Truist Financial Has Lowered Expectations for McDonald’s (NYSE:MCD) Stock Price

McDonald’s (NYSE:MCD) had its target price trimmed by Truist Financial from $350.00 to $342.00 in a research report released on Wednesday morning, Benzinga reports. The firm currently has a buy rating on the fast-food giant’s stock.

A number of other research analysts have also recently issued reports on the stock. Tigress Financial lifted their price objective on shares of McDonald’s from $355.00 to $360.00 and gave the company a “buy” rating in a report on Tuesday, September 3rd. Guggenheim lowered McDonald’s from a “buy” rating to a “neutral” rating and decreased their price objective for the stock from $290.00 to $285.00 in a report on Wednesday, October 23rd. Loop Capital restated a “buy” rating on shares of McDonald’s in a report on Friday, October 18th. Deutsche Bank Aktiengesellschaft decreased their price target on McDonald’s from $295.00 to $290.00 and set a “buy” rating for the company in a report on Tuesday, July 30th. Finally, Jefferies Financial Group raised their price objective on McDonald’s from $310.00 to $330.00 and gave the company a “buy” rating in a research note on Monday, September 9th. Thirteen equities research analysts have rated the stock with a hold rating and eighteen have issued a buy rating to the company. According to data from MarketBeat, McDonald’s presently has an average rating of “Moderate Buy” and a consensus target price of $319.46.

McDonald’s Price Performance

Shares of McDonald’s stock opened at $295.21 on Wednesday. The business has a 50-day simple moving average of $298.36 and a 200 day simple moving average of $275.86. The firm has a market capitalization of $211.77 billion, a price-to-earnings ratio of 25.92, a PEG ratio of 3.88 and a beta of 0.74. McDonald’s has a one year low of $243.53 and a one year high of $317.90.

McDonald’s (NYSE:MCD) last issued its earnings results on Tuesday, October 29th. The fast-food giant reported $3.23 earnings per share for the quarter, topping analysts’ consensus estimates of $3.18 by $0.05. McDonald’s had a negative return on equity of 178.99% and a net margin of 31.79%. The company had revenue of $6.87 billion for the quarter, compared to analyst estimates of $6.82 billion. During the same period in the prior year, the firm earned $3.19 earnings per share. McDonald’s’s revenue for the quarter was up 2.7% on a year-over-year basis. On average, sell-side analysts expect that McDonald’s will post 11.77 EPS for the current year.

McDonald’s Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 16th. Investors of record on Monday, December 2nd will be paid a dividend of $1.77 per share. This represents a $7.08 dividend on an annualized basis and a dividend yield of 2.40%. This is a positive change from McDonald’s’s previous quarterly dividend of $1.67. The ex-dividend date is Monday, December 2nd. McDonald’s’s payout ratio is presently 58.65%.

Insider Buying and Selling

In other news, insider Joseph M. Erlinger sold 1,098 shares of the company’s stock in a transaction dated Friday, August 23rd. The stock was sold at an average price of $288.70, for a total transaction of $316,992.60. Following the sale, the insider now directly owns 12,583 shares in the company, valued at $3,632,712.10. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. In related news, insider Joseph M. Erlinger sold 1,098 shares of the business’s stock in a transaction that occurred on Friday, August 23rd. The shares were sold at an average price of $288.70, for a total transaction of $316,992.60. Following the completion of the transaction, the insider now owns 12,583 shares of the company’s stock, valued at approximately $3,632,712.10. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Joseph M. Erlinger sold 1,099 shares of the firm’s stock in a transaction on Wednesday, October 23rd. The shares were sold at an average price of $292.38, for a total transaction of $321,325.62. Following the completion of the transaction, the insider now directly owns 10,385 shares of the company’s stock, valued at approximately $3,036,366.30. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 34,097 shares of company stock valued at $10,256,818. Corporate insiders own 0.23% of the company’s stock.

Institutional Trading of McDonald’s

Several institutional investors and hedge funds have recently modified their holdings of MCD. Hara Capital LLC bought a new stake in McDonald’s during the third quarter valued at approximately $44,000. Kings Path Partners LLC purchased a new position in McDonald’s in the second quarter worth $38,000. Keener Financial Planning LLC increased its stake in McDonald’s by 32.3% in the first quarter. Keener Financial Planning LLC now owns 176 shares of the fast-food giant’s stock valued at $50,000 after acquiring an additional 43 shares during the last quarter. Opal Wealth Advisors LLC bought a new stake in McDonald’s during the second quarter worth about $59,000. Finally, Bbjs Financial Advisors LLC purchased a new position in shares of McDonald’s in the 2nd quarter worth about $65,000. Hedge funds and other institutional investors 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.