McDonald’s Corporation (NYSE:MCD) Given Consensus Rating of “Hold” by Analysts

Shares of McDonald’s Corporation (NYSE:MCD) have been given a consensus rating of “Hold” by the thirty-two ratings firms that are presently covering the firm, MarketBeat reports. Two analysts have rated the stock with a sell recommendation, thirteen have assigned a hold recommendation and seventeen have given a buy recommendation to the company. The average 12 month target price among brokers that have covered the stock in the last year is $339.6897.

MCD has been the topic of several recent analyst reports. Guggenheim reduced their price objective on shares of McDonald’s from $325.00 to $320.00 and set a “neutral” rating on the stock in a research report on Friday, February 13th. Argus raised shares of McDonald’s from a “hold” rating to a “buy” rating and set a $380.00 target price for the company in a research note on Friday, February 13th. Sanford C. Bernstein reiterated a “market perform” rating and issued a $340.00 price target on shares of McDonald’s in a report on Thursday, February 12th. JPMorgan Chase & Co. boosted their price target on shares of McDonald’s from $305.00 to $325.00 and gave the stock an “overweight” rating in a research note on Tuesday, February 24th. Finally, Wells Fargo & Company increased their price objective on shares of McDonald’s from $345.00 to $355.00 and gave the company an “overweight” rating in a report on Thursday, February 12th.

More McDonald’s News

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

• Positive Sentiment: Major new pop-culture push — McDonald’s launched two “adult” Happy Meals and five new menu items tied to Netflix’s KPop Demon Hunters, a cross-promotional campaign expected to drive traffic and social buzz. Read More.
• Positive Sentiment: Revenue upside potential — Coverage estimates the KPop Demon Hunters promotion could generate large incremental sales (one headline projects up to ~$100M in a short window), supporting near-term top-line upside. Read More.
• Positive Sentiment: Fund manager endorsement — A portfolio manager publicly favored MCD over high-growth names like NVDA on valuation/stability grounds, which can attract defensive money into the stock. Read More.
• Positive Sentiment: Operational efficiency story — McDonald’s Force in France said it improved finance/ad operations with Esker automation, implying lower costs and better ROI on ad spends. Read More.
• Neutral Sentiment: Brand/product buzz — Multiple outlets covered the menu launches and local rollouts (Chicago, toy tie-ins), which boosts awareness but does not guarantee sustained comp growth. Read More.
• Neutral Sentiment: Recent price action/history — MCD had traded higher recently (closed up recent session), but today’s move shows profit-taking/volatility after those gains. Read More.
• Negative Sentiment: Technical/flow headwind — Analysts flagged MCD as oversold on RSI readings recently, signaling heavy selling pressure and potential short-term volatility despite fundamentals. Read More.
• Negative Sentiment: Questionable LTO effectiveness — Industry commentary suggests limited-time offers may be less effective than in the past, which could cap the long-term lift from promotional tie-ins. Read More.

Insider Transactions at McDonald’s

In other McDonald’s news, insider Joseph M. Erlinger sold 2,626 shares of McDonald’s stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $325.25, for a total value of $854,106.50. Following the sale, the insider owned 5,398 shares of the company’s stock, valued at $1,755,699.50. The trade was a 32.73% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CMO Edith Morgan Flatley sold 4,692 shares of the company’s stock in a transaction that occurred on Thursday, February 12th. The stock was sold at an average price of $331.00, for a total value of $1,553,052.00. Following the sale, the chief marketing officer directly owned 6,200 shares in the company, valued at $2,052,200. This trade represents a 43.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 71,657 shares of company stock worth $23,722,204. 0.25% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On McDonald’s

Institutional investors have recently bought and sold shares of the business. Purpose Unlimited Inc. purchased a new position in shares of McDonald’s in the 4th quarter worth $31,000. Cornerstone Planning LLC purchased a new stake in shares of McDonald’s during the 4th quarter valued at about $1,851,000. Rockefeller Capital Management L.P. raised its position in shares of McDonald’s by 19.8% during the 4th quarter. Rockefeller Capital Management L.P. now owns 728,516 shares of the fast-food giant’s stock valued at $222,657,000 after buying an additional 120,420 shares in the last quarter. World Investment Advisors lifted its holdings in shares of McDonald’s by 82.9% in the 4th quarter. World Investment Advisors now owns 40,400 shares of the fast-food giant’s stock valued at $12,348,000 after acquiring an additional 18,306 shares during the last quarter. Finally, Farmers National Bank lifted its holdings in shares of McDonald’s by 1.9% in the 4th quarter. Farmers National Bank now owns 29,407 shares of the fast-food giant’s stock valued at $8,988,000 after acquiring an additional 553 shares during the last quarter. Institutional investors own 70.29% of the company’s stock.

McDonald’s Stock Performance

McDonald’s stock opened at $309.00 on Friday. McDonald’s has a one year low of $283.47 and a one year high of $341.75. The stock has a fifty day moving average of $321.67 and a 200 day moving average of $311.50. The stock has a market cap of $219.51 billion, a PE ratio of 25.86, a price-to-earnings-growth ratio of 2.77 and a beta of 0.51.

McDonald’s (NYSE:MCD) last issued its quarterly earnings data on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share 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 firm had revenue of $7.01 billion for the quarter, compared to analysts’ expectations of $6.81 billion. During the same quarter in the prior year, the business earned $2.83 EPS. The business’s quarterly revenue was up 9.7% on a year-over-year basis. As a group, sell-side analysts predict that McDonald’s will post 12.25 EPS for the current fiscal year.

McDonald’s Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 17th. Investors of record on Tuesday, March 3rd were paid a dividend of $1.86 per share. The ex-dividend date of this dividend was Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a yield of 2.4%. McDonald’s’s dividend payout ratio is presently 62.26%.

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.