This article first appeared on GuruFocus.
Twenty-two ETFs were buying McDonald’s (MCD) shares versus 20 selling on Monday, Oct. 19, but the sellers moved larger amounts, leaving ETF flows net negative at $30.2 million. More funds traded the other way, yet in smaller amounts. The stock has now seen net ETF selling for three straight days, following outflows of $19.3 million on Oct. 16 and $14.4 million on Oct. 15. The prior days included a $10.6 million inflow on Oct. 14 and a $4.0 million outflow on Oct. 13.
Every ETF and guru trade in MCD is tracked on the MCD guru trades page.
Which ETFs sold MCD on Monday?
The largest sellers by dollar value were JPEF ($13.9 million), XLY ($8.2 million) and DIA ($6.5 million). In all, 22 ETFs added shares and 20 cut them.
JPEF led the selling with a $13.9 million reduction, cutting its stake by 52.55% to 51,632 shares. XLY trimmed $8.2 million and DIA $6.5 million, while JGLO, SPY, IVV, RSP and USMV each posted smaller declines. McDonald’s sits in the Consumer Cyclical sector and the Restaurants industry, with a market cap of $174.4 billion.
Have ETFs been buying or selling MCD lately?
Over the last 5 reported days, ETFs were net buyers on 1 and net sellers on 4, so the recent trend is mostly selling.
What does MCD do?
McDonald’s is the world’s largest restaurant company by systemwide sales, with more than 40,000 locations serving nearly 70 million customers daily in over 100 countries.
McDonald’s reported trailing-12-month revenue of $27.70 billion, up 7.1% over the past year, with a gross margin of 57.4% and a net margin of 31.7%. The stock trades at a P/E of 20.02 and a P/S of 6.35, against a market cap of $174.4 billion. Its GF Score is 72, and the GF Value of $326.39 compares with a price of $246.52. The dividend yield is 3.11%, and the shares are down 17.76% year to date.