Pegasus Partners Ltd. Cuts Stake in McDonald’s Co. (NYSE:MCD)

Pegasus Partners Ltd. trimmed its position in shares of McDonald’s Co. (NYSE:MCD) by 24.7% during the 3rd quarter, HoldingsChannel.com reports. The firm owned 2,223 shares of the fast-food giant’s stock after selling 728 shares during the period. Pegasus Partners Ltd.’s holdings in McDonald’s were worth $677,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of the company. International Assets Investment Management LLC increased its position in shares of McDonald’s by 31,151.1% during the third quarter. International Assets Investment Management LLC now owns 2,319,142 shares of the fast-food giant’s stock valued at $706,202,000 after acquiring an additional 2,311,721 shares in the last quarter. Capital Research Global Investors increased its holdings in shares of McDonald’s by 66.9% in the 1st quarter. Capital Research Global Investors now owns 5,471,007 shares of the fast-food giant’s stock worth $1,542,550,000 after purchasing an additional 2,193,769 shares in the last quarter. Swedbank AB purchased a new position in shares of McDonald’s in the first quarter worth $348,206,000. Capital World Investors lifted its holdings in shares of McDonald’s by 39.7% during the first quarter. Capital World Investors now owns 3,565,398 shares of the fast-food giant’s stock valued at $1,005,264,000 after purchasing an additional 1,012,534 shares in the last quarter. Finally, Mondrian Investment Partners LTD purchased a new stake in shares of McDonald’s during the second quarter valued at $110,321,000. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s Price Performance

Shares of NYSE MCD opened at $298.97 on Friday. The stock has a market capitalization of $214.46 billion, a P/E ratio of 26.25, a PEG ratio of 3.91 and a beta of 0.74. The business’s 50 day moving average is $299.08 and its two-hundred day moving average is $276.64. McDonald’s Co. has a 1-year low of $243.53 and a 1-year high of $317.90.

McDonald’s (NYSE:MCD) last announced 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 178.99%. The business had revenue of $6.87 billion for the quarter, compared to the consensus estimate of $6.82 billion. During the same quarter in the prior year, the firm posted $3.19 earnings per share. The business’s revenue for the quarter was up 2.7% on a year-over-year basis. As a group, equities research analysts anticipate that McDonald’s Co. will post 11.77 earnings per share for the current fiscal year.

McDonald’s Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 16th. Shareholders of record on Monday, December 2nd will be given a dividend of $1.77 per share. This represents a $7.08 annualized dividend and a dividend yield of 2.37%. The ex-dividend date of this dividend is Monday, December 2nd. This is a positive change from McDonald’s’s previous quarterly dividend of $1.67. McDonald’s’s payout ratio is 58.65%.

Insider Buying and Selling

In other McDonald’s news, CEO Christopher J. Kempczinski sold 11,727 shares of the stock in a transaction on Monday, September 23rd. The stock was sold at an average price of $300.03, for a total value of $3,518,451.81. Following the sale, the chief executive officer now owns 49,885 shares in the company, valued at $14,966,996.55. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. In other McDonald’s news, EVP Marion K. Gross sold 1,498 shares of McDonald’s stock in a transaction on Tuesday, September 3rd. The stock was sold at an average price of $286.36, for a total transaction of $428,967.28. Following the completion of the sale, the executive vice president now directly owns 1,560 shares of the company’s stock, valued at $446,721.60. The trade was a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Christopher J. Kempczinski sold 11,727 shares of the stock in a transaction on Monday, September 23rd. The stock was sold at an average price of $300.03, for a total value of $3,518,451.81. Following the transaction, the chief executive officer now directly owns 49,885 shares in the company, valued at $14,966,996.55. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 35,596 shares of company stock valued at $10,698,289. Insiders own 0.23% of the company’s stock.

Analysts Set New Price Targets

MCD has been the subject of a number of recent analyst reports. Wedbush reissued an “outperform” rating and issued a $295.00 target price on shares of McDonald’s in a research report on Wednesday, October 23rd. Deutsche Bank Aktiengesellschaft lowered their price target on McDonald’s from $295.00 to $290.00 and set a “buy” rating on the stock in a report on Tuesday, July 30th. Morgan Stanley lifted their price objective on McDonald’s from $296.00 to $340.00 and gave the stock an “overweight” rating in a report on Tuesday, October 15th. Jefferies Financial Group raised their target price on McDonald’s from $310.00 to $330.00 and gave the stock a “buy” rating in a research report on Monday, September 9th. Finally, JPMorgan Chase & Co. raised their price objective on shares of McDonald’s from $270.00 to $290.00 and gave the stock an “overweight” rating in a report on Monday, September 16th. Thirteen research analysts have rated the stock with a hold rating and eighteen have issued a buy rating to the company’s stock. According to data from MarketBeat, McDonald’s currently has an average rating of “Moderate Buy” and a consensus target price of $319.46.

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.