Oracle Alpha Inc. Makes New $557,000 Investment in McDonald’s Co. (NYSE:MCD)

Oracle Alpha Inc. acquired a new stake in shares of McDonald’s Co. (NYSE:MCD) in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor acquired 1,878 shares of the fast-food giant’s stock, valued at approximately $557,000. McDonald’s comprises approximately 0.7% of Oracle Alpha Inc.’s portfolio, making the stock its 21st biggest holding.

Other large investors have also modified their holdings of the company. First National Advisers LLC raised its holdings in shares of McDonald’s by 52.7% in the 3rd quarter. First National Advisers LLC now owns 1,145 shares of the fast-food giant’s stock worth $302,000 after purchasing an additional 395 shares during the period. Mizuho Markets Americas LLC acquired a new position in McDonald’s during the third quarter valued at approximately $2,887,000. Truepoint Inc. grew its stake in McDonald’s by 154.9% during the third quarter. Truepoint Inc. now owns 2,427 shares of the fast-food giant’s stock worth $639,000 after buying an additional 1,475 shares during the period. Aviva PLC increased its position in shares of McDonald’s by 10.1% in the third quarter. Aviva PLC now owns 311,508 shares of the fast-food giant’s stock worth $82,064,000 after acquiring an additional 28,531 shares in the last quarter. Finally, Johnson Investment Counsel Inc. raised its stake in shares of McDonald’s by 1.3% in the 3rd quarter. Johnson Investment Counsel Inc. now owns 290,892 shares of the fast-food giant’s stock valued at $76,633,000 after acquiring an additional 3,597 shares during the period. 70.29% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at McDonald’s

In other McDonald’s news, insider Joseph M. Erlinger sold 1,098 shares of the firm’s stock in a transaction on Tuesday, April 23rd. The stock was sold at an average price of $276.64, for a total value of $303,750.72. Following the sale, the insider now directly owns 16,977 shares in the company, valued at $4,696,517.28. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In other news, insider Joseph M. Erlinger sold 1,099 shares of the business’s stock in a transaction that occurred on Thursday, May 23rd. The stock was sold at an average price of $265.13, for a total transaction of $291,377.87. Following the completion of the transaction, the insider now directly owns 15,878 shares in the company, valued at $4,209,734.14. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Joseph M. Erlinger sold 1,098 shares of the firm’s stock in a transaction that occurred on Tuesday, April 23rd. The shares were sold at an average price of $276.64, for a total value of $303,750.72. Following the completion of the sale, the insider now owns 16,977 shares in the company, valued at $4,696,517.28. The disclosure for this sale can be found here. Insiders sold 4,096 shares of company stock worth $1,127,678 in the last 90 days. 0.23% of the stock is currently owned by company insiders.

Analyst Ratings Changes

A number of brokerages recently weighed in on MCD. BMO Capital Markets decreased their price target on shares of McDonald’s from $335.00 to $330.00 and set an “outperform” rating for the company in a research report on Wednesday, May 1st. Guggenheim decreased their target price on McDonald’s from $325.00 to $315.00 and set a “buy” rating for the company in a research report on Thursday, May 2nd. Stifel Nicolaus dropped their target price on McDonald’s from $315.00 to $300.00 and set a “hold” rating on the stock in a report on Thursday, April 11th. UBS Group decreased their price target on McDonald’s from $340.00 to $335.00 and set a “buy” rating for the company in a report on Friday, April 5th. Finally, The Goldman Sachs Group began coverage on shares of McDonald’s in a research note on Thursday. They set a “neutral” rating and a $288.00 price objective on the stock. Ten investment analysts have rated the stock with a hold rating and twenty have assigned a buy rating to the company’s stock. According to MarketBeat.com, McDonald’s presently has a consensus rating of “Moderate Buy” and a consensus price target of $315.14.

McDonald’s Stock Performance

Shares of NYSE:MCD opened at $253.62 on Friday. McDonald’s Co. has a 1-year low of $245.73 and a 1-year high of $302.39. The company’s fifty day moving average is $265.90 and its two-hundred day moving average is $281.32. The stock has a market capitalization of $182.78 billion, a price-to-earnings ratio of 21.53, a price-to-earnings-growth ratio of 2.87 and a beta of 0.71.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Tuesday, April 30th. The fast-food giant reported $2.70 earnings per share for the quarter, missing the consensus estimate of $2.71 by ($0.01). McDonald’s had a negative return on equity of 180.74% and a net margin of 33.36%. The business had revenue of $6.17 billion for the quarter, compared to analyst estimates of $6.16 billion. During the same quarter last year, the company earned $2.63 EPS. McDonald’s’s revenue was up 4.6% compared to the same quarter last year. Sell-side analysts expect that McDonald’s Co. will post 12.17 EPS for the current fiscal year.

McDonald’s Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 17th. Investors of record on Monday, June 3rd will be given a dividend of $1.67 per share. The ex-dividend date is Monday, June 3rd. This represents a $6.68 dividend on an annualized basis and a yield of 2.63%. McDonald’s’s dividend payout ratio is currently 56.71%.

McDonald’s 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.