McDonald's Corporation $MCD Stock Holdings Lifted by Cove Private Wealth LLC

Key Points

• Cove Private Wealth LLC increased its stake in McDonald's Corporation by 36.7% in the second quarter, now holding shares valued at approximately $1.27 million.
• McDonald's reported an earnings per share (EPS) of $3.19 for the recent quarter, surpassing analysts' expectations of $3.15 and indicating a 5.4% year-over-year revenue growth.
• The company declared a quarterly dividend of $1.77 per share, reflecting a dividend yield of 2.3% and a payout ratio of 60.67%.

Cove Private Wealth LLC raised its stake in McDonald's Corporation (NYSE:MCD - Free Report) by 36.7% during the 2nd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 4,339 shares of the fast-food giant's stock after buying an additional 1,164 shares during the period. Cove Private Wealth LLC's holdings in McDonald's were worth $1,268,000 as of its most recent filing with the SEC.

Other large investors also recently added to or reduced their stakes in the company. Mascagni Wealth Management Inc. purchased a new stake in shares of McDonald's during the fourth quarter worth $25,000. HFM Investment Advisors LLC bought a new position in McDonald's during the first quarter valued at about $26,000. Nova Wealth Management Inc. bought a new position in McDonald's during the first quarter valued at about $26,000. Abound Financial LLC bought a new position in shares of McDonald's in the first quarter worth about $30,000. Finally, Redmont Wealth Advisors LLC bought a new position in shares of McDonald's in the first quarter worth about $31,000. 70.29% of the stock is owned by institutional investors and hedge funds.

Insider Activity

In related news, EVP Jonathan Banner sold 1,000 shares of the stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $310.00, for a total transaction of $310,000.00. Following the sale, the executive vice president owned 99 shares in the company, valued at approximately $30,690. This trade represents a 90.99% decrease in their position. The transaction 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 stock in a transaction that occurred on 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 owned 9,283 shares in the company, valued at $2,780,165.67. This represents a 9.19% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 7,402 shares of company stock worth $2,273,407. Insiders own 0.25% of the company's stock.

McDonald's Stock Up 0.9%

McDonald's stock opened at $305.10 on Friday. The stock has a market cap of $217.72 billion, a P/E ratio of 26.14, a P/E/G ratio of 3.08 and a beta of 0.50. McDonald's Corporation has a twelve month low of $276.53 and a twelve month high of $326.32. The company's 50-day moving average price is $306.48 and its two-hundred day moving average price is $306.14.

McDonald's (NYSE:MCD - Get Free Report) last announced its earnings results 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 company had revenue of $6.84 billion for the quarter, compared to analysts' expectations of $6.68 billion. During the same period last year, the firm earned $2.97 earnings per share. The business's revenue for the quarter was up 5.4% on a year-over-year basis. Equities analysts anticipate that McDonald's Corporation will post 12.25 earnings per share for the current fiscal year.

McDonald's Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 16th. Investors of record on Tuesday, September 2nd were given a dividend of $1.77 per share. The ex-dividend date was Tuesday, September 2nd. This represents a $7.08 annualized dividend and a dividend yield of 2.3%. McDonald's's dividend payout ratio (DPR) is currently 60.67%.

Analysts Set New Price Targets

MCD has been the topic of a number of recent analyst reports. Redburn Atlantic reiterated a "sell" rating and issued a $260.00 price objective (down from $319.00) on shares of McDonald's in a research note on Tuesday, June 10th. Truist Financial boosted their target price on McDonald's from $356.00 to $360.00 and gave the stock a "buy" rating in a report on Thursday, August 7th. Barclays boosted their price objective on shares of McDonald's from $355.00 to $360.00 and gave the stock an "overweight" rating in a research report on Thursday, August 7th. Stifel Nicolaus lifted their price objective on McDonald's from $300.00 to $315.00 and gave the stock a "hold" rating in a research note on Friday, August 22nd. Finally, KeyCorp restated an "overweight" rating and issued a $335.00 price objective (up previously from $325.00) on shares of McDonald's in a research report on Thursday, August 7th. Eleven equities research analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, McDonald's currently has an average rating of "Hold" and an average target price of $325.86.

About McDonald's

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.

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