-over-year.
• The company declared a quarterly dividend of $1.77 per share, with an annualized dividend yield of 2.3%, contributing to a dividend payout ratio of 60.67%.

Dimensional Fund Advisors LP grew its stake in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 1.1% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,780,205 shares of the fast-food giant's stock after acquiring an additional 18,809 shares during the quarter. Dimensional Fund Advisors LP owned about 0.25% of McDonald's worth $556,034,000 at the end of the most recent quarter.

Several other large investors have also modified their holdings of the stock. Mascagni Wealth Management Inc. acquired a new stake in shares of McDonald's in the fourth quarter worth $25,000. Abound Financial LLC acquired a new stake in McDonald's in the 1st quarter valued at $30,000. Pinney & Scofield Inc. purchased a new position in McDonald's in the fourth quarter valued at about $29,000. Redmont Wealth Advisors LLC purchased a new position in McDonald's in the first quarter valued at about $31,000. Finally, Financial Gravity Asset Management Inc. acquired a new position in shares of McDonald's during the first quarter worth about $31,000. 70.29% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at McDonald's

In other news, insider Joseph M. Erlinger sold 939 shares of McDonald's stock in a transaction dated Wednesday, July 23rd. The shares were sold at an average price of $299.49, for a total value of $281,221.11. Following the completion of the transaction, the insider directly owned 9,283 shares of the company's stock, valued at approximately $2,780,165.67. The trade was a 9.19% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CMO Edith Morgan Flatley sold 1,000 shares of the stock in a transaction dated Thursday, July 10th. The stock was sold at an average price of $300.00, for a total transaction of $300,000.00. Following the sale, the chief marketing officer owned 8,858 shares in the company, 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. In the last three months, insiders have sold 7,280 shares of company stock worth $2,215,178. 0.25% of the stock is currently owned by insiders.

McDonald's Stock Performance

Shares of MCD stock traded up $1.9130 during trading hours on Tuesday, hitting $310.6130. 2,858,800 shares of the company were exchanged, compared to its average volume of 3,602,388. The business's 50-day simple moving average is $298.14 and its two-hundred day simple moving average is $305.31. McDonald's Corporation has a one year low of $276.53 and a one year high of $326.32. The stock has a market capitalization of $221.65 billion, a price-to-earnings ratio of 26.62, a P/E/G ratio of 3.15 and a beta of 0.52.

McDonald's (NYSE:MCD - Get Free Report) last released its earnings results on Wednesday, August 6th. The fast-food giant reported $3.19 EPS for the quarter, topping analysts' consensus estimates of $3.15 by $0.04. McDonald's had a negative return on equity of 225.52% and a net margin of 32.21%.The company had revenue of $6.84 billion for the quarter, compared to the consensus estimate of $6.68 billion. During the same quarter last year, the business posted $2.97 EPS. McDonald's's quarterly revenue was up 5.4% compared to the same quarter last year. As a group, analysts anticipate that McDonald's Corporation will post 12.25 EPS for the current fiscal year.

McDonald's Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 16th. Shareholders 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 of this dividend is Tuesday, September 2nd. McDonald's's dividend payout ratio is 60.67%.

Analysts Set New Price Targets

MCD has been the topic of several analyst reports. Guggenheim reiterated a "neutral" rating on shares of McDonald's in a report on Friday, August 8th. TD Securities reiterated a "hold" rating and set a $305.00 price objective on shares of McDonald's in a research note on Thursday, June 5th. Bank of America lowered their price target on shares of McDonald's from $327.00 to $322.00 and set a "neutral" rating for the company in a report on Friday, July 18th. Piper Sandler boosted their price objective on shares of McDonald's from $314.00 to $325.00 and gave the stock a "neutral" rating in a report on Thursday, August 7th. Finally, BMO Capital Markets reissued an "outperform" rating and issued a $350.00 price objective (up from $345.00) on shares of McDonald's in a research report on Thursday, August 7th. Thirteen investment analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $326.87.

About McDonald's

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.