Q1 Earnings Forecast for McDonald’s Issued By Zacks Research

McDonald’s Corporation (NYSE:MCD) – Analysts at Zacks Research cut their Q1 2026 earnings estimates for McDonald’s in a research report issued on Wednesday, February 25th. Zacks Research analyst Team now expects that the fast-food giant will post earnings per share of $2.78 for the quarter, down from their prior forecast of $2.84. The consensus estimate for McDonald’s’ current full-year earnings is $12.25 per share. Zacks Research also issued estimates for McDonald’s’ Q2 2026 earnings at $3.39 EPS, Q4 2026 earnings at $3.41 EPS, Q1 2027 earnings at $3.05 EPS, Q2 2027 earnings at $3.68 EPS, Q3 2027 earnings at $3.81 EPS, Q4 2027 earnings at $3.92 EPS, FY2027 earnings at $14.46 EPS and FY2028 earnings at $16.05 EPS.

McDonald’s (NYSE:MCD) last posted 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 during the quarter, compared to the consensus estimate of $6.81 billion. McDonald’s’s quarterly revenue was up 9.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.83 EPS.

A number of other research firms have also commented on MCD. Weiss Ratings reiterated a “buy (b-)” rating on shares of McDonald’s in a research note on Wednesday, January 28th. JPMorgan Chase & Co. raised their target price on McDonald’s from $305.00 to $325.00 and gave the company an “overweight” rating in a report on Tuesday. Erste Group Bank upgraded McDonald’s from a “hold” rating to a “buy” rating in a report on Wednesday, February 18th. Robert W. Baird set a $335.00 price objective on McDonald’s in a research report on Thursday, February 12th. Finally, Sanford C. Bernstein restated a “market perform” rating and issued a $340.00 price objective on shares of McDonald’s in a research note on Thursday, February 12th. Sixteen 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 has a consensus rating of “Hold” and an average target price of $337.57.

McDonald’s Price Performance

McDonald’s stock opened at $334.58 on Friday. McDonald’s has a fifty-two week low of $283.47 and a fifty-two week high of $336.94. The firm has a fifty day moving average price of $315.92 and a two-hundred day moving average price of $309.94. The firm has a market cap of $237.69 billion, a price-to-earnings ratio of 28.00, a P/E/G ratio of 2.96 and a beta of 0.52.

McDonald’s Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd will be given a dividend of $1.86 per share. The ex-dividend date is Tuesday, March 3rd. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.2%. McDonald’s’s payout ratio is currently 62.26%.

Insiders Place Their Bets

In other McDonald’s news, EVP Manuel Jm Steijaert sold 6,567 shares of the business’s stock in a transaction on Monday, December 1st. The shares were sold at an average price of $305.50, for a total value of $2,006,218.50. Following the sale, the executive vice president owned 4,606 shares of the company’s stock, valued at $1,407,133. The trade was a 58.78% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, EVP Jonathan Banner sold 6,201 shares of the stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $333.29, for a total transaction of $2,066,731.29. Following the completion of the transaction, the executive vice president owned 2,291 shares of the company’s stock, valued at approximately $763,567.39. This represents a 73.02% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 78,084 shares of company stock valued at $25,661,722 in the last ninety days. 0.25% of the stock is currently owned by insiders.

Institutional Trading of McDonald’s

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MCD. Decker Retirement Planning Inc. boosted its holdings in McDonald’s by 142.9% during the second quarter. Decker Retirement Planning Inc. now owns 85 shares of the fast-food giant’s stock valued at $25,000 after purchasing an additional 50 shares in the last quarter. Legacy Investment Solutions LLC acquired a new position in shares of McDonald’s in the 2nd quarter worth approximately $25,000. Evergreen Private Wealth LLC lifted its position in shares of McDonald’s by 162.5% during the 3rd quarter. Evergreen Private Wealth LLC now owns 84 shares of the fast-food giant’s stock worth $26,000 after buying an additional 52 shares during the period. Your Advocates Ltd. LLP acquired a new stake in McDonald’s in the 4th quarter valued at $27,000. Finally, Park Place Capital Corp grew its position in McDonald’s by 95.7% in the fourth quarter. Park Place Capital Corp now owns 92 shares of the fast-food giant’s stock valued at $28,000 after acquiring an additional 45 shares during the period. Institutional investors own 70.29% of the company’s stock.

McDonald’s News Roundup

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

• Positive Sentiment: Value + expansion: McDonald’s reported 5.7% global comparable growth in Q4 driven by value deals, digital momentum and plans for ~2,600 openings in 2026 — a near‑term traffic and longer‑term unit growth story that supports revenue and same‑store sales expectations. Can McDonald’s Value Strategy Sustain Traffic Gains in 2026?
• Positive Sentiment: Promotions & LTOs lifting visits: national $1 McMuffin promotions and the U.S. rollout of the supersized “Big Arch” burger are generating buzz and likely short‑term foot traffic and app engagement, helping maintain momentum into the quarter. McDonald’s launches supersized Big Arch Burger in US
• Positive Sentiment: Analyst support: JPMorgan raised its price target to $325 and kept an overweight view, reinforcing buy‑side conviction and providing a near‑term catalyst for investor demand. JPMorgan Chase & Co. Boosts McDonald’s Price Target to $325.00
• Neutral Sentiment: Loyalty & beverage trends: coverage highlights loyalty programs and menu experimentation (including limited international items) that boost repeat visits — positive structurally but with uncertain immediate margin impact. Starbucks, McDonald’s, and Chipotle Reward Loyal Customers. It Brings Them Back.
• Neutral Sentiment: Competitive & category context: broader coffee/cold‑beverage trends at rivals and Burger King’s strategy updates are industry factors to monitor; they affect relative share but aren’t an immediate McDonald’s earnings shock. Why Starbucks and Other Chains Are Rolling Out the Red Carpet for Their Biggest Spenders
• Negative Sentiment: Insider selling: recent filings show EVP Jonathan Banner and President Joe/ Joseph Erlinger sold shares (multi‑hundred to multi‑thousand share transactions). Executive sales can unsettle some investors even if for non‑company‑specific reasons. SEC Form 4 (Jonathan Banner sale)
• Negative Sentiment: Reputational noise: a controversial regional Ramadan ad in Germany and social backlash around high‑profile, politicized moments (e.g., coverage of Trump serving McDonald’s to Olympians) create short‑term PR risk that could pressure sentiment in specific markets. Why New McDonald’s Ad Campaign Will Show Empty Boxes With No Food Trump Serves McDonald’s To Olympic Hockey Champs And Many Fans Aren’t Lovin’ It

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.