McDonald’s (NYSE:MCD) Shares Up 1.8% on Analyst Upgrade

McDonald’s Corporation (NYSE:MCD)’s stock price shot up 1.8% on Monday after Argus raised their price target on the stock from $310.00 to $320.00. Argus currently has a buy rating on the stock. McDonald’s traded as high as $283.26 and last traded at $281.5380. 4,944,932 shares traded hands during trading, an increase of 13% from the average session volume of 4,370,894 shares. The stock had previously closed at $276.52.

A number of other equities research analysts have also weighed in on the stock. Jefferies Financial Group reduced their target price on shares of McDonald’s from $260.00 to $250.00 and set an “overweight” rating on the stock in a report on Tuesday, September 29th. BTIG Research raised their price target on shares of McDonald’s from $295.00 to $305.00 and gave the company a “buy” rating in a research note on Thursday. Royal Bank Of Canada lifted their price target on shares of McDonald’s from $285.00 to $300.00 and gave the stock a “sector perform” rating in a report on Thursday. BMO Capital Markets reissued an “outperform” rating on shares of McDonald’s in a research note on Thursday. Finally, Weiss Ratings cut shares of McDonald’s from a “hold (c)” rating to a “hold (c-)” rating in a research note on Friday, October 2nd. Two analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, fourteen have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $297.82.

Key Stories Impacting McDonald’s

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

• Positive Sentiment: Profitability exceeded expectations, supported by cost discipline, refranchising and digital offers. Management said targeted promotions helped reverse the decline in U.S. traffic late in the quarter, though the improvement’s durability remains to be seen. The top 5 analyst questions from McDonald’s’s Q3 2026 earnings call
• Positive Sentiment: McDonald’s is expanding its Uber partnership across 14 markets, adding in-app ordering and cross-platform loyalty benefits. The move may support delivery reach and customer engagement, although its financial impact was not quantified. McDonald’s Expands Uber Partnership in 14 Markets
• Neutral Sentiment: A low-priced bundle being tested at 1,900 restaurants could be pivotal to attracting price-sensitive diners and sustaining the recovery. Its effect on traffic and margins is not yet clear. MCD Stock Outlook: Wall Street Eyes a Potential Upside Breakout After Q3 Results
• Negative Sentiment: Sales and traffic remain key risks: quarterly revenue came in below consensus, and reports cite declining U.S. guest counts and a 0.2% drop in U.S. comparable sales. Analysts also question whether the post-earnings rally assumes a turnaround before traffic has sustainably recovered. McDonald’s Stock Jumped 7% Last Week. Is Its Earnings Beat Really That Good?

Hedge Funds Weigh In On McDonald’s

A number of hedge funds have recently bought and sold shares of the company. GKV Capital Management Co. Inc. acquired a new position in McDonald’s during the first quarter worth $33,000. Valued Wealth Advisors LLC increased its stake in shares of McDonald’s by 121.1% in the 3rd quarter. Valued Wealth Advisors LLC now owns 168 shares of the fast-food giant’s stock worth $39,000 after acquiring an additional 92 shares during the last quarter. POM Investment Strategies LLC increased its stake in shares of McDonald’s by 46.2% in the 2nd quarter. POM Investment Strategies LLC now owns 174 shares of the fast-food giant’s stock worth $47,000 after acquiring an additional 55 shares during the last quarter. Westfuller Advisors LLC raised its holdings in shares of McDonald’s by 140.0% during the 2nd quarter. Westfuller Advisors LLC now owns 180 shares of the fast-food giant’s stock worth $49,000 after acquiring an additional 105 shares during the period. Finally, Burkett Financial Services LLC raised its holdings in shares of McDonald’s by 2,312.5% during the 3rd quarter. Burkett Financial Services LLC now owns 193 shares of the fast-food giant’s stock worth $45,000 after acquiring an additional 185 shares during the period. Institutional investors own 70.29% of the company’s stock.

McDonald’s Stock Performance

The firm’s 50-day moving average price is $248.76 and its two-hundred day moving average price is $282.57. The stock has a market cap of $199.23 billion, a price-to-earnings ratio of 22.27, a PEG ratio of 3.20 and a beta of 0.42.

McDonald’s (NYSE:MCD) last released its quarterly earnings data on Wednesday, November 4th. The fast-food giant reported $3.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.38 by $0.19. McDonald’s had a net margin of 32.38% and a negative return on equity of 671.56%. The firm had revenue of $7.16 billion during the quarter, compared to analysts’ expectations of $7.28 billion. During the same period last year, the business earned $3.22 earnings per share. McDonald’s’s revenue was up 1.1% compared to the same quarter last year. As a group, sell-side analysts expect that McDonald’s Corporation will post 12.88 earnings per share for the current fiscal year.

McDonald’s Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 1st will be paid a $1.93 dividend. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. The ex-dividend date of this dividend is Tuesday, December 1st. This represents a $7.72 annualized dividend and a dividend yield of 2.7%. McDonald’s’s dividend payout ratio is currently 61.08%.

McDonald’s Company Profile

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.