McDonald’s Corporation [MCD] Revenue clocked in at $23.18 billion, up 9.69% YTD: What’s Next?

McDonald’s Corporation [NYSE: MCD] gained 1.32% or 3.77 points to close at $289.07 with a heavy trading volume of 3227345 shares. The company report on March 29, 2023 that Robert A. Eckert and John W. Rogers, Jr. to Retire from McDonald’s Board of Directors After 20 Years of Exceptional Service.

McDonald’s Corporation (NYSE: MCD) today announced the retirement of Robert “Bob” A. Eckert and John W. Rogers, Jr. from the McDonald’s Board of Directors effective as of the date of the Company’s 2023 Annual Shareholders’ Meeting.

“Bob and John have made significant contributions throughout their 20 years on the Board. Their strategic vision and expertise have helped guide the expansion of the global business while bringing McDonald’s closer to the communities it serves,” said Enrique Hernandez, Jr., McDonald’s Chairman of the Board. “Bob brought valuable expertise to the Board serving as Chairman of the Compensation Committee and the inaugural Chairman of the Public Policy & Strategy Committee where he helped oversee the Company’s long-term strategy and operations. John is a prominent leader in the Chicago and business community who has helped to significantly expand the Company’s efforts to promote equitable opportunity and diversity across the full range of the business including employees, franchisees and suppliers. McDonald’s is stronger because of their service.”.

It opened the trading session at $286.57, the shares rose to $289.54 and dropped to $286.11, the range by which the price of stock traded the whole day. The daily chart for MCD points out that the company has recorded 21.94% gains over the past six months. However, it is still -26.6% lower than its most recent low trading price.

If we look at the average trading volume of 2.75M shares, MCD reached to a volume of 3227345 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Here is what top equities market gurus are saying 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 $295.84 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.

Northcoast have made an estimate for McDonald’s Corporation shares, keeping their opinion on the stock as Buy, with their previous recommendation back on April 10, 2023. While these analysts kept the previous recommendation, Wells Fargo raised their target price to Equal Weight. The new note on the price target was released on January 24, 2023, representing the official price target for McDonald’s Corporation stock. Previously, the target price had yet another raise from $285 to $288, while Robert W. Baird kept a Outperform rating on MCD stock. On October 28, 2022, analysts increased their price target for MCD shares from 275 to 295.

The Average True Range (ATR) for McDonald’s Corporation is set at 3.42, with the Price to Sales ratio for MCD stock in the period of the last 12 months amounting to 9.09. Price to Free Cash Flow for MCD in the course of the last twelve months was 159.78 with Quick ratio for the last quarter at 1.40.

Trading performance analysis for MCD stock

McDonald’s Corporation [MCD] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 2.50. With this latest performance, MCD shares gained by 8.71% in over the last four-week period, additionally plugging by 21.94% over the last 6 months – not to mention a rise of 15.42% 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 78.49, with the RSI for the last a single of trading hit 87.39, and the three-weeks RSI is set at 71.70 for McDonald’s Corporation [MCD]. The present Moving Average for the last 50 days of trading for this stock 270.24, while it was recorded at 285.10 for the last single week of trading, and 262.99 for the last 200 days.

McDonald’s Corporation [MCD]: A deeper dive into fundamental analysis

Operating Margin for any stock indicates how profitable investing would be, and McDonald’s Corporation [MCD] shares currently have an operating margin of +44.66 and a Gross Margin at +56.43. McDonald’s Corporation’s Net Margin is presently recorded at +26.65.

Return on Total Capital for MCD is now 23.68, given the latest momentum, and Return on Invested Capital for the company is 14.35. Additionally, MCD Total Debt to Total Capital is recorded at 114.06, with Total Debt to Total Assets ending up at 96.56.

Reflecting on the efficiency of the workforce at the company, McDonald’s Corporation [MCD] managed to generate an average of $41,183 per employee. Receivables Turnover for the company is 11.63 with a Total Asset Turnover recorded at a value of 0.44.McDonald’s Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.40 and a Current Ratio set at 1.40.

McDonald’s Corporation [MCD]: An earnings per share (EPS) analysis

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 7.75%.

An analysis of insider ownership at McDonald’s Corporation [MCD]

There are presently around $144,117 million, or 70.20% of MCD stock, in the hands of institutional investors. The top three institutional holders of MCD stocks are: VANGUARD GROUP INC with ownership of 68,178,100, which is approximately 0.899% of the company’s market cap and around 0.17% of the total institutional ownership; BLACKROCK INC., holding 51,569,204 shares of the stock with an approximate value of $14.71 billion in MCD stocks shares; and STATE STREET CORP, currently with $9.71 billion in MCD stock with ownership of nearly -1.931% of the company’s market capitalization.

Positions in McDonald’s Corporation stocks held by institutional investors increased at the end of Tuesday and at the time of the Tuesday reporting period, where 1,431 institutional holders increased their position in McDonald’s Corporation [NYSE:MCD] by around 26,505,350 shares. Additionally, 1,201 investors decreased positions by around 20,392,740 shares, while 361 investors held positions by with 458,243,940 shares. The mentioned changes placed institutional holdings at 505,142,030 shares, according to the latest SEC report filing. MCD stock had 298 new institutional investments in for a total of 2,742,210 shares, while 82 institutional investors sold positions of 2,224,817 shares during the same period.