McDonald’s’ (MCD) Buy Rating Reiterated at Loop Capital

McDonald’s (NYSE:MCD)‘s stock had its “buy” rating restated by equities researchers at Loop Capital in a note issued to investors on Friday,Benzinga reports. They presently have a $342.00 price target on the fast-food giant’s stock. Loop Capital’s target price indicates a potential upside of 16.48% from the stock’s previous close.

Other equities research analysts also recently issued reports about the stock. KeyCorp lifted their price target on shares of McDonald’s from $305.00 to $330.00 and gave the company an “overweight” rating in a research report on Monday, October 7th. UBS Group upped their price target on McDonald’s from $305.00 to $345.00 and gave the stock a “buy” rating in a report on Wednesday, October 9th. Wells Fargo & Company lifted their price target on shares of McDonald’s from $285.00 to $350.00 and gave the stock an “overweight” rating in a research note on Monday, October 21st. Baird R W downgraded McDonald’s from a “strong-buy” rating to a “hold” rating in a report on Wednesday, October 23rd. Finally, TD Cowen reaffirmed a “hold” rating and set a $300.00 target price on shares of McDonald’s in a report on Tuesday, October 29th. Twelve equities research analysts have rated the stock with a hold rating and seventeen have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $320.65.

McDonald’s Price Performance

NYSE MCD traded up $1.10 during trading on Friday, reaching $293.61. 815,776 shares of the company’s stock traded hands, compared to its average volume of 1,956,094. McDonald’s has a 12-month low of $243.53 and a 12-month high of $317.90. The firm has a market cap of $210.41 billion, a price-to-earnings ratio of 25.78, a price-to-earnings-growth ratio of 3.95 and a beta of 0.73. The company’s 50 day simple moving average is $294.57 and its two-hundred day simple moving average is $284.66.

McDonald’s (NYSE:MCD) last released its quarterly earnings results on Tuesday, October 29th. The fast-food giant reported $3.23 EPS for the quarter, topping analysts’ consensus estimates of $3.18 by $0.05. McDonald’s had a negative return on equity of 175.42% and a net margin of 31.79%. The company had revenue of $6.87 billion for the quarter, compared to analysts’ expectations of $6.82 billion. During the same period in the prior year, the firm earned $3.19 earnings per share. The firm’s revenue was up 2.7% compared to the same quarter last year. Research analysts expect that McDonald’s will post 11.75 earnings per share for the current fiscal year.

Insider Activity

In related news, EVP Marion K. Gross sold 1,499 shares of the company’s stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $294.51, for a total transaction of $441,470.49. Following the transaction, the executive vice president now directly owns 1,560 shares of the company’s stock, valued at $459,435.60. This represents a 49.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CMO Edith Morgan Flatley sold 2,346 shares of the company’s stock in a transaction dated Monday, October 14th. The stock was sold at an average price of $310.00, for a total transaction of $727,260.00. Following the completion of the transaction, the chief marketing officer now owns 2,905 shares of the company’s stock, valued at approximately $900,550. This trade represents a 44.68 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 10,551 shares of company stock valued at $3,120,554 over the last ninety days. 0.23% of the stock is currently owned by corporate insiders.

Institutional Trading of McDonald’s

Several institutional investors have recently added to or reduced their stakes in MCD. Legacy Investment Solutions LLC acquired a new stake in shares of McDonald’s in the 3rd quarter valued at approximately $25,000. RPg Family Wealth Advisory LLC bought a new stake in shares of McDonald’s during the third quarter valued at approximately $31,000. Hara Capital LLC acquired a new stake in shares of McDonald’s in the third quarter valued at $44,000. Peterson Financial Group Inc. acquired a new stake in shares of McDonald’s in the third quarter worth $58,000. Finally, FSA Wealth Management LLC acquired a new position in McDonald’s in the third quarter worth approximately $72,000. Institutional investors and hedge funds own 70.29% of the company’s stock.

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.