JPMorgan Chase & Co. Cuts McDonald’s (NYSE:MCD) Price Target to $290.00

McDonald’s (NYSE:MCD) had its price target reduced by JPMorgan Chase & Co. from $300.00 to $290.00 in a research note published on Wednesday, Benzinga reports. They currently have an overweight rating on the fast-food giant’s stock.

MCD has been the topic of a number of other reports. BMO Capital Markets dropped their price objective on shares of McDonald’s from $335.00 to $330.00 and set an outperform rating on the stock in a research note on Wednesday. Evercore ISI reaffirmed an outperform rating and issued a $330.00 target price on shares of McDonald’s in a report on Wednesday, March 27th. Wedbush lowered their target price on shares of McDonald’s from $330.00 to $300.00 and set an outperform rating on the stock in a report on Friday, April 26th. TD Cowen reaffirmed a buy rating and issued a $305.00 target price on shares of McDonald’s in a report on Tuesday. Finally, Citigroup lowered their target price on shares of McDonald’s from $312.00 to $297.00 and set a neutral rating on the stock in a report on Tuesday, April 16th. Nine investment analysts have rated the stock with a hold rating and twenty have given a buy rating to the company’s stock. According to data from MarketBeat, McDonald’s presently has an average rating of Moderate Buy and a consensus price target of $317.74.

McDonald’s Stock Performance

NYSE MCD opened at $270.32 on Wednesday. The firm has a market cap of $194.90 billion, a PE ratio of 22.95, a P/E/G ratio of 2.95 and a beta of 0.71. McDonald’s has a one year low of $245.73 and a one year high of $302.39. The firm’s fifty day moving average is $280.07 and its two-hundred day moving average is $282.21.

McDonald’s (NYSE:MCD) last posted its quarterly earnings data on Tuesday, April 30th. The fast-food giant reported $2.70 EPS for the quarter, missing analysts’ consensus estimates of $2.71 by ($0.01). The business had revenue of $6.17 billion during the quarter, compared to analyst estimates of $6.16 billion. McDonald’s had a net margin of 33.36% and a negative return on equity of 180.54%. The company’s revenue for the quarter was up 4.6% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.63 earnings per share. Research analysts predict that McDonald’s will post 12.18 earnings per share for the current year.

McDonald’s Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, March 15th. Shareholders of record on Friday, March 1st were issued a $1.67 dividend. This represents a $6.68 annualized dividend and a dividend yield of 2.47%. The ex-dividend date of this dividend was Thursday, February 29th. McDonald’s’s dividend payout ratio (DPR) is presently 56.71%.

Insider Activity

In other news, insider Joseph M. Erlinger sold 1,098 shares of the business’s stock in a transaction that occurred on Tuesday, April 23rd. The shares were sold at an average price of $276.64, for a total value of $303,750.72. Following the completion of the transaction, the insider now owns 16,977 shares of the company’s stock, valued at $4,696,517.28. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. In other news, insider Joseph M. Erlinger sold 1,098 shares of the business’s stock in a transaction that occurred on Tuesday, April 23rd. The shares were sold at an average price of $276.64, for a total value of $303,750.72. Following the completion of the transaction, the insider now owns 16,977 shares of the company’s stock, valued at $4,696,517.28. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Joseph M. Erlinger sold 1,099 shares of the business’s stock in a transaction that occurred on Friday, March 22nd. The shares were sold at an average price of $284.38, for a total transaction of $312,533.62. Following the completion of the transaction, the insider now directly owns 18,075 shares of the company’s stock, valued at approximately $5,140,168.50. The disclosure for this sale can be found here. Company insiders own 0.23% of the company’s stock.

Hedge Funds Weigh In On McDonald’s

A number of institutional investors have recently modified their holdings of MCD. Norges Bank acquired a new position in McDonald’s during the fourth quarter worth approximately $2,684,899,000. Gallagher Fiduciary Advisors LLC increased its position in McDonald’s by 141,160.9% during the fourth quarter. Gallagher Fiduciary Advisors LLC now owns 5,613,710 shares of the fast-food giant’s stock worth $1,664,521,000 after purchasing an additional 5,609,736 shares during the last quarter. International Assets Investment Management LLC increased its position in McDonald’s by 10,702.5% during the fourth quarter. International Assets Investment Management LLC now owns 2,174,426 shares of the fast-food giant’s stock worth $644,739,000 after purchasing an additional 2,154,297 shares during the last quarter. Price T Rowe Associates Inc. MD increased its position in McDonald’s by 15.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 7,347,048 shares of the fast-food giant’s stock worth $2,178,474,000 after purchasing an additional 987,099 shares during the last quarter. Finally, J.P. Morgan Private Wealth Advisors LLC acquired a new position in McDonald’s during the third quarter worth approximately $192,165,000. Institutional investors and hedge funds own 70.29% of the company’s stock.

About McDonald’s

McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.