Gables Capital Management Inc. Buys 2,560 Shares of McDonald’s Corporation $MCD

Gables Capital Management Inc. increased its stake in shares of McDonald’s Corporation (NYSE:MCD) by 18.9% during the third quarter, according to its most recent filing with the SEC. The institutional investor owned 16,111 shares of the fast-food giant’s stock after purchasing an additional 2,560 shares during the period. McDonald’s accounts for 1.3% of Gables Capital Management Inc.’s investment portfolio, making the stock its 19th largest position. Gables Capital Management Inc.’s holdings in McDonald’s were worth $3,721,000 as of its most recent filing with the SEC.

A number of other institutional investors have also added to or reduced their stakes in the stock. State Street Corp grew its holdings in McDonald’s by 1.8% during the 2nd quarter. State Street Corp now owns 36,080,505 shares of the fast-food giant’s stock valued at $9,752,921,000 after buying an additional 646,675 shares in the last quarter. Bank of New York Mellon Corp bought a new stake in shares of McDonald’s during the second quarter valued at about $1,359,276,000. Arrowstreet Capital Limited Partnership lifted its holdings in shares of McDonald’s by 17.2% in the first quarter. Arrowstreet Capital Limited Partnership now owns 3,637,785 shares of the fast-food giant’s stock worth $1,130,587,000 after buying an additional 533,448 shares in the last quarter. Swiss National Bank lifted its holdings in shares of McDonald’s by 6.9% in the first quarter. Swiss National Bank now owns 2,089,980 shares of the fast-food giant’s stock worth $649,545,000 after buying an additional 134,480 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its holdings in shares of McDonald’s by 3.4% in the first quarter. Dimensional Fund Advisors LP now owns 1,909,321 shares of the fast-food giant’s stock worth $593,366,000 after buying an additional 62,562 shares in the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on MCD shares. UBS Group restated a “buy” rating on shares of McDonald’s in a research report on Monday, October 19th. Oppenheimer decreased their target price on shares of McDonald’s from $325.00 to $295.00 and set an “outperform” rating on the stock in a report on Thursday, September 24th. Freedom Capital upgraded shares of McDonald’s from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 5th. Daiwa Securities Group cut their price target on shares of McDonald’s from $309.00 to $293.00 and set an “outperform” rating for the company in a report on Thursday, August 6th. Finally, Rothschild & Co Redburn reduced their price target on shares of McDonald’s from $306.00 to $285.00 in a research report on Wednesday, August 26th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, fourteen have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $297.82.

McDonald’s Stock Up 0.2%

NYSE:MCD opened at $282.11 on Wednesday. The business’s 50-day moving average price is $249.44 and its two-hundred day moving average price is $282.33. McDonald’s Corporation has a twelve month low of $229.20 and a twelve month high of $341.75. The stock has a market cap of $199.11 billion, a P/E ratio of 22.32, a PEG ratio of 3.25 and a beta of 0.42.

McDonald’s (NYSE:MCD) last issued its quarterly earnings results on Wednesday, November 4th. The fast-food giant reported $3.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.38 by $0.19. McDonald’s had a negative return on equity of 826.29% and a net margin of 32.38%. The firm had revenue of $7.16 billion during the quarter, compared to the consensus estimate of $7.28 billion. During the same quarter last year, the company posted $3.22 EPS. The company’s revenue for the quarter was up 1.1% on a year-over-year basis. On average, equities research analysts expect that McDonald’s Corporation will post 12.91 EPS 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 given a $1.93 dividend. This represents a $7.72 annualized dividend and a dividend yield of 2.7%. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. The ex-dividend date is Tuesday, December 1st. McDonald’s’s dividend payout ratio (DPR) is currently 58.86%.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: McDonald’s is expanding its Uber partnership across 14 markets, adding delivery and digital-ordering capabilities and loyalty benefits. The effort could improve convenience and generate incremental sales. McDonald’s Expands Uber Partnership: Can It Drive More Growth?
• Positive Sentiment: The company is planning a broader beverage lineup to compete for customers’ drink purchases, potentially creating a new source of sales growth. McDonald’s new drinks take aim at your Starbucks order
• Positive Sentiment: A Pokémon Happy Meal promotion featuring toys and trading cards may boost customer interest and near-term visits, although the articles provide no estimate of its financial impact. McDonald’s x Pokémon collab is now live
• Negative Sentiment: Recent coverage highlights continuing U.S. challenges: guest counts are declining and quarterly revenue missed expectations, despite an earnings-per-share beat. A value bundle being tested at 1,900 restaurants could help, but its results remain uncertain. MCD Stock Outlook: Wall Street Eyes a Potential Upside Breakout After Q3 Results
• Negative Sentiment: One analysis says MCD’s roughly 24% rebound over the past month may have limited further upside, citing free-cash-flow figures. Higher Treasury yields may also weigh on stock valuations more broadly. McDonald’s Stock Is Up 24% in the Last Month – Is MCD Near a Peak?

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.