Citigroup Has Lowered Expectations for McDonald’s (NYSE:MCD) Stock Price

McDonald’s (NYSE:MCD) had its price target cut by equities researchers at Citigroup from $360.00 to $353.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The firm currently has a “buy” rating on the fast-food giant’s stock. Citigroup’s target price would indicate a potential upside of 17.79% from the company’s previous close.

Other research analysts have also issued reports about the stock. Loop Capital reissued a “buy” rating and set a $342.00 target price on shares of McDonald’s in a research note on Friday, January 3rd. Barclays raised their target price on McDonald’s from $347.00 to $350.00 and gave the company an “overweight” rating in a research note on Monday, February 10th. Piper Sandler dropped their price target on McDonald’s from $297.00 to $290.00 and set a “neutral” rating on the stock in a research note on Tuesday, February 4th. BMO Capital Markets raised their price objective on McDonald’s from $335.00 to $340.00 and gave the company an “outperform” rating in a research note on Tuesday, February 11th. Finally, TD Securities reaffirmed a “hold” rating and set a $300.00 target price on shares of McDonald’s in a research report on Monday, February 10th. Nine analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $323.30.

McDonald’s Trading Down 5.8 %

Shares of McDonald’s stock opened at $299.68 on Thursday. The company has a market cap of $214.11 billion, a P/E ratio of 26.31, a PEG ratio of 3.10 and a beta of 0.62. The business has a 50-day moving average price of $304.34 and a two-hundred day moving average price of $298.72. McDonald’s has a 1-year low of $243.53 and a 1-year high of $326.32.

McDonald’s (NYSE:MCD) last issued its earnings results on Monday, February 10th. The fast-food giant reported $2.83 earnings per share for the quarter, hitting analysts’ consensus estimates of $2.83. McDonald’s had a negative return on equity of 181.63% and a net margin of 31.73%. Equities research analysts forecast that McDonald’s will post 12.25 EPS for the current fiscal year.

Insider Activity

In other news, CEO Christopher J. Kempczinski sold 10,500 shares of the company’s stock in a transaction on Tuesday, February 11th. The stock was sold at an average price of $310.05, for a total transaction of $3,255,525.00. Following the transaction, the chief executive officer now owns 32,756 shares of the company’s stock, valued at $10,155,997.80. This represents a 24.27 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Manuel Jm Steijaert sold 10,459 shares of McDonald’s stock in a transaction dated Monday, February 24th. The stock was sold at an average price of $308.71, for a total value of $3,228,797.89. Following the completion of the sale, the executive vice president now directly owns 4,606 shares of the company’s stock, valued at approximately $1,421,918.26. This trade represents a 69.43 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 27,497 shares of company stock valued at $8,461,400 in the last three months. Company insiders own 0.23% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Norges Bank purchased a new position in McDonald’s during the 4th quarter valued at about $2,725,190,000. Raymond James Financial Inc. purchased a new position in McDonald’s during the fourth quarter valued at approximately $703,074,000. Castlekeep Investment Advisors LLC bought a new stake in McDonald’s during the 4th quarter worth approximately $350,935,000. Northern Trust Corp lifted its stake in McDonald’s by 11.2% in the 4th quarter. Northern Trust Corp now owns 8,867,193 shares of the fast-food giant’s stock worth $2,570,511,000 after purchasing an additional 895,896 shares in the last quarter. Finally, Franklin Resources Inc. boosted its holdings in McDonald’s by 24.4% in the 4th quarter. Franklin Resources Inc. now owns 4,054,387 shares of the fast-food giant’s stock valued at $1,175,326,000 after purchasing an additional 794,536 shares during the period. 70.29% of the stock is owned by institutional investors.

McDonald’s Company Profile

McDonald’s Corp. engages in the operation and franchising of restaurants. It operates through the following segments: U.S., International Operated Markets, and International Developmental Licensed Markets and Corporate. The U.S. segment focuses its operations on the United States. The International Operated Markets segment consists of operations and the franchising of restaurants in Australia, Canada, France, Germany, Italy, the Netherlands, Spain, and the U.K.