Analysts Set McDonald’s Corporation (NYSE:MCD) Target Price at $328.88

McDonald’s Corporation (NYSE:MCD) has been given an average recommendation of “Hold” by the thirty-one analysts that are currently covering the stock, Marketbeat reports. Two equities research analysts have rated the stock with a sell rating, sixteen have given a hold rating and thirteen have issued a buy rating on the company. The average 12-month price objective among brokers that have updated their coverage on the stock in the last year is $328.88.

Several equities research analysts have issued reports on the stock. Sanford C. Bernstein reissued an “overweight” rating and issued a $372.00 price objective on shares of McDonald’s in a research report on Wednesday, January 7th. Guggenheim upped their price objective on shares of McDonald’s from $295.00 to $310.00 and gave the company a “neutral” rating in a report on Wednesday, November 19th. Oppenheimer raised McDonald’s from a “market perform” rating to an “outperform” rating and set a $355.00 price objective on the stock in a report on Tuesday, January 6th. Robert W. Baird upped their price target on shares of McDonald’s from $322.00 to $325.00 and gave the company a “neutral” rating in a report on Thursday, November 6th. Finally, BMO Capital Markets reiterated an “outperform” rating on shares of McDonald’s in a research note on Thursday, November 6th.

McDonald’s Price Performance

Shares of MCD stock traded down $1.09 on Friday, hitting $307.53. 2,565,061 shares of the stock traded hands, compared to its average volume of 2,736,915. The firm has a 50 day simple moving average of $308.76 and a two-hundred day simple moving average of $305.48. McDonald’s has a 52 week low of $278.73 and a 52 week high of $326.32. The firm has a market cap of $219.01 billion, a price-to-earnings ratio of 26.24, a PEG ratio of 3.05 and a beta of 0.53.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Wednesday, November 5th. The fast-food giant reported $3.22 EPS for the quarter, missing the consensus estimate of $3.33 by ($0.11). The company had revenue of $7.08 billion for the quarter, compared to the consensus estimate of $7.10 billion. McDonald’s had a net margin of 32.04% and a negative return on equity of 280.89%. The firm’s revenue for the quarter was up 3.0% on a year-over-year basis. During the same period last year, the company earned $3.23 EPS. Sell-side analysts forecast that McDonald’s will post 12.25 EPS for the current year.

McDonald’s Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, December 15th. Investors of record on Monday, December 1st were given a dividend of $1.86 per share. The ex-dividend date was Monday, December 1st. This is a positive change from McDonald’s’s previous quarterly dividend of $1.77. This represents a $7.44 annualized dividend and a dividend yield of 2.4%. McDonald’s’s dividend payout ratio (DPR) is presently 63.48%.

Insider Buying and Selling

In related news, EVP Desiree Ralls-Morrison sold 2,486 shares of the firm’s stock in a transaction dated Tuesday, December 16th. The stock was sold at an average price of $320.00, for a total transaction of $795,520.00. Following the completion of the sale, the executive vice president directly owned 6,268 shares of the company’s stock, valued at approximately $2,005,760. This trade represents a 28.40% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Manuel Jm Steijaert sold 6,567 shares of the firm’s stock in a transaction on Monday, December 1st. The stock was sold at an average price of $305.50, for a total value of $2,006,218.50. Following the transaction, the executive vice president owned 4,606 shares of the company’s stock, valued at approximately $1,407,133. This represents a 58.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 45,142 shares of company stock valued at $13,841,169 in the last quarter. Corporate insiders own 0.25% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in MCD. Federated Hermes Inc. grew its stake in shares of McDonald’s by 84.1% during the second quarter. Federated Hermes Inc. now owns 141,775 shares of the fast-food giant’s stock worth $41,422,000 after acquiring an additional 64,757 shares during the last quarter. Welch Group LLC grew its position in McDonald’s by 1.1% during the 2nd quarter. Welch Group LLC now owns 206,004 shares of the fast-food giant’s stock worth $60,188,000 after purchasing an additional 2,180 shares during the last quarter. Global X Japan Co. Ltd. increased its stake in McDonald’s by 236.7% during the 3rd quarter. Global X Japan Co. Ltd. now owns 6,502 shares of the fast-food giant’s stock valued at $1,976,000 after purchasing an additional 4,571 shares in the last quarter. D.A. Davidson & CO. raised its holdings in shares of McDonald’s by 2.7% in the third quarter. D.A. Davidson & CO. now owns 143,492 shares of the fast-food giant’s stock worth $43,606,000 after buying an additional 3,774 shares during the last quarter. Finally, Choreo LLC lifted its stake in shares of McDonald’s by 1.7% during the second quarter. Choreo LLC now owns 58,515 shares of the fast-food giant’s stock worth $17,096,000 after buying an additional 954 shares during the period. 70.29% of the stock is currently owned by institutional investors and hedge funds.

McDonald’s Company Profile

McDonald’s Corporation (NYSE: MCD) is a global quick-service restaurant company best known for its hamburgers, French fries and breakfast offerings. The company develops, operates and franchises a system of restaurants that sell a range of food and beverage items, including signature products such as the Big Mac, Quarter Pounder, Chicken McNuggets, McCafé coffee beverages and a variety of salads, desserts and seasonal menu items. McDonald’s serves customers through company-operated restaurants and franchised locations, and it supports sales via dine-in, drive-thru, digital ordering platforms and third-party delivery partnerships.

Founded in 1940 by brothers Richard and Maurice McDonald as a single San Bernardino, California restaurant, the business was transformed into a franchising model after Ray Kroc joined in the mid-1950s and led the brand’s national and international expansion.