McDonald’s (NYSE:MCD) Price Target Lowered to $334.00 at Morgan Stanley

McDonald’s (NYSE:MCD) had its price target reduced by Morgan Stanley from $335.00 to $334.00 in a report published on Tuesday morning,Benzinga reports. They currently have an equal weight rating on the fast-food giant’s stock.

A number of other analysts also recently weighed in on the stock. Barclays increased their price target on shares of McDonald’s from $372.00 to $380.00 and gave the company an “overweight” rating in a report on Thursday, February 12th. Mizuho upped their price objective on shares of McDonald’s from $300.00 to $325.00 and gave the company a “neutral” rating in a research report on Friday, February 6th. Wells Fargo & Company increased their target price on shares of McDonald’s from $345.00 to $355.00 and gave the company an “overweight” rating in a research note on Thursday, February 12th. Tigress Financial lifted their target price on McDonald’s from $360.00 to $385.00 and gave the stock a “buy” rating in a research report on Friday, March 6th. Finally, Argus upgraded McDonald’s from a “hold” rating to a “buy” rating and set a $380.00 price target on the stock in a research note on Friday, February 13th. Seventeen analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $339.34.

McDonald’s Trading Down 1.8%

MCD opened at $301.55 on Tuesday. McDonald’s has a 1-year low of $283.47 and a 1-year high of $341.75. The stock has a market capitalization of $214.35 billion, a price-to-earnings ratio of 25.23, a P/E/G ratio of 2.77 and a beta of 0.53. The business has a 50 day moving average of $318.75 and a 200-day moving average of $311.95.

McDonald’s (NYSE:MCD) last announced its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.05 by $0.07. McDonald’s had a net margin of 31.85% and a negative return on equity of 343.90%. The business had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.81 billion. During the same quarter last year, the company posted $2.83 earnings per share. McDonald’s’s quarterly revenue was up 9.7% on a year-over-year basis. Equities analysts predict that McDonald’s will post 13.22 EPS for the current year.

McDonald’s Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd were paid a $1.86 dividend. The ex-dividend date was Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.5%. McDonald’s’s dividend payout ratio is currently 62.26%.

Insider Buying and Selling at McDonald’s

In related news, EVP Jonathan Banner sold 6,201 shares of the company’s stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $333.29, for a total value of $2,066,731.29. Following the sale, the executive vice president owned 2,291 shares of the company’s stock, valued at $763,567.39. The trade was a 73.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Christopher J. Kempczinski sold 26,276 shares of the firm’s stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $333.54, for a total transaction of $8,764,097.04. Following the transaction, the chief executive officer owned 22,900 shares of the company’s stock, valued at approximately $7,638,066. This represents a 53.43% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 71,657 shares of company stock valued at $23,723,307 in the last 90 days. Insiders own 0.26% of the company’s stock.

Institutional Investors Weigh In On McDonald’s

Large investors have recently made changes to their positions in the company. Brighton Jones LLC increased its stake in shares of McDonald’s by 21.6% in the fourth quarter. Brighton Jones LLC now owns 9,286 shares of the fast-food giant’s stock valued at $2,692,000 after buying an additional 1,649 shares in the last quarter. Revolve Wealth Partners LLC increased its position in McDonald’s by 2.8% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,942 shares of the fast-food giant’s stock valued at $563,000 after acquiring an additional 52 shares in the last quarter. Sivia Capital Partners LLC raised its stake in shares of McDonald’s by 11.4% in the second quarter. Sivia Capital Partners LLC now owns 2,017 shares of the fast-food giant’s stock worth $589,000 after acquiring an additional 206 shares during the last quarter. United Bank raised its stake in shares of McDonald’s by 6.0% in the second quarter. United Bank now owns 8,102 shares of the fast-food giant’s stock worth $2,367,000 after acquiring an additional 459 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its position in shares of McDonald’s by 2.5% during the second quarter. Schnieders Capital Management LLC. now owns 12,938 shares of the fast-food giant’s stock worth $3,780,000 after purchasing an additional 312 shares in the last quarter. Institutional investors own 70.29% of the company’s stock.

McDonald’s News Summary

Here are the key news stories impacting McDonald’s this week:

• Positive Sentiment: New value menu (under $3 deals and $4 bundles) is intended to drive traffic and win back price‑sensitive diners; Wall Street notes the move could reinforce McDonald’s value positioning. McDonald’s Reworks Its Value Menu With $3 Deals. Wall Street Is Watching.
• Positive Sentiment: Analysts at some firms (e.g., UBS cited in coverage) view the $3 menu as a strategic strength that can sustain visit frequency and compete on value. MarketWatch: McDonald’s $3 menu is about to kick off.
• Neutral Sentiment: Investors are positioned for the upcoming Q1 earnings release; consensus expects single‑digit EPS growth but the report will be key for same‑store sales and margin guidance. What You Need to Know Ahead of McDonald’s Earnings Release
• Neutral Sentiment: Brokerage consensus remains roughly in the “hold/neutral” range, reflecting mixed views on near‑term headwinds versus long‑term brand strength. McDonald’s Given Average Rating of “Hold” by Brokerages
• Negative Sentiment: Jefferies trimmed first‑quarter same‑store sales estimates (down ~50 bps for U.S. and international operated markets) and flagged softer March demand, predicting Q1 profit may come in slightly below Street estimates. McDonald’s Q1 profit seen slightly below estimates as Jefferies trims sales outlook
• Negative Sentiment: KeyBanc trimmed its price target (from $354 to $345) and Morgan Stanley nudged its target lower while assigning an “equal weight,” signaling some analyst caution despite still‑positive longer‑term views. KeyBanc Cuts McDonald’s Target to $345, Flags Volatile Outlook
• Negative Sentiment: Coverage notes warn of diminishing returns from heavy promotions, possible margin compression as McDonald’s leans into cheaper items, and rising input/labor costs — a combination that could pressure near‑term profitability. Under $3 Deals and $4 Bundles: McDonald’s Doubles Down on Value to Win Back Diners
• Negative Sentiment: Operational changes (removal of several menu items) and broader consumer‑spending caution (Goldman Sachs warns of a challenging few months) add to execution and demand risk. McDonald’s just axed 5 menu items without warning

About McDonald’s

McDonald’s Corporation (NYSE: MCD) is a global quick-service restaurant company best known for its hamburgers, French fries and breakfast offerings. The company develops, operates and franchises a system of restaurants that sell a range of food and beverage items, including signature products such as the Big Mac, Quarter Pounder, Chicken McNuggets, McCafé coffee beverages and a variety of salads, desserts and seasonal menu items. McDonald’s serves customers through company-operated restaurants and franchised locations, and it supports sales via dine-in, drive-thru, digital ordering platforms and third-party delivery partnerships.

Founded in 1940 by brothers Richard and Maurice McDonald as a single San Bernardino, California restaurant, the business was transformed into a franchising model after Ray Kroc joined in the mid-1950s and led the brand’s national and international expansion.