McDonald's Corporation $MCD Stock Position Lifted by Orion Capital Management LLC

Key Points

• Orion Capital Management LLC increased its stake in McDonald's Corporation by 149.3%, owning 1,872 shares worth $585,000 at the end of the recent quarter.
• McDonald's reported an earnings per share (EPS) of $3.19, exceeding analyst expectations, and announced a quarterly dividend of $1.77 to be paid on September 16th.
• Major analysts' ratings for McDonald's have been updated, with Goldman Sachs upgrading the stock from "neutral" to "buy" and setting a price target of $345.00.

Orion Capital Management LLC raised its position in McDonald's Corporation (NYSE:MCD - Free Report) by 149.3% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,872 shares of the fast-food giant's stock after purchasing an additional 1,121 shares during the quarter. Orion Capital Management LLC's holdings in McDonald's were worth $585,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Mascagni Wealth Management Inc. purchased a new position in McDonald's in the fourth quarter valued at about $25,000. Abound Financial LLC bought a new stake in McDonald's in the first quarter worth approximately $30,000. Pinney & Scofield Inc. bought a new stake in McDonald's in the fourth quarter worth approximately $29,000. Redmont Wealth Advisors LLC bought a new stake in McDonald's in the first quarter worth approximately $31,000. Finally, Financial Gravity Asset Management Inc. bought a new stake in McDonald's during the 1st quarter valued at approximately $31,000. Hedge funds and other institutional investors own 70.29% of the company's stock.

McDonald's Price Performance

Shares of MCD stock opened at $313.8010 on Monday. The stock's fifty day simple moving average is $299.02 and its 200 day simple moving average is $305.92. The firm has a market cap of $223.93 billion, a price-to-earnings ratio of 26.89, a P/E/G ratio of 3.20 and a beta of 0.52. McDonald's Corporation has a one year low of $276.53 and a one year high of $326.32.

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

McDonald's Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 16th. Shareholders of record on Tuesday, September 2nd will be given a $1.77 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $7.08 dividend on an annualized basis and a yield of 2.3%. McDonald's's payout ratio is 60.67%.

Analyst Ratings Changes

MCD has been the subject of a number of research reports. The Goldman Sachs Group raised shares of McDonald's from a "neutral" rating to a "buy" rating and set a $345.00 price target for the company in a report on Thursday, July 10th. Guggenheim reissued a "neutral" rating on shares of McDonald's in a report on Friday, August 8th. Barclays increased their price target on shares of McDonald's from $355.00 to $360.00 and gave the company an "overweight" rating in a report on Thursday, August 7th. Evercore ISI increased their price target 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. Finally, Erste Group Bank lowered McDonald's from a "strong-buy" rating to a "hold" rating in a report on Saturday, May 24th. Thirteen research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $326.38.

Insider Activity

In other McDonald's news, insider Joseph M. Erlinger sold 939 shares of the business's stock in a transaction dated Wednesday, July 23rd. The shares were sold at an average price of $299.49, for a total value of $281,221.11. Following the transaction, the insider directly owned 9,283 shares in the company, valued at $2,780,165.67. The trade was a 9.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,487 shares of the business's stock in a transaction dated Wednesday, August 6th. The shares were sold at an average price of $310.00, for a total transaction of $770,970.00. Following the completion of the transaction, the executive vice president owned 8,754 shares in the company, valued at approximately $2,713,740. This trade represents a 22.12% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 7,341 shares of company stock valued at $2,229,327 in the last ninety days. 0.25% of the stock is currently owned by corporate insiders.

McDonald's 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.

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