Hedge Funds Aren’t Crazy About McDonald’s Corporation (MCD) Anymore

Seeing as McDonald’s Corporation (NYSE:MCD) has faced declining sentiment from hedge fund managers, it’s easy to see that there were a few fund managers who sold off their positions entirely last quarter. It’s worth mentioning that Larry Robbins’ Glenview Capital sold off the largest investment of the 700 funds watched by Insider Monkey, valued at an estimated $275.8 million in stock. John Lykouretzos’ fund, Hoplite Capital Management, also said goodbye to its stock, about $80.8 million worth. These bearish behaviors are interesting, as total hedge fund interest dropped by 6 funds last quarter.

Let’s now take a look at hedge fund activity in other stocks similar to McDonald’s Corporation (NYSE:MCD). We will take a look at Eli Lilly & Co. (NYSE:LLY), Walgreens Boots Alliance Inc (NASDAQ:WBA), AbbVie Inc (NYSE:ABBV), and The Boeing Company (NYSE:BA). This group of stocks’ market values match MCD’s market value.

As you can see these stocks had an average of 63 hedge funds with bullish positions and the average amount invested in these stocks was $4.56 billion. That figure was $6.11 billion in MCD’s case. Walgreens Boots Alliance Inc (NASDAQ:WBA) is the most popular stock in this table. On the other hand The Boeing Company (NYSE:BA) is the least popular one with only 35 bullish hedge fund positions. McDonald’s Corporation (NYSE:MCD) is not the most popular stock in this group, but hedge fund interest is still above average. This is a slightly positive signal, but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard WBA might be a better candidate to consider a long position.