McDonald's Corporation $MCD Shares Sold by First Trust Advisors LP

Key Points

• First Trust Advisors cut its stake in McDonald's by 14.3% in Q3, selling 37,167 shares and now holding 222,489 shares valued at about $67.61 million.
• Company insiders have sold heavily recently — 71,517 shares worth $23.66 million over the last three months, including CEO Christopher Kempczinski's sale of 26,277 shares (~$8.71M) that reduced his ownership by 53.4%.
• Analysts are mixed: the consensus rating is "Hold" with an average price target of $339.69 despite several recent target increases, and McDonald's recently beat quarterly EPS estimates and declared a $1.86 quarterly dividend (2.3% yield).

First Trust Advisors LP lowered its stake in McDonald's Corporation (NYSE:MCD - Free Report) by 14.3% during the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 222,489 shares of the fast-food giant's stock after selling 37,167 shares during the period. First Trust Advisors LP's holdings in McDonald's were worth $67,612,000 as of its most recent filing with the SEC.

A number of other institutional investors and hedge funds also recently modified their holdings of the stock. Evergreen Private Wealth LLC lifted its holdings in shares of McDonald's by 162.5% during 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 during the last quarter. Financial Gravity Companies Inc. acquired a new position in shares of McDonald's in the 2nd quarter valued at $29,000. Traub Capital Management LLC purchased a new position in McDonald's in the 2nd quarter worth about $29,000. Davis Capital Management acquired a new stake in McDonald's during the 3rd quarter worth about $37,000. Finally, Miller Wealth Advisors LLC acquired a new stake in McDonald's during the 3rd quarter worth about $38,000. Institutional investors and hedge funds own 70.29% of the company's stock.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Barclays raised their target price on shares of McDonald's from $372.00 to $380.00 and gave the stock an "overweight" rating in a report on Thursday, February 12th. Oppenheimer upgraded shares of McDonald's from a "market perform" rating to an "outperform" rating and set a $355.00 price target for the company in a research report on Tuesday, January 6th. TD Cowen reaffirmed a "hold" rating and issued a $320.00 price objective on shares of McDonald's in a research note on Thursday, February 12th. Jefferies Financial Group lifted their price objective on shares of McDonald's from $360.00 to $375.00 and gave the stock a "buy" rating in a research report on Thursday, February 12th. Finally, BTIG Research boosted their target price on shares of McDonald's from $360.00 to $370.00 and gave the company a "buy" rating in a research note on Thursday, February 12th. Seventeen research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, McDonald's presently has a consensus rating of "Hold" and an average price target of $339.69.

McDonald's News Roundup

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

• Positive Sentiment: Loyalty momentum: McDonald’s loyalty program is near 210 million active users across 70+ markets, improving engagement and providing a direct lever to drive repeat sales and targeted promotions as it targets 250M members by 2027. Will McDonald's 210M Loyalty Users Fuel Long-Term Growth?
• Positive Sentiment: Analyst support: A published price-target raise to $385 signals at least one analyst’s bullish view on upside vs. current levels, which can support sentiment and buy-side interest. McDonald's NYSE: MCD Price Target Raised to $385.00
• Positive Sentiment: New product and partner activations: Recent consumer-facing moves — a spring menu featuring Cadbury items and a Crocs Happy Meal promotion — are small-but-visible initiatives that can boost traffic, social buzz and limited-time sales. McDonald’s just unveiled its new spring menu — Cadbury products will send fans wild McDonald's rolls out Crocs Happy Meal. What comes inside?
• Positive Sentiment: Brand & marketing traction: The Big Arch burger rollout and CEO-led taste-test moments have generated viral attention and sparked playful competitor responses — a sign of strong brand engagement that can translate into short-term traffic lifts. McDonald's Big Arch Burger Tests Brand Power And Rich Valuation McDonald's CEO's Big Arch taste test sparked a war of fast-food copycats
• Neutral Sentiment: Valuation debate: Recent analysis questions whether the current share price fully reflects McDonald’s fundamentals — pointing to strong brand and growth drivers but mixed valuation signals, which may temper buying conviction. Is McDonald's (MCD) Share Price Justified After Recent Gains And Mixed Valuation Signals
• Neutral Sentiment: Product-level chatter: Lifestyle and menu stories (sauce comparisons, Filet‑O‑Fish nostalgia, rare-store features) keep the brand top-of-mind but are unlikely to move fundamentals materially. McDonald's Big Mac Sauce Vs Big Arch Sauce: Here's The Difference
• Negative Sentiment: Macro/operational risk: Analysis highlights exposure to high oil prices (logistics, delivery partner costs, packaging inputs and consumer pump sensitivity). A sustained spike in fuel could pressure margins, delivery economics and low-income consumer traffic. McDonald’s Real Risk From $150 Oil Has Nothing to Do With Costs

Insiders Place Their Bets

In other McDonald's news, CEO Christopher J. Kempczinski sold 26,277 shares of the business's stock in a transaction dated Thursday, February 12th. The stock was sold at an average price of $331.35, for a total value of $8,706,883.95. Following the transaction, the chief executive officer owned 22,900 shares in the company, valued at $7,587,915. The trade was a 53.43% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Desiree Ralls-Morrison sold 2,486 shares of the company's stock in a transaction dated Tuesday, December 16th. The stock was sold at an average price of $320.00, for a total value of $795,520.00. Following the completion of the transaction, the executive vice president directly owned 6,268 shares in the company, valued at approximately $2,005,760. The trade was a 28.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 71,517 shares of company stock valued at $23,655,503 in the last three months. Company insiders own 0.25% of the company's stock.

McDonald's Price Performance

NYSE MCD opened at $327.74 on Wednesday. The firm has a market capitalization of $232.83 billion, a price-to-earnings ratio of 27.43, a price-to-earnings-growth ratio of 2.94 and a beta of 0.51. The company has a 50 day simple moving average of $319.06 and a 200-day simple moving average of $311.25. McDonald's Corporation has a 52-week low of $283.47 and a 52-week high of $341.75.

McDonald's (NYSE:MCD - Get Free Report) last announced its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 EPS for the quarter, beating analysts' consensus estimates of $3.05 by $0.07. The firm had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.81 billion. McDonald's had a net margin of 31.85% and a negative return on equity of 343.90%. The firm's revenue was up 9.7% on a year-over-year basis. During the same period in the previous year, the firm posted $2.83 earnings per share. On average, analysts predict that McDonald's Corporation will post 12.25 EPS for the current year.

McDonald's Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd will be issued a dividend of $1.86 per share. This represents a $7.44 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Tuesday, March 3rd. McDonald's's payout ratio is currently 62.26%.

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.

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