McDonald's (NYSE:MCD) Price Target Raised to $360.00

Key Points

• BMO Capital Markets has raised McDonald's target price from $350.00 to $360.00, suggesting a potential upside of 13.82% from the current stock price.
• Despite the positive outlook from BMO, other analysts have mixed ratings, with a majority of firms holding a "Hold" rating and some lowering their ratings.
• McDonald's reported $3.19 EPS for the last quarter, surpassing analysts' expectations, with revenues also exceeding estimates at $6.84 billion.

McDonald's (NYSE:MCD - Get Free Report) had its price objective boosted by analysts at BMO Capital Markets from $350.00 to $360.00 in a research report issued on Thursday, MarketBeat reports. The firm presently has an "outperform" rating on the fast-food giant's stock. BMO Capital Markets' price target indicates a potential upside of 14.84% from the company's previous close.

Several other research firms have also commented on MCD. Bank of America reduced their price target on shares of McDonald's from $327.00 to $322.00 and set a "neutral" rating for the company in a research report on Friday, July 18th. Truist Financial lifted their price objective on shares of McDonald's from $356.00 to $360.00 and gave the stock a "buy" rating in a research note on Thursday, August 7th. Melius started coverage on McDonald's in a report on Monday, July 14th. They issued a "sell" rating and a $250.00 price target for the company. Evercore ISI raised their price objective on McDonald's from $350.00 to $360.00 and gave the stock an "outperform" rating in a research report on Friday, August 8th. Finally, Stifel Nicolaus boosted their price target on McDonald's from $300.00 to $315.00 and gave the company a "hold" rating in a research note on Friday, August 22nd. Eleven research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $325.14.

McDonald's Trading Up 0.2%

Shares of MCD stock traded up $0.67 during mid-day trading on Thursday, reaching $313.47. The stock had a trading volume of 1,132,468 shares, compared to its average volume of 3,545,292. McDonald's has a 52-week low of $276.53 and a 52-week high of $326.32. The firm has a market capitalization of $223.69 billion, a PE ratio of 26.87, a price-to-earnings-growth ratio of 3.20 and a beta of 0.49. The stock's 50-day moving average price is $304.27 and its two-hundred day moving average price is $306.56.

McDonald's (NYSE:MCD - Get Free Report) last released its 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. The company had revenue of $6.84 billion during the quarter, compared to analysts' expectations of $6.68 billion. McDonald's had a negative return on equity of 225.52% and a net margin of 32.21%.The firm's revenue for the quarter was up 5.4% compared to the same quarter last year. During the same quarter last year, the business posted $2.97 EPS. On average, equities research analysts forecast that McDonald's will post 12.25 earnings per share for the current year.

Insider Transactions at McDonald's

In other McDonald's news, insider Joseph M. Erlinger sold 939 shares of McDonald's stock in a transaction that occurred on Wednesday, July 23rd. The stock was sold at an average price of $299.49, for a total value of $281,221.11. Following the completion of 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 sale was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Desiree Ralls-Morrison sold 2,487 shares of the firm'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 transaction, the executive vice president directly owned 8,754 shares in the company, valued at approximately $2,713,740. The trade was a 22.12% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 8,341 shares of company stock valued at $2,544,327 over the last ninety days. 0.25% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On McDonald's

Several institutional investors have recently modified their holdings of MCD. Nova Wealth Management Inc. acquired a new stake in McDonald's during the first quarter worth approximately $26,000. HFM Investment Advisors LLC purchased a new position in shares of McDonald's during the first quarter worth about $26,000. Decker Retirement Planning Inc. lifted its stake in shares of McDonald's by 142.9% in the 2nd quarter. Decker Retirement Planning Inc. now owns 85 shares of the fast-food giant's stock valued at $25,000 after acquiring an additional 50 shares during the last quarter. Legacy Investment Solutions LLC purchased a new position in shares of McDonald's in the 2nd quarter valued at approximately $25,000. Finally, Mascagni Wealth Management Inc. purchased a new position in McDonald's in the fourth quarter worth about $25,000. Institutional investors and hedge funds own 70.29% of the company's stock.

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.