McDonald’s Corporation [NYSE: MCD] traded at a high on 11/16/20, posting a 1.62 gain after which it closed the day’ session at $216.73. The company report on November 9, 2020 that McDonald’s Announces New Growth Strategy.
McDonald’s Corporation announces a new growth strategy, Accelerating the Arches, which encompasses all aspects of McDonald’s business as the leading global omni-channel restaurant brand. The strategy includes a refreshed purpose to feed and foster the communities McDonald’s and its franchisees serve around the world, updated values that guide actions and behaviors, and growth pillars that build on McDonald’s competitive advantages.
The growth pillars, which are rooted in the Company’s identity, MCD, build on historic strengths and articulate areas of further opportunity. Specifically, the Company will animate the MCD in the following ways:.
The results of the trading session contributed to over 3698921 shares changing hands. Over the past one week, the price volatility of McDonald’s Corporation stands at 2.05% while the volatility over the past one month is 2.38%.
The market cap for MCD stock reached $161.33 billion, with 744.50 million shares outstanding and 743.45 million shares in the current float. Compared to the average trading volume of 2.91M shares, MCD reached a trading volume of 3698921 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about McDonald’s Corporation [MCD]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for MCD shares is $239.27 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on MCD stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
RBC Capital Mkts have made an estimate for McDonald’s Corporation shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on November 03, 2020. While these analysts kept the previous recommendation, Telsey Advisory Group raised their target price from $230 to $250. The new note on the price target was released on November 02, 2020, representing the official price target for McDonald’s Corporation stock. Previously, the target price had yet another raise from $220 to $250, while BofA Securities kept a Buy rating on MCD stock. On September 04, 2020, analysts increased their price target for MCD shares from 210 to 230.
The Average True Range (ATR) for McDonald’s Corporation is set at 5.20, with the Price to Sales ratio for MCD stock in the period of the last 12 months amounting to 8.38. Price to Free Cash Flow for MCD in the course of the last twelve months was 306.94 with Quick ratio for the last quarter at 1.10.
How has MCD stock performed recently?
McDonald’s Corporation [MCD] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 1.65. With this latest performance, MCD shares dropped by -5.51% in over the last four-week period, additionally plugging by 20.69% over the last 6 months – not to mention a rise of 11.73% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for MCD stock in for the last two-week period is set at 47.25, with the RSI for the last a single of trading hit 49.41, and the three-weeks RSI is set at 48.42 for McDonald’s Corporation [MCD]. The present Moving Average for the last 50 days of trading for this stock 220.39, while it was recorded at 214.88 for the last single week of trading, and 198.05 for the last 200 days.
McDonald’s Corporation [MCD]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and McDonald’s Corporation [MCD] shares currently have an operating margin of +41.82 and a Gross Margin at +52.74. McDonald’s Corporation’s Net Margin is presently recorded at +28.59.
Return on Total Capital for MCD is now 27.47, given the latest momentum, and Return on Invested Capital for the company is 18.98. Additionally, MCD Total Debt to Total Capital is recorded at 120.87, with Total Debt to Total Assets ending up at 100.10.
Reflecting on the efficiency of the workforce at the company, McDonald’s Corporation [MCD] managed to generate an average of $29,392 per employee. Receivables Turnover for the company is 9.03 with a Total Asset Turnover recorded at a value of 0.52.McDonald’s Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.10 and a Current Ratio set at 1.10.
Earnings analysis for McDonald’s Corporation [MCD]
With the latest financial reports released by the company, McDonald’s Corporation posted 1.97/share EPS, while the average EPS was predicted by analysts to be reported at 1.96/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 0.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for MCD. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for McDonald’s Corporation go to 5.53%.
Insider trade positions for McDonald’s Corporation [MCD]
There are presently around $109,209 million, or 68.40% of MCD stock, in the hands of institutional investors. The top three institutional holders of MCD stocks are: VANGUARD GROUP INC with ownership of 65,430,203, which is approximately -1.168% of the company’s market cap and around 0.06% of the total institutional ownership; BLACKROCK INC., holding 50,194,412 shares of the stock with an approximate value of $10.88 billion in MCD stocks shares; and STATE STREET CORP, currently with $8.27 billion in MCD stock with ownership of nearly -1.399% of the company’s market capitalization.
Positions in McDonald’s Corporation stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 962 institutional holders increased their position in McDonald’s Corporation [NYSE:MCD] by around 18,731,088 shares. Additionally, 1,096 investors decreased positions by around 17,445,372 shares, while 314 investors held positions by with 467,719,235 shares. The mentioned changes placed institutional holdings at 503,895,695 shares, according to the latest SEC report filing. MCD stock had 167 new institutional investments in for a total of 4,380,330 shares, while 99 institutional investors sold positions of 1,285,532 shares during the same period.