McDonald’s (NYSE:MCD) Hits New 52-Week High – Here’s What Happened

McDonald’s Corporation (NYSE:MCD)’s share price reached a new 52-week high on Monday . The stock traded as high as $341.75 and last traded at $340.2320, with a volume of 427147 shares trading hands. The stock had previously closed at $341.06.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on MCD. Oppenheimer upgraded McDonald’s from a “market perform” rating to an “outperform” rating and set a $355.00 target price on the stock in a research report on Tuesday, January 6th. TD Cowen reaffirmed a “hold” rating and issued a $320.00 price objective on shares of McDonald’s in a report on Thursday, February 12th. BMO Capital Markets reiterated an “outperform” rating on shares of McDonald’s in a research note on Thursday, November 6th. Mizuho raised their target price on shares of McDonald’s from $300.00 to $325.00 and gave the stock a “neutral” rating in a report on Friday, February 6th. Finally, UBS Group upped their price target on shares of McDonald’s from $350.00 to $365.00 and gave the company a “buy” rating in a report on Thursday, February 12th. Sixteen analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $337.57.

McDonald’s Stock Down 1.4%

The company’s 50-day moving average is $316.42 and its 200 day moving average is $310.29. The company has a market cap of $238.96 billion, a price-to-earnings ratio of 28.14, a price-to-earnings-growth ratio of 3.03 and a beta of 0.51.

McDonald’s (NYSE:MCD) last issued its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share for the quarter, topping analysts’ consensus estimates of $3.05 by $0.07. McDonald’s had a net margin of 31.85% and a negative return on equity of 343.90%. The business had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.81 billion. During the same quarter in the prior year, the firm posted $2.83 earnings per share. The company’s revenue was up 9.7% compared to the same quarter last year. Analysts predict that McDonald’s Corporation will post 12.25 EPS for the current fiscal year.

McDonald’s Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Shareholders of record on Tuesday, March 3rd will be given a dividend of $1.86 per share. The ex-dividend date is Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a yield of 2.2%. McDonald’s’s dividend payout ratio is currently 62.26%.

Insiders Place Their Bets

In related news, EVP Desiree Ralls-Morrison sold 2,486 shares of McDonald’s stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $320.00, for a total value of $795,520.00. Following the sale, the executive vice president 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CMO Edith Morgan Flatley sold 4,692 shares of the company’s stock in a transaction on Thursday, February 12th. The stock was sold at an average price of $331.00, for a total transaction of $1,553,052.00. Following the transaction, the chief marketing officer owned 6,200 shares of the company’s stock, valued at $2,052,200. This represents a 43.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 71,517 shares of company stock valued at $23,655,503. 0.25% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Hamilton Point Investment Advisors LLC increased its stake in McDonald’s by 1.8% during the 4th quarter. Hamilton Point Investment Advisors LLC now owns 1,750 shares of the fast-food giant’s stock worth $535,000 after buying an additional 31 shares in the last quarter. Encompass More Asset Management increased its position in shares of McDonald’s by 1.5% during the fourth quarter. Encompass More Asset Management now owns 2,120 shares of the fast-food giant’s stock worth $648,000 after purchasing an additional 32 shares in the last quarter. Richmond Investment Services LLC raised its stake in McDonald’s by 1.4% in the 4th quarter. Richmond Investment Services LLC now owns 2,278 shares of the fast-food giant’s stock valued at $696,000 after purchasing an additional 32 shares during the last quarter. Papamarkou Wellner Asset Management inc. lifted its holdings in McDonald’s by 0.4% in the 4th quarter. Papamarkou Wellner Asset Management inc. now owns 8,809 shares of the fast-food giant’s stock valued at $2,692,000 after purchasing an additional 32 shares in the last quarter. Finally, WD Rutherford LLC boosted its stake in McDonald’s by 1.0% during the 3rd quarter. WD Rutherford LLC now owns 3,261 shares of the fast-food giant’s stock worth $991,000 after purchasing an additional 33 shares during the last quarter. Institutional investors and hedge funds own 70.29% of the company’s stock.

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.