McDonald’s (NYSE:MCD) Stock Rating Upgraded by Argus

McDonald’s (NYSE:MCD) was upgraded by investment analysts at Argus from a “hold” rating to a “buy” rating in a research note issued on Friday, MarketBeat Ratings reports. The brokerage currently has a $380.00 price objective on the fast-food giant’s stock. Argus’ target price points to a potential upside of 16.00% from the stock’s previous close.

MCD has been the topic of several other research reports. Truist Financial lifted their target price on McDonald’s from $356.00 to $370.00 and gave the company a “buy” rating in a research note on Thursday. Jefferies Financial Group boosted their price objective on shares of McDonald’s from $360.00 to $375.00 and gave the stock a “buy” rating in a research note on Thursday. 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 report on Thursday. Piper Sandler lifted their price target on shares of McDonald’s from $323.00 to $325.00 and gave the stock a “neutral” rating in a report on Thursday. Finally, Mizuho increased their price objective on McDonald’s from $300.00 to $325.00 and gave the company a “neutral” rating in a report on Friday, February 6th. Fifteen research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $337.04.

McDonald’s Stock Performance

NYSE MCD opened at $327.58 on Friday. The company has a market cap of $233.29 billion, a PE ratio of 27.41, a P/E/G ratio of 3.30 and a beta of 0.52. The firm’s 50 day moving average price is $313.02 and its 200-day moving average price is $308.30. McDonald’s has a 52-week low of $283.47 and a 52-week high of $335.67.

McDonald’s (NYSE:MCD) last posted its earnings results on Wednesday, February 11th. The fast-food giant reported $3.12 earnings per share for the quarter, topping analysts’ consensus estimates of $3.05 by $0.07. McDonald’s had a negative return on equity of 343.90% and a net margin of 31.85%.The company had revenue of $7.01 billion during the quarter, compared to analyst estimates of $6.81 billion. During the same quarter in the prior year, the business earned $2.83 earnings per share. McDonald’s’s revenue was up 9.7% on a year-over-year basis. On average, analysts forecast that McDonald’s will post 12.25 earnings per share for the current fiscal year.

Insider Transactions at McDonald’s

In other news, EVP Manuel Jm Steijaert sold 6,567 shares of the firm’s stock in a transaction dated Monday, December 1st. The stock was sold at an average price of $305.50, for a total value of $2,006,218.50. Following the completion of the transaction, the executive vice president directly owned 4,606 shares in the company, valued at $1,407,133. This trade represents a 58.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Ian Frederick Borden sold 17,134 shares of the company’s stock in a transaction that occurred on Friday, November 21st. The shares were sold at an average price of $310.00, for a total value of $5,311,540.00. Following the completion of the sale, the chief financial officer owned 26,353 shares in the company, valued at approximately $8,169,430. This represents a 39.40% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 31,439 shares of company stock worth $9,772,464. 0.25% of the stock is owned by insiders.

Hedge Funds Weigh In On McDonald’s

A number of institutional investors have recently modified their holdings of the stock. Arete Wealth Advisors LLC grew its holdings in McDonald’s by 1.2% during the fourth quarter. Arete Wealth Advisors LLC now owns 37,282 shares of the fast-food giant’s stock worth $11,394,000 after acquiring an additional 430 shares during the period. CreativeOne Wealth LLC boosted its position in McDonald’s by 1.4% in the 4th quarter. CreativeOne Wealth LLC now owns 12,764 shares of the fast-food giant’s stock worth $3,901,000 after purchasing an additional 173 shares in the last quarter. Cordoba Advisory Partners LLC purchased a new stake in McDonald’s in the 4th quarter worth approximately $207,000. Burton Enright Welch acquired a new stake in shares of McDonald’s during the 4th quarter worth approximately $416,000. Finally, Kestra Advisory Services LLC increased its holdings in shares of McDonald’s by 15.5% during the 4th quarter. Kestra Advisory Services LLC now owns 195,733 shares of the fast-food giant’s stock valued at $59,822,000 after purchasing an additional 26,291 shares in the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Key Headlines Impacting McDonald’s

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

• Positive Sentiment: Q4 beat and momentum — McDonald’s reported stronger-than-expected Q4 results (revenue ~ $7.0B, EPS beat, systemwide comps up ~5.7% with U.S. comps ~6.8%) and cited loyalty growth that helped drive sales and margins; this is the primary bullish catalyst supporting the stock. Q4 Earnings Beat
• Positive Sentiment: Analyst upgrades and higher targets — Several firms raised ratings/targets (Argus upgraded to Buy with a $380 target; Truist/BTIG raised targets toward ~$370), which can support further upside as sentiment shifts. Analyst Upgrades
• Positive Sentiment: Buyback/dividend tailwind — Coverage notes that strong cash flow from Q4 and a healthy dividend yield support continued buybacks and payouts, a structural catalyst for EPS per-share gains over time. Buybacks & Dividends
• Neutral Sentiment: Promotions/brand buzz — Seasonal items and PR stunts (Shamrock Shake, McNugget kits) are driving traffic and media attention; helpful for short-term comps but likely temporary. Promotions
• Negative Sentiment: Insider selling — A disclosed sale by a senior U.S. executive (Form 4) may have added to near-term selling pressure as some investors lock in gains after the earnings pop. Insider Sale
• Negative Sentiment: Franchisee execution risk — Reports of tension between corporate pricing/value pushes and some franchisees could complicate uniform execution and margins across markets, a potential headwind if disputes persist. Franchisee Tensions

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.