West Paces Advisors Inc. Reduces Stake in McDonald’s Co. (NYSE:MCD)

West Paces Advisors Inc. trimmed its holdings in shares of McDonald’s Co. (NYSE:MCD) by 1.6% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 4,772 shares of the fast-food giant’s stock after selling 79 shares during the quarter. West Paces Advisors Inc.’s holdings in McDonald’s were worth $1,345,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently modified their holdings of MCD. LaSalle St. Investment Advisors LLC grew its holdings in McDonald’s by 3.0% during the third quarter. LaSalle St. Investment Advisors LLC now owns 1,660 shares of the fast-food giant’s stock worth $437,000 after acquiring an additional 48 shares during the period. PGIM Custom Harvest LLC increased its stake in McDonald’s by 13.6% in the third quarter. PGIM Custom Harvest LLC now owns 1,314 shares of the fast-food giant’s stock valued at $346,000 after purchasing an additional 157 shares during the last quarter. Operose Advisors LLC increased its stake in McDonald’s by 13.7% in the third quarter. Operose Advisors LLC now owns 5,514 shares of the fast-food giant’s stock valued at $1,453,000 after purchasing an additional 666 shares during the last quarter. OMERS ADMINISTRATION Corp acquired a new stake in McDonald’s during the third quarter worth about $52,451,000. Finally, Mutual Advisors LLC grew its stake in shares of McDonald’s by 10.8% in the third quarter. Mutual Advisors LLC now owns 18,801 shares of the fast-food giant’s stock valued at $4,953,000 after buying an additional 1,832 shares in the last quarter. 70.29% of the stock is owned by institutional investors and hedge funds.

McDonald’s Price Performance

NYSE MCD traded up $0.45 during trading hours on Wednesday, reaching $257.83. 2,793,177 shares of the company’s stock traded hands, compared to its average volume of 3,391,647. The firm has a market cap of $185.81 billion, a PE ratio of 21.89, a PEG ratio of 2.90 and a beta of 0.71. McDonald’s Co. has a 52-week low of $245.73 and a 52-week high of $302.39. The firm has a 50-day simple moving average of $264.15 and a 200 day simple moving average of $279.82.

McDonald’s (NYSE:MCD) last announced 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). The business had revenue of $6.17 billion for the quarter, compared to the consensus estimate of $6.16 billion. McDonald’s had a net margin of 33.36% and a negative return on equity of 180.74%. The business’s quarterly revenue was up 4.6% compared to the same quarter last year. During the same quarter last year, the firm posted $2.63 earnings per share. Sell-side analysts forecast that McDonald’s Co. will post 12.19 EPS for the current fiscal year.

McDonald’s Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 17th. Stockholders of record on Monday, June 3rd were issued a $1.67 dividend. This represents a $6.68 dividend on an annualized basis and a dividend yield of 2.59%. The ex-dividend date of this dividend was Monday, June 3rd. McDonald’s’s payout ratio is presently 56.71%.

Insider Transactions at McDonald’s

In related news, insider Joseph M. Erlinger sold 1,098 shares of the stock in a transaction that occurred on Friday, June 21st. The shares were sold at an average price of $260.00, for a total value of $285,480.00. Following the completion of the transaction, the insider now directly owns 14,780 shares of the company’s stock, valued at approximately $3,842,800. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, insider Joseph M. Erlinger sold 1,098 shares of McDonald’s stock in a transaction on Friday, June 21st. The shares were sold at an average price of $260.00, for a total value of $285,480.00. Following the sale, the insider now owns 14,780 shares of the company’s stock, valued at approximately $3,842,800. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Joseph M. Erlinger sold 1,099 shares of McDonald’s stock in a transaction on Thursday, May 23rd. The stock was sold at an average price of $265.13, for a total transaction of $291,377.87. Following the sale, the insider now directly owns 15,878 shares in the company, valued at approximately $4,209,734.14. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 4,095 shares of company stock worth $1,100,625. Insiders own 0.23% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on MCD. Wedbush reduced their price target on McDonald’s from $330.00 to $300.00 and set an “outperform” rating for the company in a report on Friday, April 26th. Stifel Nicolaus lowered their price target on McDonald’s from $315.00 to $300.00 and set a “hold” rating on the stock in a research report on Thursday, April 11th. Morgan Stanley reduced their price objective on McDonald’s from $327.00 to $320.00 and set an “overweight” rating for the company in a research note on Friday, April 12th. The Goldman Sachs Group initiated coverage on McDonald’s in a research note on Thursday, June 13th. They set a “neutral” rating and a $288.00 price objective for the company. Finally, Citigroup decreased their target price on McDonald’s from $312.00 to $297.00 and set a “neutral” rating for the company in a research report on Tuesday, April 16th. Ten analysts have rated the stock with a hold rating and twenty have given a buy rating to the stock. According to data from MarketBeat.com, McDonald’s has an average rating of “Moderate Buy” and a consensus price target of $315.14.

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.