McDonald's Corporation $MCD Shares Purchased by Lord Abbett & CO. LLC

Key Points

• Lord Abbett & CO. LLC increased its holdings in McDonald's by 12.2%, bringing their total shares to 314,415, valued at approximately $98.2 million.
• McDonald's reported better-than-expected quarterly earnings with an EPS of $3.19, exceeding analyst estimates and achieving a 5.4% year-over-year revenue growth.
• The company announced a quarterly dividend of $1.77 per share, reflecting a 2.3% dividend yield and a payout ratio of 60.67%.

Lord Abbett & CO. LLC raised its holdings in McDonald's Corporation (NYSE:MCD - Free Report) by 12.2% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 314,415 shares of the fast-food giant's stock after buying an additional 34,149 shares during the period. Lord Abbett & CO. LLC's holdings in McDonald's were worth $98,214,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also made changes to their positions in the business. Vanguard Group Inc. boosted its stake in McDonald's by 0.3% in the first quarter. Vanguard Group Inc. now owns 70,409,095 shares of the fast-food giant's stock valued at $21,993,689,000 after acquiring an additional 239,753 shares in the last quarter. Capital Research Global Investors lifted its holdings in shares of McDonald's by 5.2% in the 4th quarter. Capital Research Global Investors now owns 10,652,445 shares of the fast-food giant's stock valued at $3,088,037,000 after purchasing an additional 531,070 shares during the last quarter. Northern Trust Corp boosted its position in shares of McDonald's by 11.2% in the 4th quarter. Northern Trust Corp now owns 8,867,193 shares of the fast-food giant's stock valued at $2,570,511,000 after purchasing an additional 895,896 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of McDonald's by 11.2% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 5,019,019 shares of the fast-food giant's stock valued at $1,454,963,000 after purchasing an additional 504,085 shares during the period. Finally, Goldman Sachs Group Inc. lifted its stake in McDonald's by 19.6% in the first quarter. Goldman Sachs Group Inc. now owns 4,982,825 shares of the fast-food giant's stock valued at $1,556,485,000 after buying an additional 815,768 shares during the last quarter. 70.29% of the stock is owned by institutional investors and hedge funds.

McDonald's Price Performance

Shares of MCD stock traded up $2.74 during midday trading on Tuesday, reaching $311.44. 1,062,178 shares of the company traded hands, compared to its average volume of 3,596,287. The firm's 50 day simple moving average is $298.14 and its two-hundred day simple moving average is $305.31. The firm has a market cap of $222.24 billion, a PE ratio of 26.68, a price-to-earnings-growth ratio of 3.15 and a beta of 0.52. McDonald's Corporation has a 1-year low of $276.53 and a 1-year high of $326.32.

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

McDonald's Dividend Announcement

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

Wall Street Analysts Forecast Growth

MCD has been the topic of a number of research reports. Morgan Stanley raised their price target on McDonald's from $324.00 to $326.00 and gave the stock an "equal weight" rating in a report on Monday, July 14th. KeyCorp reiterated an "overweight" rating and issued a $335.00 target price (up from $325.00) on shares of McDonald's in a research note on Thursday, August 7th. Argus cut McDonald's from a "buy" rating to a "hold" rating in a research note on Friday, June 13th. Loop Capital downgraded McDonald's from a "buy" rating to a "hold" rating and decreased their price target for the stock from $346.00 to $315.00 in a report on Friday, June 6th. Finally, Erste Group Bank cut shares of McDonald's from a "strong-buy" rating to a "hold" rating in a research note on Saturday, May 24th. Thirteen investment analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and an average price target of $326.87.

Insider Buying and Selling at McDonald's

In other McDonald's news, CMO Edith Morgan Flatley sold 1,000 shares of McDonald's stock in a transaction dated Thursday, July 10th. The shares were sold at an average price of $300.00, for a total transaction of $300,000.00. Following the completion of the transaction, the chief marketing officer owned 8,858 shares in the company, valued at approximately $2,657,400. The trade was a 10.14% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Joseph M. Erlinger sold 939 shares of the firm's stock in a transaction dated Wednesday, July 23rd. The stock was sold at an average price of $299.49, for a total transaction of $281,221.11. Following the sale, the insider directly owned 9,283 shares in the company, valued at $2,780,165.67. This represents a 9.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 7,280 shares of company stock worth $2,215,178. 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.