Focus Partners Wealth Increases Position in McDonald's Corporation $MCD

Key Points

• Focus Partners Wealth increased its McDonald’s stake by 26.6% in the fourth quarter, buying 126,885 additional shares and bringing its total holding to 604,086 shares worth about $184.5 million.
• Wall Street sentiment remains mixed but generally positive, with 16 analysts rating McDonald’s a Buy and the consensus rating at Moderate Buy. The average price target is $336.26, though several firms recently trimmed targets or downgraded the stock to Hold.
• McDonald’s posted solid recent results, with quarterly EPS of $2.83 and revenue of $6.52 billion, both above expectations. The company also raised attention with a quarterly dividend of $1.86 per share, equal to a 2.6% yield.

Focus Partners Wealth lifted its holdings in McDonald's Corporation (NYSE:MCD - Free Report) by 26.6% in the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 604,086 shares of the fast-food giant's stock after purchasing an additional 126,885 shares during the period. Focus Partners Wealth owned about 0.08% of McDonald's worth $184,513,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also recently modified their holdings of MCD. Your Advocates Ltd. LLP purchased a new position in shares of McDonald's in the 4th quarter valued at about $27,000. Park Place Capital Corp increased its stake in shares of McDonald's by 95.7% in the 4th quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant's stock valued at $28,000 after purchasing an additional 45 shares in the last quarter. IFC & Insurance Marketing Inc. purchased a new position in shares of McDonald's in the 4th quarter valued at about $29,000. DecisionPoint Financial LLC increased its stake in shares of McDonald's by 1,616.7% in the 4th quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant's stock valued at $31,000 after purchasing an additional 97 shares in the last quarter. Finally, Entrust Financial LLC purchased a new position in shares of McDonald's in the 4th quarter valued at about $31,000. Hedge funds and other institutional investors own 70.29% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on MCD shares. TD Cowen reiterated a "hold" rating on shares of McDonald's in a report on Friday. Erste Group Bank cut McDonald's from a "buy" rating to a "hold" rating in a report on Monday, April 27th. Barclays lowered their price objective on McDonald's from $380.00 to $350.00 and set an "overweight" rating on the stock in a report on Friday, May 8th. Cfra upgraded McDonald's to a "buy" rating in a report on Friday, May 8th. Finally, KeyCorp lowered their price objective on McDonald's from $345.00 to $330.00 and set an "overweight" rating on the stock in a report on Friday, May 8th. Sixteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $336.26.

McDonald's News Roundup

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

• Positive Sentiment: Commentary highlighted McDonald’s as a “rare mega-cap” with accelerating fundamentals, citing 3.8% global comparable sales growth, more than $9 billion in loyalty sales over 90 days, and 9.4% year-over-year revenue growth, which supports the bull case for the stock. McDonald’s Will Trade at This Price in 2028
• Positive Sentiment: McDonald’s is testing AI-powered drive-thru ordering, and early results from a million orders appear promising; if rolled out successfully, this could improve efficiency and margins over time. McDonald’s Is Letting AI Take Your Orders Again. A Million Orders Later, the Results Look Promising.
• Positive Sentiment: Promotional activity tied to FIFA World Cup meals, collectible cups, and Squishmallows could help drive customer traffic and add some sales momentum. McDonald's FIFA World Cup meals with Squishmallows and 9 collectible cups are here
• Neutral Sentiment: Analyst and investor commentary remains generally supportive, with reports noting McDonald’s continues to attract attention as a defensive, widely followed stock. McDonald's Corporation (MCD) Is a Trending Stock: Facts to Know Before Betting on It
• Negative Sentiment: Insider selling by executive Joseph Erlinger may weigh on sentiment slightly, even though such sales do not necessarily reflect a change in business outlook. Joseph Erlinger Sells 5,252 Shares of McDonald's NYSE: MCD Stock
• Negative Sentiment: Some recent coverage has also raised concerns about customer pushback on operational changes and workplace safety issues, which could create headline risk if they persist. Should McDonald’s AI Drive Thru Push and Safety Scrutiny Require Action From McDonald’s (MCD) Investors?

Insider Activity at McDonald's

In other news, EVP Desiree Ralls-Morrison sold 2,763 shares of the business's stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $278.36, for a total transaction of $769,108.68. Following the transaction, the executive vice president directly owned 6,268 shares in the company, valued at $1,744,760.48. The trade was a 30.59% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Joseph M. Erlinger sold 5,252 shares of the business's stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $284.32, for a total value of $1,493,248.64. Following the transaction, the insider owned 7,734 shares in the company, valued at approximately $2,198,930.88. This represents a 40.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 11,307 shares of company stock worth $3,262,622. Insiders own 0.26% of the company's stock.

McDonald's Trading Up 0.0%

MCD stock opened at $284.88 on Friday. McDonald's Corporation has a 12-month low of $271.85 and a 12-month high of $341.75. The stock has a market cap of $202.41 billion, a price-to-earnings ratio of 23.49, a PEG ratio of 2.84 and a beta of 0.41. The business's 50-day moving average is $289.38 and its 200 day moving average is $306.75.

McDonald's (NYSE:MCD - Get Free Report) last issued its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, topping the consensus estimate of $2.74 by $0.09. The business had revenue of $6.52 billion for the quarter, compared to analysts' expectations of $6.47 billion. McDonald's had a negative return on equity of 442.10% and a net margin of 31.62%.The business's revenue for the quarter was up 9.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $2.67 EPS. As a group, equities analysts forecast that McDonald's Corporation will post 12.93 EPS for the current fiscal year.

McDonald's Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd will be issued a dividend of $1.86 per share. This represents a $7.44 annualized dividend and a dividend yield of 2.6%. The ex-dividend date is Tuesday, June 2nd. McDonald's's payout ratio is currently 61.34%.

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.

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