Gateway Wealth Partners LLC Acquires 5,558 Shares of McDonald's Corporation $MCD

Key Points

• Gateway Wealth Partners increased its McDonald’s stake by 220.6% in the first quarter, purchasing 5,558 additional shares and ending the period with 8,078 shares valued at approximately $2.51 million.
• McDonald’s reported quarterly earnings and revenue above analyst expectations, while analysts maintain a “Moderate Buy” consensus with an average price target of $333.32. However, UBS lowered its target to $340 and expects sluggish second-quarter same-store sales amid weaker consumer spending.
• The company declared a quarterly dividend of $1.86 per share, equivalent to a 2.7% annualized yield, while insiders sold 8,348 shares worth about $2.36 million over the past 90 days.

Gateway Wealth Partners LLC grew its holdings in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 220.6% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 8,078 shares of the fast-food giant's stock after purchasing an additional 5,558 shares during the quarter. Gateway Wealth Partners LLC's holdings in McDonald's were worth $2,511,000 at the end of the most recent reporting period.

Other hedge funds also recently made changes to their positions in the company. Your Advocates Ltd. LLP purchased a new stake in McDonald's in the fourth quarter worth $27,000. IFC & Insurance Marketing Inc. bought a new position in shares of McDonald's during the 4th quarter worth $29,000. Abound Financial LLC purchased a new stake in McDonald's in the 4th quarter worth about $30,000. DecisionPoint Financial LLC raised its stake in 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 acquiring an additional 97 shares during the period. Finally, Entrust Financial LLC purchased a new stake in McDonald's during the fourth quarter valued at about $31,000. 70.29% of the stock is currently owned by institutional investors.

Key McDonald's News

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

• Positive Sentiment: UBS maintained a Buy rating on McDonald’s while lowering its price target from $365 to $340. The revised target still implies approximately 25.6% upside from the reference price, signaling that the analyst sees meaningful long-term value despite near-term concerns. Benzinga report
• Positive Sentiment: A recent investment analysis characterized McDonald’s as attractively priced, potentially supporting investor interest in the stock following its decline from the 52-week high. Fast Food At Bargain Prices: McDonald’s
• Neutral Sentiment: The stock’s advance occurred alongside a broader market upswing, suggesting that part of the move reflected overall market momentum rather than a major new company announcement. McDonald’s Beats Stock Market Upswing
• Negative Sentiment: UBS expects McDonald’s second-quarter same-store sales to be “sluggish,” citing weaker consumer spending. Soft comparable sales could pressure near-term revenue growth and raise concerns about value-conscious customers. UBS expects sluggish Q2 same-store sales
• Negative Sentiment: UBS’s price-target reduction reflects a more cautious earnings outlook, even though the firm retained its Buy rating.
• Negative Sentiment: Recent consumer complaints alleging “shrinkflation” involving smaller drink portions could create reputational and value-perception risks, although the reports appear anecdotal rather than a confirmed financial impact. McDonald’s shrinkflation complaints

Insider Activity at McDonald's

In other McDonald's news, EVP Desiree Ralls-Morrison sold 2,763 shares of McDonald's stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $278.36, for a total transaction of $769,108.68. Following the completion of the sale, 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 ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through 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 transaction of $1,493,248.64. Following the completion of the transaction, the insider directly owned 7,734 shares of the company's stock, valued at approximately $2,198,930.88. This represents a 40.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 8,348 shares of company stock worth $2,355,634. 0.26% of the stock is owned by company insiders.

McDonald's Stock Performance

Shares of MCD stock opened at $270.71 on Tuesday. McDonald's Corporation has a 52-week low of $260.96 and a 52-week high of $341.75. The company has a market capitalization of $192.34 billion, a PE ratio of 22.32, a price-to-earnings-growth ratio of 2.84 and a beta of 0.41. The business's fifty day moving average is $275.76 and its 200 day moving average is $298.64.

McDonald's (NYSE:MCD - Get Free Report) last posted its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 EPS for the quarter, topping the consensus estimate of $2.74 by $0.09. The business had revenue of $6.52 billion during 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 firm's revenue was up 9.4% on a year-over-year basis. During the same period in the previous year, the business earned $2.67 earnings per share. On average, sell-side analysts forecast that McDonald's Corporation will post 12.86 EPS for the current fiscal year.

McDonald's Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Stockholders of record on Tuesday, September 1st will be given a dividend of $1.86 per share. 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 61.34%.

Analysts Set New Price Targets

Several research firms have recently issued reports on MCD. TD Cowen reissued a "hold" rating on shares of McDonald's in a research report on Friday, June 12th. Weiss Ratings cut shares of McDonald's from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, June 23rd. Citigroup cut their price target on McDonald's from $375.00 to $335.00 and set a "buy" rating for the company in a report on Wednesday, July 15th. Rothschild & Co Redburn upgraded McDonald's from a "sell" rating to a "neutral" rating and boosted their price objective for the company from $260.00 to $306.00 in a research note on Thursday, April 23rd. Finally, Erste Group Bank downgraded McDonald's from a "buy" rating to a "hold" rating in a research note on Monday, April 27th. Fifteen analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $333.32.

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.

Want to see what other hedge funds are holding MCD? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for McDonald's Corporation (NYSE:MCD - Free Report).

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.