Tang Capital Management LLC Takes $975,000 Position in McDonald's Co. (NYSE:MCD)

Tang Capital Management LLC bought a new stake in McDonald's Co. (NYSE:MCD - Free Report) during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 3,365 shares of the fast-food giant's stock, valued at approximately $975,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Atala Financial Inc bought a new stake in McDonald's in the 4th quarter valued at about $26,000. Comprehensive Financial Planning Inc. PA bought a new stake in McDonald's in the 4th quarter valued at about $27,000. Collier Financial bought a new stake in McDonald's in the 4th quarter valued at about $29,000. Fairway Wealth LLC boosted its holdings in McDonald's by 110.0% in the 4th quarter. Fairway Wealth LLC now owns 105 shares of the fast-food giant's stock valued at $30,000 after purchasing an additional 55 shares during the period. Finally, GKV Capital Management Co. Inc. bought a new stake in McDonald's in the 4th quarter valued at about $30,000. Institutional investors and hedge funds own 70.29% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on MCD. KeyCorp boosted their price objective on shares of McDonald's from $335.00 to $340.00 and gave the company an "overweight" rating in a report on Thursday, March 27th. Truist Financial set a $350.00 price objective on shares of McDonald's in a report on Friday, May 2nd. Morgan Stanley dropped their target price on shares of McDonald's from $340.00 to $335.00 and set an "overweight" rating for the company in a research report on Monday, March 17th. BMO Capital Markets restated an "outperform" rating and issued a $345.00 target price (up from $340.00) on shares of McDonald's in a research report on Monday, May 5th. Finally, Erste Group Bank upgraded McDonald's from a "hold" rating to a "strong-buy" rating in a research note on Monday, March 17th. Eleven investment analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $325.91.

McDonald's Price Performance

Shares of MCD traded down $1.60 during trading hours on Tuesday, hitting $319.63. 2,032,871 shares of the stock were exchanged, compared to its average volume of 3,553,307. McDonald's Co. has a fifty-two week low of $243.53 and a fifty-two week high of $326.32. The business has a 50-day moving average of $310.92 and a 200-day moving average of $301.07. The firm has a market capitalization of $228.55 billion, a P/E ratio of 28.06, a price-to-earnings-growth ratio of 3.10 and a beta of 0.57.

McDonald's (NYSE:MCD - Get Free Report) last posted its quarterly earnings data on Thursday, May 1st. The fast-food giant reported $2.67 earnings per share for the quarter, hitting the consensus estimate of $2.67. McDonald's had a net margin of 31.73% and a negative return on equity of 181.63%. The company had revenue of $5.96 billion during the quarter, compared to analysts' expectations of $6.17 billion. During the same period in the prior year, the company posted $2.70 earnings per share. McDonald's's revenue for the quarter was down 3.5% compared to the same quarter last year. As a group, analysts forecast that McDonald's Co. will post 12.25 earnings per share for the current fiscal year.

McDonald's Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, June 16th. Stockholders of record on Monday, June 2nd will be given a dividend of $1.77 per share. This represents a $7.08 annualized dividend and a dividend yield of 2.22%. McDonald's's dividend payout ratio (DPR) is presently 62.49%.

Insider Transactions at McDonald's

In other news, insider Joseph M. Erlinger sold 939 shares of the stock in a transaction dated Monday, February 24th. The shares were sold at an average price of $305.00, for a total transaction of $286,395.00. Following the transaction, the insider now owns 13,978 shares of the company's stock, valued at $4,263,290. This represents a 6.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Manuel Jm Steijaert sold 10,459 shares of the stock in a transaction dated Monday, February 24th. The stock was sold at an average price of $308.71, for a total transaction of $3,228,797.89. Following the transaction, the executive vice president now directly owns 4,606 shares in the company, valued at $1,421,918.26. This trade represents a 69.43% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 17,636 shares of company stock worth $5,420,722 over the last three months. 0.25% of the stock is owned by company 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.