McDonald's Corporation

New York Stock Exchange
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Bullish +62

McDonald's Corporation (NYSE:MCD) Receives Consensus Rating of ...

📊 Analysts maintain a consensus 'Moderate Buy' rating with an average twelve-month price target of $335.70.

💰 Q1 earnings beat expectations with EPS of $2.83 versus the $2.74 consensus estimate.

📈 Revenue grew 9.4% year-over-year to reach $6.52 billion, exceeding analyst forecasts of $6.47 billion.

🏦 Institutional investors increased stakes significantly, with Franklin Resources growing its position by 36.6% in the third quarter.

💸 Corporate insiders sold over $3.2 million worth of stock in the last three months, reducing personal holdings.

📉 KeyCorp lowered its price target to $315 while maintaining an 'overweight' rating on the stock.

🍔 The company reported a net margin of 31.62% and a negative return on equity of 442.10% for the quarter.

💵 A quarterly dividend of $1.86 was paid, resulting in an annualized yield of 2.7%.

Bullish Signals
  • McDonald's reported EPS of $2.83, beating analyst consensus estimates by $0.09.
  • Revenue increased 9.4% year-over-year to $6.52 billion, surpassing the $6.47 billion estimate.
  • Major institutional investors like Franklin Resources and Viking Global Investors significantly increased their holdings in recent quarters.
  • The stock maintains a 'Moderate Buy' consensus rating from thirty analysts with an average price target of $335.70.
  • Rothschild & Co Redburn raised its price objective to $306 after upgrading the rating from sell to neutral.
Risk Factors
  • Corporate insiders sold a total of 11,307 shares valued at $3.26 million over the last three months.
  • EVP Desiree Ralls-Morrison reduced her personal stake by 30.59% in a transaction worth approximately $769,000.
  • Insider Joseph M. Erlinger sold 5,252 shares representing a 40.44% decrease in his position for about $1.49 million.
  • KeyCorp lowered its price target from $330 to $315 despite maintaining an overweight rating.
Full Analysis
McDonald's Corporation (NYSE:MCD) maintains a consensus analyst rating of 'Moderate Buy' based on reports from thirty firms, with sixteen analysts recommending a buy, thirteen holding, and one selling. The average twelve-month price target stands at $335.70. Recent analyst activity includes KeyCorp lowering its target to $315 while maintaining an overweight rating, Morgan Stanley setting a $331 target, and Cfra upgrading the stock to 'buy'. Conversely, Erste Group Bank downgraded the rating to 'hold', though Rothschild & Co Redburn raised its price objective to $306 after moving from a sell to neutral. The company reported strong quarterly financial results for the quarter ended May 7th, posting earnings per share (EPS) of $2.83, which beat the consensus estimate of $2.74 by $0.09. Revenue reached $6.52 billion, surpassing analyst expectations of $6.47 billion and representing a 9.4% year-over-year increase. The business achieved a net margin of 31.62% and reported revenue growth driven by its global quick-service restaurant operations. Institutional ownership remains robust at 70.29%, with significant recent accumulation from major funds including Norges Bank, Diamant Asset Management, J. Stern & Co., Viking Global Investors, and Franklin Resources. However, corporate insiders have been net sellers over the last three months, with EVP Desiree Ralls-Morrison and Joseph M. Erlinger reducing their personal holdings by approximately 30% and 40% respectively, selling shares valued at over $3 million combined.