McDonald's Co. (NYSE:MCD) Forecasted to Post Q2 2024 Earnings of $3.10 Per Share

McDonald's Co. (NYSE:MCD - Free Report) - Wedbush decreased their Q2 2024 earnings estimates for shares of McDonald's in a research note issued to investors on Wednesday, May 1st. Wedbush analyst N. Setyan now forecasts that the fast-food giant will post earnings of $3.10 per share for the quarter, down from their prior forecast of $3.15. Wedbush currently has a "Outperform" rating and a $300.00 target price on the stock. The consensus estimate for McDonald's' current full-year earnings is $12.25 per share. Wedbush also issued estimates for McDonald's' Q4 2024 earnings at $3.05 EPS, FY2024 earnings at $12.20 EPS, Q2 2025 earnings at $3.40 EPS, Q4 2025 earnings at $3.26 EPS and FY2025 earnings at $13.14 EPS.

McDonald's (NYSE:MCD - Get Free Report) last released its earnings results on Tuesday, April 30th. The fast-food giant reported $2.70 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.71 by ($0.01). McDonald's had a negative return on equity of 180.54% and a net margin of 33.36%. The firm had revenue of $6.17 billion during the quarter, compared to the consensus estimate of $6.16 billion. During the same quarter last year, the business posted $2.63 EPS. McDonald's's revenue was up 4.6% compared to the same quarter last year.

Several other research firms also recently weighed in on MCD. Guggenheim decreased their target price on McDonald's from $325.00 to $315.00 and set a "buy" rating for the company in a research report on Thursday. UBS Group dropped their target price on shares of McDonald's from $340.00 to $335.00 and set a "buy" rating on the stock in a research note on Friday, April 5th. Morgan Stanley decreased their price target on shares of McDonald's from $327.00 to $320.00 and set an "overweight" rating for the company in a research note on Friday, April 12th. Evercore ISI reissued an "outperform" rating and issued a $330.00 price objective on shares of McDonald's in a research note on Wednesday, March 27th. Finally, KeyCorp decreased their target price on McDonald's from $315.00 to $310.00 and set an "overweight" rating for the company in a research report on Wednesday. Nine research analysts have rated the stock with a hold rating and twenty have given a buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $317.74.

McDonald's Stock Down 1.1 %

MCD traded down $2.96 during trading hours on Friday, reaching $270.32. 2,639,735 shares of the company's stock traded hands, compared to its average volume of 3,321,246. The firm has a 50-day moving average price of $280.07 and a 200 day moving average price of $282.21. The firm has a market capitalization of $194.90 billion, a PE ratio of 22.95, a PEG ratio of 3.02 and a beta of 0.71. McDonald's has a 52-week low of $245.73 and a 52-week high of $302.39.

Hedge Funds Weigh In On McDonald's

Several institutional investors and hedge funds have recently bought and sold shares of MCD. Norges Bank purchased a new stake in McDonald's in the fourth quarter valued at $2,684,899,000. Gallagher Fiduciary Advisors LLC lifted its position in McDonald's by 141,160.9% in the fourth quarter. Gallagher Fiduciary Advisors LLC now owns 5,613,710 shares of the fast-food giant's stock valued at $1,664,521,000 after buying an additional 5,609,736 shares during the last quarter. International Assets Investment Management LLC boosted its stake in McDonald's by 10,702.5% during the fourth quarter. International Assets Investment Management LLC now owns 2,174,426 shares of the fast-food giant's stock worth $644,739,000 after buying an additional 2,154,297 shares during the period. Price T Rowe Associates Inc. MD increased its position in shares of McDonald's by 15.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 7,347,048 shares of the fast-food giant's stock valued at $2,178,474,000 after acquiring an additional 987,099 shares during the last quarter. Finally, J.P. Morgan Private Wealth Advisors LLC acquired a new stake in shares of McDonald's during the third quarter valued at about $192,165,000. 70.29% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other McDonald's news, insider Joseph M. Erlinger sold 1,099 shares of the stock in a transaction that occurred on Friday, March 22nd. The stock was sold at an average price of $284.38, for a total transaction of $312,533.62. Following the completion of the transaction, the insider now owns 18,075 shares of the company's stock, valued at $5,140,168.50. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, insider Joseph M. Erlinger sold 1,098 shares of the company's stock in a transaction dated Tuesday, April 23rd. The shares were sold at an average price of $276.64, for a total transaction of $303,750.72. Following the completion of the sale, the insider now owns 16,977 shares of the company's stock, valued at approximately $4,696,517.28. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Joseph M. Erlinger sold 1,099 shares of the business's stock in a transaction that occurred on Friday, March 22nd. The stock was sold at an average price of $284.38, for a total value of $312,533.62. Following the transaction, the insider now owns 18,075 shares in the company, valued at $5,140,168.50. The disclosure for this sale can be found here. 0.23% of the stock is currently owned by insiders.

McDonald's Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, March 15th. Investors of record on Friday, March 1st were paid a $1.67 dividend. This represents a $6.68 dividend on an annualized basis and a yield of 2.47%. The ex-dividend date was Thursday, February 29th. McDonald's's dividend payout ratio is presently 56.71%.

About McDonald's

McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.