McDonald’s (NYSE:MCD) Hits New 12-Month High After Analyst Upgrade

McDonald’s Corporation (NYSE:MCD)’s share price hit a new 52-week high during trading on Tuesday after JPMorgan Chase & Co. raised their price target on the stock from $305.00 to $325.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. McDonald’s traded as high as $336.00 and last traded at $334.7740, with a volume of 278811 shares changing hands. The stock had previously closed at $334.56.

A number of other brokerages also recently issued reports on MCD. KeyCorp raised their price target on McDonald’s from $335.00 to $340.00 and gave the stock an “overweight” rating in a research report on Friday, January 9th. Weiss Ratings reiterated a “buy (b-)” rating on shares of McDonald’s in a report on Wednesday, January 28th. Argus upgraded shares of McDonald’s from a “hold” rating to a “buy” rating and set a $380.00 price target on the stock in a report on Friday, February 13th. Piper Sandler increased their target price on shares of McDonald’s from $323.00 to $325.00 and gave the company a “neutral” rating in a research report on Thursday, February 12th. Finally, Citigroup lifted their target price on McDonald’s from $371.00 to $375.00 and gave the stock a “buy” rating in a report on Thursday, February 12th. Sixteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $337.57.

Insider Transactions at McDonald’s

In related news, CMO Edith Morgan Flatley sold 4,692 shares of the stock in a transaction dated Thursday, February 12th. The shares were 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 of the company’s stock, valued at approximately $2,052,200. This represents a 43.08% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Joseph M. Erlinger sold 333 shares of the company’s stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $330.43, for a total transaction of $110,033.19. Following the completion of the sale, the insider directly owned 8,733 shares in the company, valued at $2,885,645.19. This trade represents a 3.67% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 78,084 shares of company stock valued at $25,661,722. 0.25% of the stock is owned by company insiders.

More McDonald’s News

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

• Positive Sentiment: JPMorgan raised its price target to $325 and kept an “overweight” rating, signaling analyst confidence in MCD’s growth and reinforcing buy-side interest. JPMorgan Boosts McDonald’s Price Target
• Positive Sentiment: National promotions: McDonald’s is promoting $1 McMuffins (one‑day/local deals and broader giveaways), a low-price traffic driver that can boost morning-store visits and app usage. McDonald’s Is Giving Away $1 McMuffins Next Week
• Positive Sentiment: Big Arch Burger LTO: McDonald’s is rolling out a supersized “Big Arch” burger in the U.S., generating strong social buzz and free publicity — likely to lift short‑term sales and drive incremental visits during the promotion. McDonald’s launches supersized Big Arch Burger in US
• Positive Sentiment: Repeat business tailwinds: Coverage highlights loyalty and rewards programs (Starbucks, McDonald’s, Chipotle) that are improving frequency and ticket — a structural benefit for McDonald’s margins and digital sales mix. Starbucks, McDonald’s, and Chipotle Reward Loyal Customers
• Neutral Sentiment: Limited-time international items: McDonald’s is bringing a best‑selling international burger to U.S. menus for a limited run — positive for novelty and visits but uncertain lift vs. cost. McDonald’s bringing international burger to the US
• Neutral Sentiment: Relative performance note: Analysis shows MCD has outperformed the consumer discretionary sector over the past year — supportive context for longer-term investors but not an immediate catalyst. McDonald’s Stock: Is MCD Outperforming the Consumer Discretionary Sector?
• Negative Sentiment: Insider selling: EVP Jonathan Banner sold 6,201 shares (~$2.07M) and President Joe Erlinger sold 333 shares; meaningful executives trimming positions can spook some investors even if sales are routine. Jonathan Banner Form 4 Joseph Erlinger Form 4
• Negative Sentiment: Ad controversy in Germany: A new campaign showing empty boxes during Ramadan drew criticism — a reputational risk that could attract negative headlines in certain markets, though impact on sales likely limited. Why New McDonald’s Ad Campaign Will Show Empty Boxes

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. Norges Bank purchased a new position in shares of McDonald’s in the second quarter valued at $2,780,712,000. Laurel Wealth Advisors LLC boosted its stake in McDonald’s by 29,382.3% during the second quarter. Laurel Wealth Advisors LLC now owns 5,737,548 shares of the fast-food giant’s stock valued at $1,676,339,000 after buying an additional 5,718,087 shares in the last quarter. Soundwatch Capital LLC acquired a new position in shares of McDonald’s in the 2nd quarter worth approximately $1,412,069,000. J. Stern & Co. LLP boosted its stake in shares of McDonald’s by 9,867.5% during the 4th quarter. J. Stern & Co. LLP now owns 2,541,008 shares of the fast-food giant’s stock worth $776,608,000 after acquiring an additional 2,515,515 shares in the last quarter. Finally, Viking Global Investors LP increased its position in shares of McDonald’s by 171.7% in the second quarter. Viking Global Investors LP now owns 3,125,432 shares of the fast-food giant’s stock worth $913,157,000 after acquiring an additional 1,974,998 shares in the last quarter. Institutional investors and hedge funds own 70.29% of the company’s stock.

McDonald’s Stock Performance

The firm has a 50 day moving average of $315.63 and a 200-day moving average of $309.77. The stock has a market capitalization of $239.31 billion, a PE ratio of 28.14, a P/E/G ratio of 2.96 and a beta of 0.52.

McDonald’s (NYSE:MCD) last issued its earnings results on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 company had revenue of $7.01 billion during the quarter, compared to analyst estimates of $6.81 billion. During the same quarter last year, the business posted $2.83 EPS. The company’s revenue for the quarter was up 9.7% on a year-over-year basis. On average, sell-side analysts predict that McDonald’s Corporation will post 12.25 earnings per share for the current year.

McDonald’s Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd will be paid a $1.86 dividend. The ex-dividend date is Tuesday, March 3rd. This represents a $7.44 annualized dividend and a dividend yield of 2.2%. McDonald’s’s dividend payout ratio (DPR) is presently 62.26%.

McDonald’s Company Profile

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.