McDonald's Corporation (NYSE:MCD) Plans Quarterly Dividend of $1.86

Key Points

• McDonald's declared a quarterly dividend of $1.86 per share, with the ex-dividend date set for September 1 and payment scheduled for September 16. The dividend implies an annualized yield of about 2.8%.
• The company has a long record of dividend growth, raising its payout annually for 49 consecutive years. Its dividend appears well covered, with a payout ratio of 55.9% and expected future payout ratio around 53.0%.
• McDonald's recently beat quarterly earnings expectations, reporting EPS of $2.83 versus the $2.74 consensus and revenue of $6.52 billion, up 9.4% year over year. Shares were trading near their 12-month low, down slightly on the day.

McDonald's Corporation (NYSE:MCD - Get Free Report) declared a quarterly dividend on Thursday, July 23rd. Stockholders of record on Tuesday, September 1st will be given a dividend of 1.86 per share by the fast-food giant on Wednesday, September 16th. This represents a c) dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date is Tuesday, September 1st.

McDonald's has increased its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend annually for the last 49 consecutive years. McDonald's has a dividend payout ratio of 55.9% indicating that its dividend is sufficiently covered by earnings. Research analysts expect McDonald's to earn $14.03 per share next year, which means the company should continue to be able to cover its $7.44 annual dividend with an expected future payout ratio of 53.0%.

McDonald's Trading Down 0.3%

Shares of NYSE:MCD opened at $262.70 on Friday. The firm has a 50 day simple moving average of $276.23 and a 200-day simple moving average of $299.11. McDonald's has a twelve month low of $260.96 and a twelve month high of $341.75. The company has a market capitalization of $186.65 billion, a PE ratio of 21.66, a P/E/G ratio of 2.83 and a beta of 0.41.

McDonald's (NYSE:MCD - Get Free Report) last announced its earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.74 by $0.09. The firm had revenue of $6.52 billion during the quarter, compared to analysts' expectations of $6.47 billion. McDonald's had a negative return on equity of 442.10% and a net margin of 31.62%.The business's revenue was up 9.4% on a year-over-year basis. During the same period in the prior year, the firm earned $2.67 EPS. As a group, equities research analysts predict that McDonald's will post 12.86 EPS for the current fiscal year.

About McDonald's

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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