McDonald’s (NYSE:MCD) Rating Increased to Buy at Citigroup

McDonald’s (NYSE:MCD) was upgraded by equities research analysts at Citigroup from a “neutral” rating to a “buy” rating in a report issued on Friday,Benzinga reports. The firm presently has a $334.00 price target on the fast-food giant’s stock, up from their previous price target of $311.00. Citigroup’s price objective would indicate a potential upside of 16.46% from the stock’s previous close.

A number of other research firms also recently weighed in on MCD. Bank of America lifted their target price on McDonald’s from $321.00 to $324.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 30th. Barclays upped their target price on McDonald’s from $300.00 to $325.00 and gave the company an “overweight” rating in a research note on Tuesday, October 22nd. Loop Capital reissued a “buy” rating and issued a $342.00 price target on shares of McDonald’s in a report on Friday, January 3rd. Wedbush reaffirmed an “outperform” rating and set a $295.00 price objective on shares of McDonald’s in a report on Wednesday, October 23rd. Finally, UBS Group lifted their target price on shares of McDonald’s from $305.00 to $345.00 and gave the company a “buy” rating in a research report on Wednesday, October 9th. Ten investment analysts have rated the stock with a hold rating and eighteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $321.39.

McDonald’s Stock Down 0.9 %

Shares of NYSE MCD opened at $286.79 on Friday. McDonald’s has a 12 month low of $243.53 and a 12 month high of $317.90. The company has a market cap of $205.52 billion, a P/E ratio of 25.18, a P/E/G ratio of 3.95 and a beta of 0.73. The business’s 50 day moving average is $294.20 and its two-hundred day moving average is $285.92.

McDonald’s (NYSE:MCD) last released its earnings results on Tuesday, October 29th. The fast-food giant reported $3.23 EPS for the quarter, beating the consensus estimate of $3.18 by $0.05. The firm had revenue of $6.87 billion during the quarter, compared to analysts’ expectations of $6.82 billion. McDonald’s had a net margin of 31.79% and a negative return on equity of 175.42%. The business’s quarterly revenue was up 2.7% compared to the same quarter last year. During the same period in the prior year, the company earned $3.19 EPS. Sell-side analysts expect that McDonald’s will post 11.75 earnings per share for the current fiscal year.

Insider Buying and Selling at McDonald’s

In related news, EVP Marion K. Gross sold 1,499 shares of McDonald’s stock in a transaction that occurred on Thursday, January 2nd. The shares were sold at an average price of $290.95, for a total transaction of $436,134.05. Following the transaction, the executive vice president now owns 1,560 shares of the company’s stock, valued at $453,882. This trade represents a 49.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CMO Edith Morgan Flatley sold 2,346 shares of the company’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 sale, the chief marketing officer now directly owns 2,905 shares of the company’s stock, valued at $900,550. The trade was a 44.68 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 12,050 shares of company stock valued at $3,556,688. 0.23% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Fortitude Family Office LLC increased its stake in McDonald’s by 39.4% during the 4th quarter. Fortitude Family Office LLC now owns 4,214 shares of the fast-food giant’s stock worth $1,222,000 after purchasing an additional 1,190 shares in the last quarter. First Hawaiian Bank increased its position in shares of McDonald’s by 1.7% during the fourth quarter. First Hawaiian Bank now owns 11,191 shares of the fast-food giant’s stock worth $3,244,000 after acquiring an additional 184 shares in the last quarter. Douglas Lane & Associates LLC raised its holdings in shares of McDonald’s by 23.4% during the fourth quarter. Douglas Lane & Associates LLC now owns 2,359 shares of the fast-food giant’s stock worth $684,000 after acquiring an additional 447 shares during the period. InvesTrust bought a new stake in McDonald’s in the 4th quarter valued at $8,015,000. Finally, Innova Wealth Partners acquired a new position in McDonald’s in the 4th quarter worth $242,000. 70.29% of the stock is owned by institutional investors and hedge funds.

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.