Insider Selling: McDonald's Corporation (NYSE:MCD) EVP Sells 2,487 Shares of Stock

Key Points

• Desiree Ralls-Morrison, Executive Vice President of McDonald's, sold 2,487 shares of the company stock, reducing her holdings by 22.12% and raising $770,970.
• McDonald's reported a quarterly earnings of $3.19 EPS, surpassing expectations, with revenue increasing to $6.84 billion for the period.
• The company announced a quarterly dividend of $1.77 per share, yielding approximately 2.3% for shareholders, with an ex-dividend date set for September 2nd.

McDonald's Corporation (NYSE:MCD - Get Free Report) EVP Desiree Ralls-Morrison sold 2,487 shares of McDonald's stock in a transaction dated Wednesday, August 6th. The stock was 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 of the company's stock, valued at $2,713,740. The trade was a 22.12% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink.

McDonald's Stock Performance

NYSE:MCD traded up $8.70 during midday trading on Wednesday, reaching $307.47. 6,440,748 shares of the stock traded hands, compared to its average volume of 3,609,722. The company has a fifty day moving average of $298.92 and a 200 day moving average of $303.96. McDonald's Corporation has a 12 month low of $265.33 and a 12 month high of $326.32. The stock has a market capitalization of $219.85 billion, a P/E ratio of 27.14, a PEG ratio of 3.13 and a beta of 0.52.

McDonald's (NYSE:MCD - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The fast-food giant reported $3.19 EPS for the quarter, beating analysts' consensus estimates of $3.15 by $0.04. McDonald's had a net margin of 31.75% and a negative return on equity of 195.27%. The company had revenue of $6.84 billion during the quarter, compared to analyst estimates of $6.68 billion. During the same period in the prior year, the business posted $2.97 EPS. The firm's revenue was up 5.4% compared to the same quarter last year. On average, analysts predict that McDonald's Corporation will post 12.25 EPS for the current fiscal year.

McDonald's Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 16th. Shareholders of record on Tuesday, September 2nd will be given a dividend of $1.77 per share. This represents a $7.08 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date of this dividend is Tuesday, September 2nd. McDonald's's payout ratio is presently 62.49%.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on MCD shares. Piper Sandler lifted their target price on shares of McDonald's from $292.00 to $314.00 and gave the stock a "neutral" rating in a research note on Friday, May 2nd. Robert W. Baird lifted their target price on shares of McDonald's from $300.00 to $315.00 and gave the stock a "neutral" rating in a research note on Friday, May 2nd. Argus cut shares of McDonald's from a "buy" rating to a "hold" rating in a research note on Friday, June 13th. Melius started coverage on shares of McDonald's in a research note on Monday, July 14th. They set a "sell" rating and a $250.00 price objective for the company. Finally, Citigroup boosted their price objective on shares of McDonald's from $364.00 to $365.00 and gave the company a "buy" rating in a research note on Wednesday, July 9th. Two equities research analysts have rated the stock with a sell rating, thirteen have issued a hold rating and thirteen have given a buy rating to the stock. According to data from MarketBeat.com, McDonald's currently has an average rating of "Hold" and a consensus price target of $323.39.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Brighton Jones LLC increased its stake in shares of McDonald's by 21.6% in the 4th quarter. Brighton Jones LLC now owns 9,286 shares of the fast-food giant's stock worth $2,692,000 after acquiring an additional 1,649 shares in the last quarter. Revolve Wealth Partners LLC grew its position in McDonald's by 2.8% during the 4th quarter. Revolve Wealth Partners LLC now owns 1,942 shares of the fast-food giant's stock valued at $563,000 after purchasing an additional 52 shares during the last quarter. Bank Pictet & Cie Europe AG grew its position in McDonald's by 15.3% during the 4th quarter. Bank Pictet & Cie Europe AG now owns 209,464 shares of the fast-food giant's stock valued at $60,722,000 after purchasing an additional 27,774 shares during the last quarter. GHE LLC boosted its holdings in shares of McDonald's by 0.9% during the 4th quarter. GHE LLC now owns 14,677 shares of the fast-food giant's stock valued at $4,255,000 after acquiring an additional 136 shares during the last quarter. Finally, Grantham Mayo Van Otterloo & Co. LLC boosted its holdings in shares of McDonald's by 6.4% during the 4th quarter. Grantham Mayo Van Otterloo & Co. LLC now owns 4,201 shares of the fast-food giant's stock valued at $1,218,000 after acquiring an additional 254 shares during the last quarter. 70.29% of the stock is owned by hedge funds and other institutional investors.

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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