Q3 2024 EPS Estimates for McDonald’s Co. Decreased by Zacks Research (NYSE:MCD)

McDonald’s Co. (NYSE:MCD) – Stock analysts at Zacks Research dropped their Q3 2024 earnings per share (EPS) estimates for McDonald’s in a research note issued on Monday, August 12th. Zacks Research analyst H. Ray now anticipates that the fast-food giant will earn $3.16 per share for the quarter, down from their previous forecast of $3.27. The consensus estimate for McDonald’s’ current full-year earnings is $11.71 per share. Zacks Research also issued estimates for McDonald’s’ Q4 2024 earnings at $2.92 EPS, Q1 2025 earnings at $2.80 EPS, Q2 2025 earnings at $3.13 EPS, Q3 2025 earnings at $3.30 EPS, FY2025 earnings at $12.45 EPS, Q1 2026 earnings at $3.02 EPS, Q2 2026 earnings at $3.45 EPS and FY2026 earnings at $13.55 EPS.

McDonald’s (NYSE:MCD) last announced its quarterly earnings data on Monday, July 29th. The fast-food giant reported $2.97 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.07 by ($0.10). McDonald’s had a negative return on equity of 178.92% and a net margin of 32.25%. The firm had revenue of $6.49 billion during the quarter, compared to the consensus estimate of $6.62 billion. During the same period last year, the company earned $3.17 EPS. The firm’s revenue for the quarter was down .1% compared to the same quarter last year.

Other analysts have also issued research reports about the company. Citigroup lowered their target price on McDonald’s from $280.00 to $275.00 and set a “neutral” rating for the company in a report on Tuesday, July 30th. Evercore ISI lowered their target price on McDonald’s from $330.00 to $300.00 and set an “outperform” rating for the company in a report on Tuesday, July 16th. Stifel Nicolaus lowered their target price on McDonald’s from $285.00 to $265.00 and set a “hold” rating for the company in a report on Monday, July 22nd. Robert W. Baird lowered their target price on McDonald’s from $305.00 to $300.00 and set an “outperform” rating for the company in a report on Wednesday, May 1st. Finally, Truist Financial lowered their target price on McDonald’s from $300.00 to $295.00 and set a “buy” rating for the company in a report on Tuesday, July 30th. Eleven investment analysts have rated the stock with a hold rating and twenty have assigned a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $303.00.

McDonald’s Stock Up 1.4 %

Shares of NYSE:MCD opened at $274.87 on Wednesday. McDonald’s has a 52-week low of $243.53 and a 52-week high of $302.39. The stock has a market cap of $198.09 billion, a P/E ratio of 23.33, a price-to-earnings-growth ratio of 3.58 and a beta of 0.71. The business’s 50 day moving average is $258.26 and its 200 day moving average is $271.29.

McDonald’s Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 17th. Stockholders of record on Tuesday, September 3rd will be given a dividend of $1.67 per share. This represents a $6.68 dividend on an annualized basis and a dividend yield of 2.43%. The ex-dividend date of this dividend is Tuesday, September 3rd. McDonald’s’s dividend payout ratio (DPR) is presently 56.71%.

Insider Activity

In other news, insider Joseph M. Erlinger sold 1,099 shares of the firm’s stock in a transaction dated Tuesday, July 23rd. The stock was sold at an average price of $260.00, for a total transaction of $285,740.00. Following the sale, the insider now directly owns 13,681 shares in the company, valued at approximately $3,557,060. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In other news, EVP Marion K. Gross sold 1,498 shares of the firm’s stock in a transaction dated Wednesday, July 3rd. The stock was sold at an average price of $248.26, for a total transaction of $371,893.48. Following the sale, the executive vice president now directly owns 1,560 shares in the company, valued at approximately $387,285.60. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Joseph M. Erlinger sold 1,099 shares of the firm’s stock in a transaction dated Tuesday, July 23rd. The shares were sold at an average price of $260.00, for a total transaction of $285,740.00. Following the completion of the transaction, the insider now directly owns 13,681 shares in the company, valued at $3,557,060. The disclosure for this sale can be found here. Insiders have sold 4,794 shares of company stock worth $1,234,491 in the last ninety days. Company insiders own 0.23% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Dixon Mitchell Investment Counsel Inc. purchased a new position in McDonald’s in the 1st quarter valued at about $28,000. Signature Resources Capital Management LLC purchased a new position in McDonald’s in the 4th quarter worth approximately $31,000. Clear Investment Research LLC purchased a new position in McDonald’s in the 4th quarter worth approximately $38,000. Atlantic Edge Private Wealth Management LLC purchased a new position in McDonald’s in the 4th quarter worth approximately $39,000. Finally, Kings Path Partners LLC purchased a new position in McDonald’s in the 2nd quarter worth approximately $38,000. 70.29% of the stock is owned by hedge funds and other institutional investors.

About McDonald’s

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.