McDonald's Corporation $MCD Holdings Decreased by Jennison Associates LLC

Key Points

• Jennison Associates LLC reduced its stake in McDonald's by 13.9% in Q4, selling 23,951 shares and leaving 148,145 shares valued at about $45.28 million; institutional investors own 70.29% of the stock and insiders sold roughly 71,990 shares (~$23.8M) last quarter.
• McDonald's beat Q4 estimates with $3.12 EPS versus $3.05 and revenue of $7.01 billion (up 9.7% YoY); the company has a $203.9B market cap, a P/E of 24.0, and pays a $1.86 quarterly dividend (2.6% yield).
• Management is pushing pop‑culture promotions (the all‑purple "Grimace" milkshake) and a six‑drink beverage rollout to drive traffic and higher‑margin growth, but rising beef costs and an Erste Group downgrade to "Hold" pose margin and sentiment risks.

Jennison Associates LLC decreased its stake in McDonald's Corporation (NYSE:MCD - Free Report) by 13.9% in the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 148,145 shares of the fast-food giant's stock after selling 23,951 shares during the quarter. Jennison Associates LLC's holdings in McDonald's were worth $45,278,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Evergreen Private Wealth LLC grew its stake in McDonald's by 162.5% in the third quarter. Evergreen Private Wealth LLC now owns 84 shares of the fast-food giant's stock valued at $26,000 after purchasing an additional 52 shares in the last quarter. Park Place Capital Corp boosted its stake in shares of McDonald's by 95.7% during the 4th quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant's stock worth $28,000 after acquiring an additional 45 shares in the last quarter. DecisionPoint Financial LLC boosted its stake in shares of McDonald's by 1,616.7% during the 4th quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant's stock worth $31,000 after acquiring an additional 97 shares in the last quarter. Painted Porch Advisors LLC boosted its stake in shares of McDonald's by 735.7% during the 3rd quarter. Painted Porch Advisors LLC now owns 117 shares of the fast-food giant's stock worth $36,000 after acquiring an additional 103 shares in the last quarter. Finally, Davis Capital Management acquired a new position in shares of McDonald's during the 3rd quarter worth about $37,000. Hedge funds and other institutional investors own 70.29% of the company's stock.

Key McDonald's News

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

• Positive Sentiment: McDonald’s rolled out an all‑purple “Grimace” menu and relaunched the viral Grimace milkshake — a pop‑culture promotion expected to drive short‑term foot traffic and social‑media buzz, which can lift same‑store sales and AUVs. McDonald’s unveils purple Grimace menu featuring viral milkshake comeback
• Positive Sentiment: McDonald’s is pushing a new lineup of six hand‑crafted drinks (boba, “dirty” sodas and themed accessories). Management’s beverage push targets a high‑margin category and supports the broader thesis that drinks can be a multi‑billion growth engine for the chain. McDonald’s drops 6 new drinks with unusual accessories
• Neutral Sentiment: Local expansion news — a new McDonald’s site planned in Rockford — signals steady franchise development but is unlikely to move the stock materially on its own. New McDonald’s to be built on W. Riverside in Rockford
• Negative Sentiment: A widely circulated idea of a $20 “unlimited fries” subscription was fact‑checked and found to be inaccurate — removing a potential recurring‑revenue catalyst investors may have hoped for. Fact check: Is McDonald’s launching $20 subscription with unlimited fries?
• Negative Sentiment: The Street reports McDonald’s is adjusting menu “protein hacks” as beef prices rise — higher commodity costs pose a margin risk even as the company seeks menu workarounds. McDonald’s reveals protein hacks as beef prices rise
• Negative Sentiment: Erste Group trimmed its FY2027 EPS estimate and downgraded MCD to a “Hold,” a mild analyst headwind that can weigh on sentiment. McDonald's NYSE: MCD Cut to "Hold" at Erste Group Bank

McDonald's Stock Performance

NYSE:MCD opened at $286.83 on Friday. The stock's fifty day moving average price is $314.29 and its two-hundred day moving average price is $311.73. McDonald's Corporation has a 52-week low of $283.47 and a 52-week high of $341.75. The company has a market cap of $203.89 billion, a price-to-earnings ratio of 24.00, a P/E/G ratio of 2.72 and a beta of 0.43.

McDonald's (NYSE:MCD - Get Free Report) last posted its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.05 by $0.07. McDonald's had a negative return on equity of 343.90% and a net margin of 31.85%.The firm had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.81 billion. During the same quarter in the prior year, the business earned $2.83 EPS. The business's revenue for the quarter was up 9.7% compared to the same quarter last year. On average, equities analysts predict that McDonald's Corporation will post 13.2 EPS for the current fiscal year.

McDonald's Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 17th. Shareholders of record on Tuesday, March 3rd were issued a dividend of $1.86 per share. The ex-dividend date of this dividend was Tuesday, March 3rd. This represents a $7.44 annualized dividend and a yield of 2.6%. McDonald's's dividend payout ratio is currently 62.26%.

Analyst Ratings Changes

MCD has been the subject of several research analyst reports. Mizuho boosted their price objective on McDonald's from $300.00 to $325.00 and gave the stock a "neutral" rating in a research report on Friday, February 6th. Jefferies Financial Group upped their price objective on McDonald's from $360.00 to $375.00 and gave the company a "buy" rating in a research note on Thursday, February 12th. Truist Financial upped their price objective on McDonald's from $356.00 to $370.00 and gave the company a "buy" rating in a research note on Thursday, February 12th. Piper Sandler increased their price target on McDonald's from $323.00 to $325.00 and gave the stock a "neutral" rating in a research report on Thursday, February 12th. Finally, JPMorgan Chase & Co. increased their price target on McDonald's from $305.00 to $325.00 and gave the stock an "overweight" rating in a research report on Tuesday, February 24th. Sixteen equities research analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $340.93.

Insider Transactions at McDonald's

In other McDonald's news, CMO Edith Morgan Flatley sold 4,692 shares of the company's stock in a transaction on Thursday, February 12th. The stock was sold at an average price of $331.00, for a total transaction of $1,553,052.00. Following the transaction, the chief marketing officer owned 6,200 shares of the company's stock, valued at approximately $2,052,200. This represents a 43.08% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Joseph M. Erlinger sold 2,626 shares of the stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $325.25, for a total value of $854,106.50. Following the completion of the transaction, the insider directly owned 5,398 shares in the company, valued at approximately $1,755,699.50. This trade represents a 32.73% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 71,990 shares of company stock worth $23,824,113 in the last quarter. 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.

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