Sumitomo Mitsui DS Asset Management Company Ltd Increases Stake in McDonald's Corporation $MCD

Key Points

• Sumitomo Mitsui DS Asset Management Company Ltd increased its stake in McDonald's Corporation by 5.1% during Q2, now holding approximately 0.05% of the company's stock valued at about $106 million.
• McDonald's reported a quarterly earnings per share (EPS) of $3.19, exceeding analyst expectations, with revenue up 5.4% year-over-year.
• The company declared a quarterly dividend of $1.77 per share, representing an annualized dividend yield of 2.3%.

Sumitomo Mitsui DS Asset Management Company Ltd lifted its stake in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 5.1% in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 363,063 shares of the fast-food giant's stock after purchasing an additional 17,744 shares during the period. McDonald's comprises 1.0% of Sumitomo Mitsui DS Asset Management Company Ltd's investment portfolio, making the stock its 20th biggest position. Sumitomo Mitsui DS Asset Management Company Ltd owned about 0.05% of McDonald's worth $106,076,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors and hedge funds have also modified their holdings of the stock. Mascagni Wealth Management Inc. purchased a new stake in McDonald's during the 4th quarter valued at about $25,000. HFM Investment Advisors LLC purchased a new stake in McDonald's during the 1st quarter valued at about $26,000. Nova Wealth Management Inc. purchased a new stake in McDonald's during the 1st quarter valued at about $26,000. Pinney & Scofield Inc. purchased a new stake in McDonald's during the 4th quarter valued at about $29,000. Finally, Abound Financial LLC purchased a new stake in McDonald's during the 1st quarter valued at about $30,000. Hedge funds and other institutional investors own 70.29% of the company's stock.

Insider Buying and Selling at McDonald's

In related news, CMO Edith Morgan Flatley sold 1,000 shares of the company's stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $315.00, for a total transaction of $315,000.00. Following the sale, the chief marketing officer directly owned 6,858 shares of the company's stock, valued at $2,160,270. This represents a 12.73% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,487 shares of the company's stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $310.00, for a total transaction of $770,970.00. Following the sale, the executive vice president directly owned 8,754 shares in the company, valued at approximately $2,713,740. The trade was a 22.12% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 8,341 shares of company stock valued at $2,544,327 in the last 90 days. Corporate insiders own 0.25% of the company's stock.

Analyst Ratings Changes

Several brokerages recently issued reports on MCD. Piper Sandler upped their price objective on shares of McDonald's from $314.00 to $325.00 and gave the company a "neutral" rating in a research note on Thursday, August 7th. Evercore ISI boosted their target price on shares of McDonald's from $350.00 to $360.00 and gave the company an "outperform" rating in a report on Friday, August 8th. TD Cowen boosted their target price on shares of McDonald's from $305.00 to $315.00 and gave the company a "hold" rating in a report on Wednesday, August 6th. Stifel Nicolaus boosted their target price on shares of McDonald's from $300.00 to $315.00 and gave the company a "hold" rating in a report on Friday, August 22nd. Finally, Redburn Atlantic reiterated a "sell" rating and issued a $260.00 target price (down from $319.00) on shares of McDonald's in a report on Tuesday, June 10th. Eleven investment analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $325.86.

McDonald's Price Performance

Shares of MCD stock traded up $1.16 during trading hours on Friday, hitting $302.30. The company had a trading volume of 5,689,476 shares, compared to its average volume of 2,880,444. The company's fifty day moving average is $306.06 and its 200 day moving average is $306.45. McDonald's Corporation has a fifty-two week low of $276.53 and a fifty-two week high of $326.32. The stock has a market capitalization of $215.72 billion, a PE ratio of 25.90, a price-to-earnings-growth ratio of 3.07 and a beta of 0.50.

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

McDonald's Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 16th. Stockholders of record on Tuesday, September 2nd were issued a $1.77 dividend. This represents a $7.08 annualized dividend and a dividend yield of 2.3%. The ex-dividend date was Tuesday, September 2nd. McDonald's's dividend payout ratio is currently 60.67%.

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.