Union Bancaire Privee UBP SA Cuts Stake in McDonald's Corporation $MCD

Key Points

• Union Bancaire Privee UBP SA cut its McDonald’s stake by 16.3% in the first quarter, selling 20,529 shares and leaving it with 105,498 shares valued at about $32.65 million.
• McDonald’s reported strong quarterly results, beating EPS and revenue expectations, with revenue up 9.4% year over year and a quarterly dividend of $1.86 per share recently paid.
• Despite the solid earnings, insider selling and mixed analyst sentiment remain in focus, while analysts’ average rating is still “Moderate Buy” with a consensus price target of $336.26.

Union Bancaire Privee UBP SA trimmed its stake in McDonald's Corporation (NYSE:MCD - Free Report) by 16.3% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 105,498 shares of the fast-food giant's stock after selling 20,529 shares during the quarter. Union Bancaire Privee UBP SA's holdings in McDonald's were worth $32,649,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Peterson Wealth Services increased its position in shares of McDonald's by 3,294.5% in the fourth quarter. Peterson Wealth Services now owns 11,779 shares of the fast-food giant's stock worth $3,600,000 after acquiring an additional 11,432 shares in the last quarter. Harbour Investments Inc. increased its holdings in McDonald's by 84.4% in the 4th quarter. Harbour Investments Inc. now owns 35,510 shares of the fast-food giant's stock valued at $10,853,000 after purchasing an additional 16,252 shares in the last quarter. Capital International Sarl raised its position in McDonald's by 10.4% in the fourth quarter. Capital International Sarl now owns 64,256 shares of the fast-food giant's stock valued at $19,639,000 after purchasing an additional 6,079 shares during the period. North Dakota State Investment Board purchased a new position in McDonald's in the fourth quarter valued at about $7,493,000. Finally, Pittenger & Anderson Inc. boosted its position in shares of McDonald's by 21.9% in the fourth quarter. Pittenger & Anderson Inc. now owns 21,487 shares of the fast-food giant's stock worth $6,567,000 after buying an additional 3,866 shares during the period. Institutional investors and hedge funds own 70.29% of the company's stock.

Trending Headlines about McDonald's

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

• Positive Sentiment: McDonald’s is drawing attention for menu-driven buzz, including the return of its fried apple pie and coverage around World Cup collectible cups, which can help traffic, social engagement, and near-term sales. We Tried It: A Visit to McDonald's 35-Foot Fried Apple Pie Along Rte 66
• Positive Sentiment: The company is also expanding and modernizing, including a new Howard City location and a broader “McDonald’s NEXT” push focused on automation, digital ordering, better food quality, and improved franchise economics. McDonald’s opens first Howard City location
• Positive Sentiment: Some commentary says lower oil prices are helping restaurant stocks broadly, easing consumer wallet pressure and lifting quick-service dining names like McDonald’s. Jack in the Box and First Watch Stocks Trade Up, What You Need To Know
• Neutral Sentiment: Zacks noted that McDonald’s is relying on China expansion to support long-term growth, but macro pressure and regional volatility are still weighing on near-term trends. Can McDonald's China Expansion Support IDL Growth Amid Macro Pressure?
• Neutral Sentiment: Several articles were mostly consumer-interest pieces about how to save money at McDonald’s or how its products taste, which add brand visibility but are unlikely to materially affect fundamentals. How To Find the Cheapest McDonald's Wherever You Are
• Negative Sentiment: One recent article highlights that Burger King breakfast sandwiches may outperform McDonald’s on a key advantage, reinforcing competitive pressure in breakfast and value-focused traffic. Burger King breakfast sandwiches outshine McDonald's every time with one big advantage
• Negative Sentiment: There is also scrutiny around McDonald’s new AI drive-thru testing after a prior system was removed in 2024 due to ordering errors, which could raise questions about execution risk if rollout issues persist. McDonald's is testing a new AI drive-thru system after removing its previous one in 2024 over order errors

Insider Activity

In related news, insider Joseph M. Erlinger sold 5,252 shares of the business's stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the completion of the sale, the insider owned 7,734 shares of the company's stock, valued at $2,198,930.88. This represents a 40.44% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $278.36, for a total transaction of $769,108.68. Following the sale, the executive vice president owned 6,268 shares in the company, valued at approximately $1,744,760.48. This trade represents a 30.59% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 11,307 shares of company stock valued at $3,262,622 over the last ninety days. Company insiders own 0.26% of the company's stock.

Analysts Set New Price Targets

MCD has been the topic of several analyst reports. JPMorgan Chase & Co. dropped their target price on McDonald's from $325.00 to $305.00 and set an "overweight" rating on the stock in a report on Monday, May 11th. BTIG Research reissued a "buy" rating and set a $370.00 target price on shares of McDonald's in a research report on Thursday, May 7th. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of McDonald's in a report on Monday. Wells Fargo & Company lowered their target price on McDonald's from $355.00 to $320.00 and set an "overweight" rating for the company in a research note on Friday, May 8th. Finally, Robert W. Baird set a $305.00 price target on McDonald's in a research note on Thursday, May 7th. Sixteen analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $336.26.

McDonald's Stock Up 2.1%

NYSE:MCD opened at $270.21 on Friday. The company has a market cap of $191.98 billion, a PE ratio of 22.28, a P/E/G ratio of 2.64 and a beta of 0.41. The business's 50 day moving average is $283.43 and its two-hundred day moving average is $304.54. McDonald's Corporation has a 52 week low of $264.53 and a 52 week high of $341.75.

McDonald's (NYSE:MCD - Get Free Report) last issued its quarterly earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, beating analysts' consensus estimates 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 business had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. During the same period in the previous year, the business earned $2.67 EPS. The business's quarterly revenue was up 9.4% on a year-over-year basis. As a group, sell-side analysts expect that McDonald's Corporation will post 12.93 EPS for the current fiscal year.

McDonald's Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd were issued a $1.86 dividend. The ex-dividend date of this dividend was Tuesday, June 2nd. This represents a $7.44 annualized dividend and a dividend yield of 2.8%. McDonald's's payout ratio is 61.34%.

McDonald's Company 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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