Jacobi Capital Management LLC Raises Stake in McDonald’s Corporation $MCD

Jacobi Capital Management LLC raised its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 23.1% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 17,801 shares of the fast-food giant’s stock after acquiring an additional 3,345 shares during the period. Jacobi Capital Management LLC’s holdings in McDonald’s were worth $4,812,000 at the end of the most recent reporting period.

Several other large investors have also recently made changes to their positions in MCD. Hamilton Point Investment Advisors LLC boosted its stake in shares of McDonald’s by 1.8% in the 4th quarter. Hamilton Point Investment Advisors LLC now owns 1,750 shares of the fast-food giant’s stock valued at $535,000 after purchasing an additional 31 shares in the last quarter. Encompass More Asset Management raised its position in McDonald’s by 1.5% in the 4th 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 during the period. Richmond Investment Services LLC lifted its stake in McDonald’s by 1.4% in the fourth quarter. Richmond Investment Services LLC now owns 2,278 shares of the fast-food giant’s stock worth $696,000 after purchasing an additional 32 shares during the last quarter. Papamarkou Wellner Asset Management inc. boosted its position in McDonald’s by 0.4% during the fourth quarter. Papamarkou Wellner Asset Management inc. now owns 8,809 shares of the fast-food giant’s stock valued at $2,692,000 after buying an additional 32 shares during the period. Finally, Physician Wealth Advisors Inc. boosted its position in McDonald’s by 1.6% during the fourth quarter. Physician Wealth Advisors Inc. now owns 2,102 shares of the fast-food giant’s stock valued at $642,000 after buying an additional 33 shares during the period. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s Stock Performance

Shares of MCD stock opened at $267.15 on Wednesday. The firm has a market cap of $189.04 billion, a P/E ratio of 21.70, a P/E/G ratio of 3.05 and a beta of 0.41. McDonald’s Corporation has a fifty-two week low of $260.96 and a fifty-two week high of $341.75. The business’s 50 day moving average price is $273.27 and its 200-day moving average price is $294.49.

McDonald’s (NYSE:MCD) last announced its earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 EPS for the quarter, beating analysts’ consensus estimates of $3.32 by $0.06. The company had revenue of $7.10 billion during the quarter, compared to the consensus estimate of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%.The firm’s revenue for the quarter was up 3.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.19 earnings per share. As a group, equities analysts predict that McDonald’s Corporation will post 12.88 EPS for the current year.

McDonald’s Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Tuesday, September 1st will be paid a $1.86 dividend. This represents a $7.44 annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Tuesday, September 1st. McDonald’s’s dividend payout ratio (DPR) is presently 60.44%.

Insider Buying and Selling

In other news, insider Joseph M. Erlinger sold 5,252 shares of McDonald’s stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the completion of the transaction, the insider directly owned 7,734 shares in the company, valued at approximately $2,198,930.88. This trade represents a 40.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of McDonald’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $278.36, for a total value of $769,108.68. Following the transaction, the executive vice president owned 6,268 shares of the company’s stock, valued at $1,744,760.48. The trade was a 30.59% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 8,348 shares of company stock valued at $2,355,634 in the last ninety days. Insiders own 0.26% of the company’s stock.

Analyst Ratings Changes

Several research firms have recently commented on MCD. Freedom Capital upgraded McDonald’s from a “hold” rating to a “strong-buy” rating in a report on Wednesday, August 5th. Tigress Financial increased their target price on McDonald’s from $385.00 to $390.00 and gave the company a “buy” rating in a report on Friday, July 17th. Barclays reduced their price target on McDonald’s from $380.00 to $350.00 and set an “overweight” rating on the stock in a research report on Friday, May 8th. Citigroup boosted their price objective on McDonald’s from $335.00 to $345.00 and gave the company a “buy” rating in a research report on Wednesday, August 5th. Finally, Robert W. Baird dropped their price objective on McDonald’s from $305.00 to $285.00 and set a “neutral” rating for the company in a research note on Wednesday, August 5th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $325.44.

McDonald’s News Roundup

Here are the key news stories impacting McDonald’s this week:

• Positive Sentiment: McDonald’s valuation has become more attractive after its decline, with one bullish estimate implying substantial upside toward the Wall Street consensus target. However, analysts say investors may need to wait for clearer evidence of improved execution. Is McDonald’s a Buy Today as Lower Valuation Meets Execution Risk?
• Positive Sentiment: A workforce scheduling and transportation app reportedly helped one McDonald’s franchise avoid missed shifts and save about $35,000 per month. Wider adoption could improve staffing reliability and restaurant-level margins. Missed shifts were costly to this McDonald’s. An app has fixed the problem
• Positive Sentiment: Limited-time promotions, including Hello Kitty–Godzilla Happy Meals, new fall beverages and an afternoon-focused menu strategy aimed at Starbucks could support traffic and increase customer occasions. McDonald’s Takes Direct Aim at Starbucks
• Neutral Sentiment: McDonald’s latest quarterly earnings beat expectations on EPS, helped by franchised operations, but revenue slightly missed estimates. Investors remain focused on whether cost controls and franchise strength can offset softer U.S. demand. McDonald’s Q2 Earnings Beat Puts U.S. Traffic and Margins in Focus
• Negative Sentiment: Numerator data showed sales among low-income customers fell 2.4% in the latest quarter, indicating that prior price increases may be pushing budget-conscious diners toward alternatives. McDonald’s is losing ground to rivals like Burger King with a key customer group
• Negative Sentiment: Weak U.S. traffic, value-offer execution problems, rising beef and operating costs, and competition from Burger King are creating pressure on sales and margins. The broader economic concern flagged by restaurant and consumer-goods executives adds to the risk. Burger King is taking a bite out of McDonald’s lunch

About McDonald’s

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.