McDonald’s Corporation (NYSE:MCD) declared a quarterly dividend on Thursday, September 21st, RTT News reports. Stockholders of record on Friday, December 1st will be given a dividend of 1.01 per share by the fast-food giant on Friday, December 15th. This represents a $4.04 annualized dividend and a dividend yield of 2.36%. The ex-dividend date is Thursday, November 30th. This is a positive change from McDonald’s’s previous quarterly dividend of $0.94.
McDonald’s has raised its dividend by an average of 5.0% per year over the last three years and has increased its dividend every year for the last 40 years. McDonald’s has a payout ratio of 62.0% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect McDonald’s to earn $6.94 per share next year, which means the company should continue to be able to cover its $4.04 annual dividend with an expected future payout ratio of 58.2%.
Shares of McDonald’s (MCD) opened at $171.34 on Wednesday. The company has a current ratio of 1.28, a quick ratio of 1.27 and a debt-to-equity ratio of -8.17. The company has a market cap of $136,860.00, a P/E ratio of 26.42, a P/E/G ratio of 2.77 and a beta of 0.67. McDonald’s has a fifty-two week low of $117.71 and a fifty-two week high of $171.38.
McDonald’s (NYSE:MCD) last posted its quarterly earnings results on Tuesday, October 24th. The fast-food giant reported $1.76 EPS for the quarter, topping the consensus estimate of $1.75 by $0.01. The business had revenue of $5.75 billion during the quarter, compared to analysts’ expectations of $5.75 billion. McDonald’s had a net margin of 24.19% and a negative return on equity of 216.45%. The firm’s quarterly revenue was down 10.4% compared to the same quarter last year. During the same period last year, the company posted $1.62 earnings per share. analysts anticipate that McDonald’s will post 6.52 EPS for the current year.
MCD has been the subject of several research reports. Longbow Research upgraded shares of McDonald’s from a “neutral” rating to a “buy” rating and raised their price target for the stock from $154.05 to $183.00 in a report on Thursday, September 28th. Zacks Investment Research upgraded shares of McDonald’s from a “hold” rating to a “buy” rating and set a $178.00 target price for the company in a research note on Tuesday, September 26th. Credit Suisse Group set a $170.00 target price on shares of McDonald’s and gave the company a “buy” rating in a research note on Wednesday, September 20th. Sanford C. Bernstein set a $180.00 target price on shares of McDonald’s and gave the company a “buy” rating in a research note on Tuesday, September 19th. Finally, Mizuho reiterated a “buy” rating and issued a $173.00 target price (up from $170.00) on shares of McDonald’s in a research note on Wednesday, September 13th. Eleven equities research analysts have rated the stock with a hold rating and twenty-four have issued a buy rating to the stock. McDonald’s has a consensus rating of “Buy” and an average price target of $169.96.
In other McDonald’s news, insider Stephen Easterbrook sold 171,577 shares of the business’s stock in a transaction on Tuesday, November 21st. The shares were sold at an average price of $168.32, for a total value of $28,879,840.64. Following the sale, the insider now owns 49,778 shares of the company’s stock, valued at approximately $8,378,632.96. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, VP James R. Sappington sold 8,046 shares of the business’s stock in a transaction on Wednesday, October 25th. The shares were sold at an average price of $165.00, for a total transaction of $1,327,590.00. Following the completion of the sale, the vice president now directly owns 15,739 shares in the company, valued at approximately $2,596,935. The disclosure for this sale can be found here. Insiders own 0.24% of the company’s stock.
A number of institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased its holdings in McDonald’s by 1.6% in the 2nd quarter. Vanguard Group Inc. now owns 57,300,686 shares of the fast-food giant’s stock valued at $8,776,174,000 after buying an additional 906,303 shares during the period. BlackRock Inc. increased its holdings in McDonald’s by 3.0% in the 2nd quarter. BlackRock Inc. now owns 54,606,388 shares of the fast-food giant’s stock valued at $8,363,515,000 after buying an additional 1,586,761 shares during the period. Capital World Investors boosted its stake in shares of McDonald’s by 2.8% in the 2nd quarter. Capital World Investors now owns 22,288,104 shares of the fast-food giant’s stock valued at $3,413,646,000 after purchasing an additional 606,232 shares in the last quarter. Capital Research Global Investors boosted its stake in shares of McDonald’s by 15.0% in the 2nd quarter. Capital Research Global Investors now owns 12,058,661 shares of the fast-food giant’s stock valued at $1,846,905,000 after purchasing an additional 1,572,074 shares in the last quarter. Finally, Northern Trust Corp boosted its stake in shares of McDonald’s by 3.1% in the 2nd quarter. Northern Trust Corp now owns 11,835,647 shares of the fast-food giant’s stock valued at $1,812,747,000 after purchasing an additional 360,212 shares in the last quarter. 67.40% of the stock is currently owned by hedge funds and other institutional investors.
McDonald’s Company Profile
McDonald’s Corporation (McDonald’s) operates and franchises McDonald’s restaurants. The Company’s restaurants serve a locally relevant menu of food and drinks sold at various price points in over 100 countries. The Company’s segments include U.S., International Lead Markets, High Growth Markets, and Foundational Markets and Corporate.