Robert W. Baird Lowers McDonald’s (NYSE:MCD) to Neutral

McDonald’s (NYSE:MCD) was downgraded by research analysts at Robert W. Baird from an “outperform” rating to a “neutral” rating in a report released on Wednesday, MarketBeat.com reports. They currently have a $290.00 price target on the fast-food giant’s stock, down from their previous price target of $320.00. Robert W. Baird’s target price would indicate a potential downside of 3.85% from the company’s current price.

Other analysts have also recently issued research reports about the company. BMO Capital Markets reduced their price objective on McDonald’s from $330.00 to $315.00 and set an “outperform” rating for the company in a research report on Tuesday, July 30th. Morgan Stanley lifted their price target on McDonald’s from $296.00 to $340.00 and gave the company an “overweight” rating in a report on Tuesday, October 15th. Barclays increased their price objective on McDonald’s from $300.00 to $325.00 and gave the stock an “overweight” rating in a report on Tuesday. Bank of America lifted their target price on shares of McDonald’s from $308.00 to $322.00 and gave the company a “neutral” rating in a research note on Monday. Finally, Stifel Nicolaus dropped their price target on shares of McDonald’s from $285.00 to $265.00 and set a “hold” rating on the stock in a research note on Monday, July 22nd. Thirteen research analysts have rated the stock with a hold rating and nineteen have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $318.22.

McDonald’s Price Performance

Shares of MCD opened at $301.61 on Wednesday. The business’s 50-day moving average is $296.97 and its 200-day moving average is $274.51. The company has a market capitalization of $217.36 billion, a price-to-earnings ratio of 25.60, a P/E/G ratio of 4.05 and a beta of 0.73. McDonald’s has a fifty-two week low of $243.53 and a fifty-two week high of $317.90.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Monday, July 29th. The fast-food giant reported $2.97 earnings per share for the quarter, missing the consensus estimate of $3.07 by ($0.10). The company had revenue of $6.49 billion during the quarter, compared to analyst estimates of $6.62 billion. McDonald’s had a net margin of 32.25% and a negative return on equity of 178.68%. The firm’s quarterly revenue was down .1% compared to the same quarter last year. During the same quarter in the prior year, the company posted $3.17 EPS. Equities research analysts expect that McDonald’s will post 11.71 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CMO Edith Morgan Flatley sold 2,346 shares of the stock in a transaction on Monday, October 14th. The stock was sold at an average price of $310.00, for a total value of $727,260.00. Following the transaction, the chief marketing officer now owns 2,905 shares of the company’s stock, valued at $900,550. This represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In related news, CMO Edith Morgan Flatley sold 2,346 shares of the business’s stock in a transaction that occurred on Monday, October 14th. The shares were sold at an average price of $310.00, for a total transaction of $727,260.00. Following the completion of the transaction, the chief marketing officer now owns 2,905 shares in the company, valued at approximately $900,550. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Christopher J. Kempczinski sold 9,291 shares of the company’s stock in a transaction that occurred on Friday, September 27th. The shares were sold at an average price of $305.00, for a total transaction of $2,833,755.00. Following the completion of the sale, the chief executive officer now directly owns 43,256 shares of the company’s stock, valued at $13,193,080. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 32,998 shares of company stock valued at $9,935,493. Company insiders own 0.23% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Hunter Associates Investment Management LLC lifted its holdings in shares of McDonald’s by 2.6% during the 3rd quarter. Hunter Associates Investment Management LLC now owns 9,962 shares of the fast-food giant’s stock valued at $3,031,000 after purchasing an additional 252 shares in the last quarter. Orrstown Financial Services Inc. lifted its stake in McDonald’s by 74.8% in the third quarter. Orrstown Financial Services Inc. now owns 4,058 shares of the fast-food giant’s stock valued at $1,236,000 after buying an additional 1,736 shares in the last quarter. Old Port Advisors boosted its holdings in shares of McDonald’s by 14.1% in the third quarter. Old Port Advisors now owns 1,027 shares of the fast-food giant’s stock valued at $313,000 after buying an additional 127 shares during the period. Nisa Investment Advisors LLC increased its position in shares of McDonald’s by 5.1% during the third quarter. Nisa Investment Advisors LLC now owns 232,093 shares of the fast-food giant’s stock worth $70,675,000 after acquiring an additional 11,224 shares in the last quarter. Finally, Concord Wealth Partners raised its holdings in shares of McDonald’s by 0.8% during the third quarter. Concord Wealth Partners now owns 8,446 shares of the fast-food giant’s stock worth $2,572,000 after acquiring an additional 65 shares during the period. 70.29% of the stock is currently owned by institutional investors.

McDonald’s Company Profile

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.