Skylands Capital LLC Makes New $2.41 Million Investment in McDonald’s Corporation $MCD

Skylands Capital LLC bought a new stake in McDonald’s Corporation (NYSE:MCD) during the 3rd quarter, HoldingsChannel.com reports. The institutional investor bought 10,450 shares of the fast-food giant’s stock, valued at approximately $2,413,000.

Several other hedge funds have also recently made changes to their positions in the company. Kings Path Partners LLC purchased a new position in shares of McDonald’s during the 3rd quarter valued at $126,000. Guardian Partners Inc. grew its stake in shares of McDonald’s by 0.9% during the 3rd quarter. Guardian Partners Inc. now owns 47,442 shares of the fast-food giant’s stock worth $10,956,000 after acquiring an additional 405 shares during the period. Strengthening Families & Communities LLC grew its stake in shares of McDonald’s by 0.9% during the 3rd quarter. Strengthening Families & Communities LLC now owns 8,038 shares of the fast-food giant’s stock worth $1,856,000 after acquiring an additional 68 shares during the period. Sawyer & Company Inc purchased a new stake in McDonald’s in the 3rd quarter worth about $2,513,000. Finally, Sowell Financial Services LLC increased its holdings in McDonald’s by 18.4% in the 3rd quarter. Sowell Financial Services LLC now owns 29,678 shares of the fast-food giant’s stock worth $6,854,000 after acquiring an additional 4,607 shares during the last quarter. 70.29% of the stock is currently owned by institutional investors.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: McDonald’s is bringing back its Halloween Boo Buckets with a Disney Villains theme. The collectible promotion could increase seasonal visits, generate social-media engagement and support limited-time sales. Disney Villains Halloween Boo Buckets Arrive at McDonald’s
• Positive Sentiment: The McRib is returning to select Indiana restaurants on October 26, offering another limited-time product designed to attract loyal customers and create urgency. Fan-favorite sandwich returning to McDonald’s
• Positive Sentiment: Some analysts view MCD as potentially undervalued after its recent underperformance. Its valuation is below historical averages, while the established franchise model and multiyear-high dividend yield may appeal to income-focused investors. Is The Market Underpricing McDonald’s Stock?
• Neutral Sentiment: Two additional McDonald’s locations are planned for the northern Fort Worth suburbs, indicating continued domestic unit expansion, although the financial contribution is likely to be gradual. Two McDonald’s restaurants planned for north Fort Worth suburbs
• Negative Sentiment: TD Cowen’s downgrade of Chipotle also pressured McDonald’s and other restaurant stocks, reflecting broader investor concerns about slowing industry sales momentum. Chipotle Falls as TD Cowen Downgrades
• Negative Sentiment: McDonald’s faces weak U.S. traffic, making menu innovation important for restoring comparable-sales growth. The latest analysis suggests new products may help, but they have not yet resolved the underlying demand pressure. Can MCD’s Menu Innovation Offset Slower U.S. Comparable Sales Growth?

McDonald’s Price Performance

NYSE:MCD opened at $246.11 on Thursday. The company has a market cap of $174.16 billion, a P/E ratio of 19.99, a P/E/G ratio of 2.76 and a beta of 0.44. The stock’s fifty day moving average price is $250.31 and its two-hundred day moving average price is $270.49. McDonald’s Corporation has a 1 year low of $229.20 and a 1 year high of $341.75.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 EPS for the quarter, topping analysts’ consensus estimates of $3.32 by $0.06. The firm had revenue of $7.10 billion during the quarter, compared to analyst estimates of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%. The business’s revenue for the quarter was up 3.7% on a year-over-year basis. During the same period last year, the company earned $3.19 earnings per share. On average, analysts expect that McDonald’s Corporation will post 12.84 earnings per share for the current fiscal year.

McDonald’s Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Investors of record on Tuesday, December 1st will be issued a dividend of $1.93 per share. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. The ex-dividend date of this dividend is Tuesday, December 1st. This represents a $7.72 dividend on an annualized basis and a yield of 3.1%. McDonald’s’s payout ratio is currently 60.44%.

Analysts Set New Price Targets

A number of brokerages recently issued reports on MCD. Royal Bank Of Canada lowered their price objective on McDonald’s from $290.00 to $285.00 and set a “sector perform” rating on the stock in a research note on Thursday, September 24th. HC Wainwright set a $250.00 price objective on shares of McDonald’s in a report on Friday, September 25th. BMO Capital Markets cut their target price on shares of McDonald’s from $335.00 to $310.00 and set an “outperform” rating for the company in a research report on Thursday, September 24th. Citigroup reduced their target price on shares of McDonald’s from $305.00 to $295.00 and set a “buy” rating for the company in a research note on Tuesday. Finally, Guggenheim reduced their target price on shares of McDonald’s from $290.00 to $250.00 and set a “neutral” rating for the company in a research note on Monday, October 5th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $295.64.

About McDonald’s

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.