McDonald's Corporation $MCD Shares Sold by Lombard Odier Asset Management Switzerland SA

Key Points

• Lombard Odier Asset Management Switzerland SA cut its McDonald’s stake by 16.3% in Q1, selling 7,087 shares and ending with 36,274 shares valued at about $11.27 million.
• McDonald’s reported better-than-expected quarterly results, posting EPS of $2.83 versus $2.74 expected and revenue of $6.52 billion, up 9.4% year over year.
• The company also announced a quarterly dividend of $1.86 per share, or $7.44 annualized, for a yield of 2.8%, while analysts still rate the stock a Moderate Buy despite some recent price-target cuts.

Lombard Odier Asset Management Switzerland SA trimmed its stake in shares of McDonald's Corporation (NYSE:MCD - Free Report) by 16.3% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 36,274 shares of the fast-food giant's stock after selling 7,087 shares during the period. Lombard Odier Asset Management Switzerland SA's holdings in McDonald's were worth $11,274,000 at the end of the most recent reporting period.

A number of other large investors have also recently added to or reduced their stakes in MCD. Norges Bank purchased a new stake in McDonald's in the fourth quarter valued at approximately $2,890,438,000. Diamant Asset Management Inc. boosted its position in shares of McDonald's by 30,979.0% in the first quarter. Diamant Asset Management Inc. now owns 2,596,340 shares of the fast-food giant's stock worth $806,917,000 after buying an additional 2,587,986 shares during the period. J. Stern & Co. LLP boosted its position in shares of McDonald's by 9,867.5% in the fourth quarter. J. Stern & Co. LLP now owns 2,541,008 shares of the fast-food giant's stock worth $776,608,000 after buying an additional 2,515,515 shares during the period. Viking Global Investors LP grew its stake in shares of McDonald's by 171.7% in the second quarter. Viking Global Investors LP now owns 3,125,432 shares of the fast-food giant's stock valued at $913,157,000 after buying an additional 1,974,998 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its position in McDonald's by 49.9% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 3,104,337 shares of the fast-food giant's stock valued at $948,779,000 after acquiring an additional 1,033,041 shares in the last quarter. 70.29% of the stock is owned by institutional investors and hedge funds.

McDonald's Stock Up 0.6%

Shares of MCD opened at $264.46 on Friday. McDonald's Corporation has a 52-week low of $260.96 and a 52-week high of $341.75. The firm has a market capitalization of $187.90 billion, a PE ratio of 21.80, a P/E/G ratio of 2.84 and a beta of 0.41. The firm has a 50-day moving average price of $275.99 and a 200 day moving average price of $298.87.

McDonald's (NYSE:MCD - Get Free Report) last announced 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. McDonald's had a negative return on equity of 442.10% and a net margin of 31.62%.The firm had revenue of $6.52 billion for the quarter, compared to analysts' expectations of $6.47 billion. During the same quarter in the previous year, the company earned $2.67 earnings per share. The firm's quarterly revenue was up 9.4% compared to the same quarter last year. On average, equities analysts expect that McDonald's Corporation will post 12.86 EPS for the current year.

McDonald's Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Tuesday, September 1st will be paid a dividend of $1.86 per share. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $7.44 annualized dividend and a yield of 2.8%. McDonald's's dividend payout ratio is currently 61.34%.

Insider Activity at McDonald's

In other McDonald's news, EVP Desiree Ralls-Morrison sold 2,763 shares of the company's stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $278.36, for a total value of $769,108.68. Following the transaction, the executive vice president owned 6,268 shares of the company's stock, valued at approximately $1,744,760.48. This represents a 30.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Joseph M. Erlinger sold 5,252 shares of the stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total value of $1,493,248.64. Following the sale, the insider owned 7,734 shares of the company's stock, valued at $2,198,930.88. This trade represents a 40.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 8,348 shares of company stock valued at $2,355,634. Company insiders own 0.26% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the company. Citigroup dropped their target price on McDonald's from $375.00 to $335.00 and set a "buy" rating on the stock in a research report on Wednesday, July 15th. Erste Group Bank downgraded shares of McDonald's from a "buy" rating to a "hold" rating in a report on Monday, April 27th. Robert W. Baird set a $305.00 target price on shares of McDonald's in a research note on Thursday, May 7th. Weiss Ratings cut shares of McDonald's from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, June 23rd. Finally, Cfra raised shares of McDonald's to a "buy" rating in a report on Friday, May 8th. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $334.32.

Key McDonald's News

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

• Positive Sentiment: McDonald’s announced a quarterly dividend of $1.86 per share, reinforcing its reputation as a steady income stock and highlighting continued cash generation. McDONALD'S ANNOUNCES QUARTERLY CASH DIVIDEND
• Positive Sentiment: BTIG Research kept a buy rating on McDonald’s and said the stock still offers meaningful upside, even after cutting its price target to $350 from $370. Benzinga
• Positive Sentiment: Recent consumer-focused coverage around McValue packs, online availability, and a new dipping sauce suggests McDonald’s is still leaning on value-driven promotions and menu innovation to drive traffic. Here’s what’s new at McDonald’s this week
• Neutral Sentiment: Media coverage highlighting McDonald’s new McValue packs and online ordering is more promotional than financial, so it may help awareness but does not yet prove a material sales lift. McDonald's McValue packs now available online. Here's how to score one
• Neutral Sentiment: Analysts and media continue to frame McDonald’s as a defensive dividend name, but that alone is not enough to offset broader concerns about consumer spending. These 4 Dividend Stocks Are Money-Printing Machines
• Negative Sentiment: New research indicates restaurant customers remain highly price sensitive despite lower gas prices, which is a warning sign for traffic and margins at McDonald’s. McDonald's (MCD) Faces Stubborn Price Sensitive Traffic Despite Lower Gas Prices
• Negative Sentiment: McDonald’s recently hit a new 52-week low, and commentary around the stock suggests investors are waiting for the August 4 earnings report before buying the dip. McDonald’s Just Hit a New 52-Week Low. Don’t Buy the Dip Until After August 4.
• Negative Sentiment: StockTwits-style coverage also points to McDonald’s trading near 52-week lows amid broader concerns about weakening consumer demand. Why Did PEGA, ISRG, MCD Stocks Plunge To 52-Week Lows Today?

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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