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McDonald's (MCD) Stock Price, News & Analysis

$266.09
-0.14 (-0.05%)
(As of 12:34 PM ET)
Today's Range
$265.29
$266.99
50-Day Range
$266.23
$297.75
52-Week Range
$245.73
$302.39
Volume
1.06 million shs
Average Volume
3.22 million shs
Market Capitalization
$191.85 billion
P/E Ratio
23.00
Dividend Yield
2.51%
Price Target
$319.72

McDonald's MarketRank™ Stock Analysis

Analyst Rating
Moderate Buy
2.73 Rating Score
Upside/​Downside
19.9% Upside
$319.72 Price Target
Short Interest
Healthy
1.12% of Float Sold Short
Dividend Strength
Strong
Based on Four Factors
Sustainability
-2.39
Upright™ Environmental Score
News Sentiment
0.30mentions of McDonald
Based on 87 Articles This Week
Insider Trading
Selling Shares
$312,534 Sold Last Quarter
Proj. Earnings Growth
8.99%
From $12.35 to $13.46 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.87 out of 5 stars

Retail/Wholesale Sector

7th out of 204 stocks

Eating Places Industry

2nd out of 41 stocks

MCD stock logo

About McDonald's Stock (NYSE:MCD)

McDonald's Corporation is a U.S.-based multinational restaurant chain that serves hamburgers, fries, chicken sandwiches and drinks. The company is the largest restaurant chain by revenue and serves more than 69 million customers daily. Total revenue topped $23 billion in 2022, with most revenue coming from its franchisees. The company operates in 100 countries and is the world's second-largest private employer, with more than 200,000 executives, managers, cooks and front-line staff. 

McDonald's most iconic food items include French fries and the Big Mac. McDonald's serves hot and crispy fries. Its Big Mac is a double-decker burger with cheese, lettuce, tomato and "secret sauce," a combination of thousand island and French dressing that evokes a sharper flavor. 

Richard and Maurice McDonald founded McDonald's in 1940. Its first restaurant location was in San Bernardino, California, and it quickly rebranded into a hamburger stand. The new concept met colossal success, and soon, the two were franchising their brand to other operators. The key to the brother's success was the Speedee Service System introduced in 1948. This system modeled concepts established by earlier chains. 

The company introduced the golden arches in 1953 in Arizona and reached a significant turning point in 1955 when Ray Kroc entered the picture. He came aboard as the company's franchising agent and bought the company while expanding it. His first restaurant was the company's ninth total, but many agree that Kroc created the modern McDonald's Corporation. During his tenure, McDonald's expanded its footprint, enhanced its menu and grew into international territories. 

The fictional character Ronald McDonald came to life in 1963. He lives in McDonaldland with his pals Mayor McCheese, Grimace, Birdie the Early Bird, the Fry Kids and the Hamburglar. He was invented as a marketing ploy to attract children and has become one of the nation's most beloved characters. At the peak of his popularity, the company employed more than 300 full-time clowns to portray Ronald McDonald. 

Today, McDonald's Corporation operates and franchises McDonald's restaurants globally. The company generates revenue via sales in company-owned stores and rents, fees and royalties from its franchisees. The company's business model is to aid franchisees with real estate purchases and buildings so that it can collect on rent and other fees and brand royalties. As of 2022, the company owns about 45% of the land its restaurants sit on and 70% of the buildings. This model not only generates additional revenue and earnings but helps to insulate it from ups and downs in the consumer cycle. 

As of December 31, 2023, the company operated about 38,000 restaurants, which includes the closing or divestiture of business in Russia. 

MCD Stock Price History

MCD Stock News Headlines

MarketBeat Week in Review – 4/8 - 4/12 (MCD)
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Wendy's could become the best stock to create passive income for uncertain investors this cycle. Double-digit upside at an industry discount made Goldman sniff
Forget Nvidia, buy this A.I. Stock Now
Forget Nvidia, Microsoft or Google. Our tech expert and venture capitalist Luke Lango believes this is Elon Musk’s favorite A.I. stock. Why? Because this company is supplying Elon Musk with a key piece of advanced tech for his new A.I. venture.
Krispy Kreme's Hangover from McDonald's Deal Bestows Pullback Opp
Krispy Kreme Inc. NASDAQ: DNUT is world famous for its glazed donuts which can be purchased fresh through its store locations or grocery stores and kiosks. Shares of the retail/wholesale sector company skyrocketed 39% higher on news of its sweet partnership with fast food giant McDonald's Co. NYSE: MCD.
Krispy Kreme’s Hangover from McDonald’s Deal Bestows Pullback Opp (MCD)
Krispy Kreme stock has pulled back after the sugar high of the McDonald's partnership, but analysts like DNUT stock giving investors a sweet opportunity
McDonald's buys its Israeli restaurants from franchisee who sparked costly boycotts
McDonald’s is buying its restaurants in Israel from a longtime franchisee, hoping to reset sales that have slumped due to boycotts in the region
New $20 minimum wage for fast food workers in California set to start Monday
Most of California's fast food workers are set to be paid at least $20 per hour
MarketBeat Week in Review – 3/25-3/29 (MCD)
The bull market rolls on as investors continue to climb the wall of worry that will only get higher as a new quarter starts
Bitcoin Rockets To Record High But Buy THIS Instead
Recently, Bitcoin smashed through its previous record high to hit $72,720. It’s made many, many people very rich. But one cryptocurrency expert and investing millionaire is declaring…
Krispy Kreme's Sweet Deal: McDonald's Partnership Sparks Growth?
Shares of Krispy Kreme NASDAQ: DNUT soared by as much as 40% on Tuesday following the announcement of a partnership with McDonald's NYSE: MCD. The companies revealed plans to make Krispy Kreme doughnuts available at all McDonald's restaurants across the United States.
Krispy Kreme's Sweet Deal: McDonald's Partnership Sparks Growth? (MCD)
Shares of Krispy Kreme surged by as much as 40% after the company announced a McDonald's partnership, sparking hopes for growth and a potential turnaround.
Do you want fries with that? Krispy Kreme doughnuts are coming to McDonald's
Krispy Kreme and McDonald’s are getting together over breakfast
McDonald's (NYSE:MCD) PT Lowered to $320.00
See More Headlines
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Company Calendar

Last Earnings
2/05/2024
Ex-Dividend for 3/15 Dividend
2/29/2024
Dividend Payable
3/15/2024
Today
4/16/2024
Next Earnings (Confirmed)
4/30/2024
Fiscal Year End
12/31/2024

Industry, Sector and Symbol

Industry
Eating places
Sub-Industry
Restaurants
CUSIP
58013510
Employees
150,000
Year Founded
1955

Price Target and Rating

Average Stock Price Target
$320.17
High Stock Price Target
$383.00
Low Stock Price Target
$278.00
Potential Upside/Downside
+20.3%
Consensus Rating
Moderate Buy
Rating Score (0-4)
2.73
Research Coverage
30 Analysts

Profitability

Net Income
$8.47 billion
Pretax Margin
41.27%

Debt

Sales & Book Value

Annual Sales
$25.49 billion
Cash Flow
$14.72 per share
Book Value
($6.49) per share

Miscellaneous

Free Float
719,707,000
Market Cap
$191.95 billion
Optionable
Optionable
Beta
0.71

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Should I Buy McDonald's Stock? MCD Pros and Cons Explained

Pros

Here are some ways that investors could benefit from investing in McDonald's Co.:

  • McDonald's Co. has a strong market presence both in the United States and internationally, providing a stable revenue stream.
  • The company has a consistent track record of paying dividends, offering investors a reliable income source.
  • With a price-to-earnings ratio of 23.22, McDonald's Co. may be considered undervalued compared to its industry peers, presenting a potential value investment opportunity.
  • Analysts have a positive outlook on McDonald's Co., with a consensus rating of "Moderate Buy" and a target price of $320.77, indicating growth potential.
  • McDonald's Co. has shown resilience during economic downturns, making it a defensive stock option for investors seeking stability.

Cons

Investors should be bearish about investing in McDonald's Co. for these reasons:

  • McDonald's Co. faces increasing competition in the fast-food industry, which could impact its market share and profitability.
  • The company's negative return on equity of 171.96% raises concerns about its ability to generate returns for shareholders.
  • While the dividend payout ratio is at 57.74%, indicating a sustainable dividend policy, any changes in the payout ratio could affect investor income.
  • McDonald's Co.'s beta of 0.71 suggests lower volatility compared to the market, potentially limiting capital appreciation opportunities for investors seeking higher returns.
  • The stock price of McDonald's Co. has experienced fluctuations, with a 1-year low of $245.73 and a 1-year high of $302.39, indicating potential price volatility.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Saturday, April 13, 2024. Please send any questions or comments about these McDonald's pros and cons to contact@marketbeat.com.

MCD Stock Analysis - Frequently Asked Questions

Should I buy or sell McDonald's stock right now?

30 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for McDonald's in the last twelve months. There are currently 8 hold ratings and 22 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should "moderate buy" MCD shares.
View MCD analyst ratings
or view top-rated stocks.

What is McDonald's' stock price target for 2024?

30 brokers have issued 12-month price objectives for McDonald's' stock. Their MCD share price targets range from $278.00 to $383.00. On average, they anticipate the company's stock price to reach $319.72 in the next twelve months. This suggests a possible upside of 19.9% from the stock's current price.
View analysts price targets for MCD
or view top-rated stocks among Wall Street analysts.

How have MCD shares performed in 2024?

McDonald's' stock was trading at $296.51 on January 1st, 2024. Since then, MCD stock has decreased by 10.0% and is now trading at $266.72.
View the best growth stocks for 2024 here
.

When is McDonald's' next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Tuesday, April 30th 2024.
View our MCD earnings forecast
.

How can I listen to McDonald's' earnings call?

McDonald's will be holding an earnings conference call on Tuesday, April 30th at 8:30 AM Eastern. Interested parties can register for or listen to the call using this link.

How were McDonald's' earnings last quarter?

McDonald's Co. (NYSE:MCD) released its earnings results on Monday, February, 5th. The fast-food giant reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.83 by $0.12. The fast-food giant earned $6.41 billion during the quarter, compared to analyst estimates of $6.45 billion. McDonald's had a negative trailing twelve-month return on equity of 171.96% and a net margin of 33.22%. The company's revenue for the quarter was up 8.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.59 EPS.

How often does McDonald's pay dividends? What is the dividend yield for McDonald's?

McDonald's announced a quarterly dividend on Wednesday, February 7th. Shareholders of record on Friday, March 1st will be given a dividend of $1.67 per share on Friday, March 15th. This represents a $6.68 dividend on an annualized basis and a yield of 2.50%. The ex-dividend date is Thursday, February 29th.
Read our dividend analysis for MCD
.

Is McDonald's a good dividend stock?

McDonald's (NYSE:MCD) pays an annual dividend of $6.68 per share and currently has a dividend yield of 2.50%. The company has been increasing its dividend for 48 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. The dividend payout ratio is 57.74%. This payout ratio is at a healthy, sustainable level, below 75%. Based on earnings estimates, MCD will have a dividend payout ratio of 49.63% next year. This indicates that the company will be able to sustain or increase its dividend.
Read our dividend analysis for MCD.

What is Chris Kempczinski's approval rating as McDonald's' CEO?

2,583 employees have rated McDonald's Chief Executive Officer Chris Kempczinski on Glassdoor.com. Chris Kempczinski has an approval rating of 78% among the company's employees.

What other stocks do shareholders of McDonald's own?

Based on aggregate information from My MarketBeat watchlists, some companies that other McDonald's investors own include Johnson & Johnson (JNJ), Walt Disney (DIS), AT&T (T), Home Depot (HD), NVIDIA (NVDA), Intel (INTC), Walmart (WMT), Cisco Systems (CSCO), Verizon Communications (VZ) and JPMorgan Chase & Co. (JPM).

Who are McDonald's' major shareholders?

McDonald's' stock is owned by a variety of institutional and retail investors. Top institutional shareholders include Wealth Enhancement Advisory Services LLC (0.06%), Gateway Investment Advisers LLC (0.03%), Global Assets Advisory LLC (0.03%), Welch Group LLC (0.03%), Los Angeles Capital Management LLC (0.03%) and Daymark Wealth Partners LLC (0.02%). Insiders that own company stock include Anthony Capuano, Catherine A Hoovel, Catherine M Engelbert, Christopher J Kempczinski, Edith Morgan Flatley, Enrique Hernandez, Jr, Heidi B Capozzi, Ian Frederick Borden, Jo Sempels, Joseph M Erlinger, Kevin M Ozan, Manuel Jm Steijaert and Marion K Gross.
View institutional ownership trends
.

How do I buy shares of McDonald's?

Shares of MCD stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

Does McDonald's have any subsidiaries?
The following companies are subsidiares of McDonald's: 3267114 Nova Scotia Company, Apprente, Asia Pacific McD Franchising, Boston Market, Caspers Company, Donatos Pizza, Dynamic Yield, HanGook McDonald's Co. Ltd., Limited Liability Company "NRO", MCD Europe Limited, MCD Global Franchising Limited, McD APMEA Singapore Investments Pte. Ltd., McD Asia Pacific LLC, McDonald's Australia Limited, McDonald's Deutschland LLC, McDonald's Development Italy LLC, McDonald's France S.A.S., McDonald's Franchise GmbH, McDonald's Global Markets LLC, McDonald's GmbH, McDonald's Immobilien Gesellschaft mit beschränkter Haftung, McDonald's International Property Company Ltd., McDonald's Limited Liability Company, McDonald's Nederland B.V., McDonald's Polska Sp. z o.o, McDonald's Real Estate Company, McDonald's Real Estate LLP, McDonald's Restaurant Operations Inc., McDonald's Restaurants Limited, McDonald's Restaurants of Canada Limited, McDonald's Suisse Development Sàrl, McDonald's Suisse Franchise Sàrl, McDonald's Suisse Restaurants Sàrl, McDonald's USA LLC, Moscow-McDonald's, and Restaurantes McDonald's S.A.U..
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This page (NYSE:MCD) was last updated on 4/16/2024 by MarketBeat.com Staff

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