Citigroup Forecasts Strong Price Appreciation for McDonald’s (NYSE:MCD) Stock

McDonald’s (NYSE:MCDGet Free Report) had its price objective hoisted by equities researchers at Citigroup from $334.00 to $336.00 in a research report issued to clients and investors on Tuesday,Benzinga reports. The brokerage presently has a “buy” rating on the fast-food giant’s stock. Citigroup’s price target would suggest a potential upside of 15.70% from the stock’s previous close.

Several other analysts also recently weighed in on MCD. Wells Fargo & Company lifted their target price on shares of McDonald’s from $285.00 to $350.00 and gave the company an “overweight” rating in a report on Monday, October 21st. Evercore ISI increased their price objective on McDonald’s from $320.00 to $340.00 and gave the company an “outperform” rating in a research note on Tuesday, October 15th. Loop Capital reiterated a “buy” rating and issued a $342.00 target price on shares of McDonald’s in a report on Friday, January 3rd. Argus raised McDonald’s from a “hold” rating to a “buy” rating in a research note on Tuesday, October 8th. Finally, TD Cowen reissued a “hold” rating and set a $300.00 target price on shares of McDonald’s in a research note on Tuesday, October 29th. Ten equities research analysts have rated the stock with a hold rating and eighteen have assigned a buy rating to the company’s stock. According to MarketBeat, McDonald’s presently has an average rating of “Moderate Buy” and an average price target of $320.87.

Read Our Latest Report on MCD

McDonald’s Stock Performance

McDonald’s stock opened at $290.41 on Tuesday. McDonald’s has a fifty-two week low of $243.53 and a fifty-two week high of $317.90. The firm has a 50 day moving average price of $291.12 and a 200 day moving average price of $289.23. The company has a market capitalization of $208.11 billion, a PE ratio of 25.50, a price-to-earnings-growth ratio of 3.66 and a beta of 0.73.

McDonald’s (NYSE:MCDGet Free Report) last posted its earnings results on Tuesday, October 29th. The fast-food giant reported $3.23 earnings per share for the quarter, beating the consensus estimate of $3.18 by $0.05. McDonald’s had a net margin of 31.79% and a negative return on equity of 175.42%. The firm had revenue of $6.87 billion during the quarter, compared to the consensus estimate of $6.82 billion. During the same quarter last year, the firm earned $3.19 EPS. The firm’s revenue for the quarter was up 2.7% on a year-over-year basis. As a group, equities research analysts forecast that McDonald’s will post 11.72 earnings per share for the current year.

Insider Activity

In other McDonald’s news, EVP Marion K. Gross sold 1,499 shares of the company’s stock in a transaction that occurred on Friday, November 1st. The stock was sold at an average price of $294.51, for a total transaction of $441,470.49. Following the completion of the sale, the executive vice president now directly owns 1,560 shares of the company’s stock, valued at $459,435.60. This represents a 49.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Joseph M. Erlinger sold 300 shares of the company’s stock in a transaction that occurred on Thursday, January 23rd. The shares were sold at an average price of $280.75, for a total value of $84,225.00. Following the sale, the insider now directly owns 7,887 shares of the company’s stock, valued at approximately $2,214,275.25. This represents a 3.66 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 8,905 shares of company stock valued at $2,592,327. Insiders own 0.23% of the company’s stock.

Institutional Trading of McDonald’s

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Legacy Investment Solutions LLC acquired a new position in McDonald’s during the 3rd quarter worth approximately $25,000. Comprehensive Financial Planning Inc. PA acquired a new position in McDonald’s during the 4th quarter worth approximately $27,000. Collier Financial acquired a new position in McDonald’s during the 4th quarter worth approximately $29,000. RPg Family Wealth Advisory LLC acquired a new position in McDonald’s during the 3rd quarter worth approximately $31,000. Finally, Hara Capital LLC acquired a new position in McDonald’s during the 3rd quarter worth approximately $44,000. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s Company Profile

(Get Free Report)

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.

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Analyst Recommendations for McDonald's (NYSE:MCD)

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