Arrowstreet Capital Limited Partnership Has $1.13 Billion Holdings in McDonald’s Corporation $MCD

Arrowstreet Capital Limited Partnership boosted its holdings in shares of McDonald’s Corporation (NYSE:MCD) by 17.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 3,637,785 shares of the fast-food giant’s stock after acquiring an additional 533,448 shares during the period. McDonald’s makes up approximately 0.6% of Arrowstreet Capital Limited Partnership’s investment portfolio, making the stock its 26th largest holding. Arrowstreet Capital Limited Partnership’s holdings in McDonald’s were worth $1,130,587,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Your Advocates Ltd. LLP acquired a new stake in McDonald’s during the 4th quarter worth approximately $27,000. IFC & Insurance Marketing Inc. acquired a new position in shares of McDonald’s in the fourth quarter valued at approximately $29,000. Abound Financial LLC bought a new stake in shares of McDonald’s during the fourth quarter worth $30,000. DecisionPoint Financial LLC increased its position in shares of McDonald’s by 1,616.7% during the fourth quarter. DecisionPoint Financial LLC now owns 103 shares of the fast-food giant’s stock worth $31,000 after acquiring an additional 97 shares in the last quarter. Finally, Entrust Financial LLC acquired a new stake in shares of McDonald’s during the fourth quarter worth $31,000. 70.29% of the stock is owned by institutional investors and hedge funds.

McDonald’s Stock Performance

Shares of NYSE MCD opened at $262.70 on Friday. The stock has a 50 day moving average price of $276.23 and a 200 day moving average price of $299.11. McDonald’s Corporation has a 52 week low of $260.96 and a 52 week high of $341.75. The stock has a market capitalization of $186.65 billion, a PE ratio of 21.66, a price-to-earnings-growth ratio of 2.83 and a beta of 0.41.

McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Thursday, May 7th. The fast-food giant reported $2.83 earnings per share for the quarter, beating analysts’ consensus estimates of $2.74 by $0.09. The firm had revenue of $6.52 billion during the quarter, compared to the consensus estimate of $6.47 billion. McDonald’s had a negative return on equity of 442.10% and a net margin of 31.62%.The business’s revenue was up 9.4% compared to the same quarter last year. During the same period last year, the company earned $2.67 earnings per share. As a group, research analysts forecast that McDonald’s Corporation will post 12.86 EPS for the current year.

McDonald’s Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd were issued a $1.86 dividend. This represents a $7.44 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend was Tuesday, June 2nd. McDonald’s’s dividend payout ratio is presently 61.34%.

Analysts Set New Price Targets

Several equities research analysts recently commented on the stock. Robert W. Baird set a $305.00 price objective on shares of McDonald’s in a research report on Thursday, May 7th. Weiss Ratings cut McDonald’s from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, June 23rd. Citigroup dropped their price target on McDonald’s from $375.00 to $335.00 and set a “buy” rating on the stock in a research note on Wednesday, July 15th. Rothschild & Co Redburn upgraded McDonald’s from a “sell” rating to a “neutral” rating and boosted their price target for the company from $260.00 to $306.00 in a report on Thursday, April 23rd. Finally, KeyCorp reaffirmed an “overweight” rating on shares of McDonald’s in a research report on Wednesday, July 15th. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $335.12.

Insider Buying and Selling at McDonald’s

In related news, insider Joseph M. Erlinger sold 5,252 shares of the firm’s stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total value of $1,493,248.64. Following the completion of the transaction, the insider directly owned 7,734 shares of the company’s stock, valued at approximately $2,198,930.88. This trade represents a 40.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Desiree Ralls-Morrison sold 2,763 shares of the business’s stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $278.36, for a total transaction of $769,108.68. Following the transaction, the executive vice president owned 6,268 shares in the company, valued at approximately $1,744,760.48. The trade was a 30.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 8,348 shares of company stock valued at $2,355,634 over the last three months. 0.26% of the stock is owned by company insiders.

McDonald’s Profile

McDonald’s Corporation (NYSE: MCD) is a global quick-service restaurant company best known for its hamburgers, French fries and breakfast offerings. The company develops, operates and franchises a system of restaurants that sell a range of food and beverage items, including signature products such as the Big Mac, Quarter Pounder, Chicken McNuggets, McCafé coffee beverages and a variety of salads, desserts and seasonal menu items. McDonald’s serves customers through company-operated restaurants and franchised locations, and it supports sales via dine-in, drive-thru, digital ordering platforms and third-party delivery partnerships.

Founded in 1940 by brothers Richard and Maurice McDonald as a single San Bernardino, California restaurant, the business was transformed into a franchising model after Ray Kroc joined in the mid-1950s and led the brand’s national and international expansion.