McDonald’s (NYSE:MCD) Reaches New 1-Year High – Here’s What Happened

McDonald’s Corporation (NYSE:MCD)’s stock price reached a new 52-week high during trading on Wednesday . The stock traded as high as $326.58 and last traded at $326.8240, with a volume of 1620842 shares changing hands. The stock had previously closed at $319.48.

McDonald’s News Summary

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

• Positive Sentiment: BTIG upgraded MCD to a Buy, which can lift investor sentiment and support near-term buying interest. BTIG Research Upgrades McDonald’s (NYSE:MCD) to Buy
• Positive Sentiment: Massive publicity from the Valentine’s Day “McNugget Caviar” campaign and Free kit giveaways is driving consumer engagement and social media attention — a low-cost marketing win that could boost traffic and sales in the short term. McDonald’s is giving away free McNugget Caviar kits for Valentine’s Day — here’s how to get yours
• Positive Sentiment: McDonald’s named Loek Beckers as CFO of McDonald’s USA — an executive appointment that investors often view positively if it signals strengthened financial leadership and execution. Loek Beckers named CFO of McDonald’s USA
• Neutral Sentiment: McDonald’s said it’s scaling back soda fountains and hinted at broader operational changes — could represent cost savings or a shift in in-store experience, but implications for margins and AUVs are unclear until details emerge. McDonald’s is scaling back soda fountains – and it hints at a larger change ahead
• Neutral Sentiment: Multiple outlets note heavy promotional activity (Friends Happy Meal, collectables) and brand storytelling that support customer engagement but have mixed direct lift-to-sales evidence. McDonald’s launches Friends Happy Meal with six collectable toys
• Negative Sentiment: Zacks and other previews flag that McDonald’s may lack the key drivers for an earnings beat heading into the upcoming quarterly release — this raises the risk of a disappointing print or muted guidance reaction. McDonald’s (MCD) Earnings Expected to Grow: Should You Buy?
• Negative Sentiment: Customer backlash over stricter rules for promotional items (Friends meal) could dent short-term sentiment or indicate execution/communication issues in certain markets. McDonald’s fans left ‘devastated’ over strict Friends ‘adult Happy Meal’ rule

Analyst Ratings Changes

Several equities analysts recently issued reports on MCD shares. TD Cowen reissued a “hold” rating on shares of McDonald’s in a report on Thursday, January 8th. BTIG Research raised McDonald’s from a “neutral” rating to a “buy” rating and set a $360.00 price objective on the stock in a research report on Monday. Piper Sandler reaffirmed a “neutral” rating and issued a $325.00 price objective on shares of McDonald’s in a research report on Wednesday, October 22nd. Wells Fargo & Company raised their target price on shares of McDonald’s from $340.00 to $345.00 and gave the company an “overweight” rating in a research note on Thursday, November 6th. Finally, Citigroup cut their price objective on shares of McDonald’s from $381.00 to $375.00 and set a “buy” rating on the stock in a report on Tuesday, October 21st. Fifteen investment analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, McDonald’s presently has a consensus rating of “Hold” and an average target price of $331.37.

McDonald’s Trading Up 1.2%

The firm has a market capitalization of $230.22 billion, a PE ratio of 27.58, a P/E/G ratio of 3.22 and a beta of 0.52. The firm’s fifty day moving average price is $310.21 and its 200 day moving average price is $306.81.

McDonald’s (NYSE:MCD) last posted its earnings results on Wednesday, November 5th. The fast-food giant reported $3.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.11). McDonald’s had a net margin of 32.04% and a negative return on equity of 280.89%. The business had revenue of $7.08 billion for the quarter, compared to analyst estimates of $7.10 billion. During the same quarter in the prior year, the firm earned $3.23 earnings per share. The company’s revenue for the quarter was up 3.0% on a year-over-year basis. On average, analysts predict that McDonald’s Corporation will post 12.25 earnings per share for the current year.

Insider Buying and Selling

In other McDonald’s news, insider Joseph M. Erlinger sold 3,195 shares of the company’s stock in a transaction that occurred on Friday, November 14th. The stock was sold at an average price of $305.82, for a total value of $977,094.90. Following the sale, the insider owned 6,088 shares in the company, valued at approximately $1,861,832.16. This represents a 34.42% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, EVP Desiree Ralls-Morrison sold 2,486 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $320.00, for a total transaction of $795,520.00. Following the sale, the executive vice president directly owned 6,268 shares in the company, valued at $2,005,760. The trade was a 28.40% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 32,008 shares of company stock worth $9,895,452. Corporate insiders own 0.25% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MCD. Norges Bank purchased a new position in McDonald’s during the second quarter worth approximately $2,780,712,000. Laurel Wealth Advisors LLC raised its stake in shares of McDonald’s by 29,382.3% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 5,737,548 shares of the fast-food giant’s stock worth $1,676,339,000 after buying an additional 5,718,087 shares during the period. Soundwatch Capital LLC acquired a new stake in McDonald’s in the 2nd quarter valued at $1,412,069,000. Viking Global Investors LP lifted its holdings in McDonald’s by 171.7% during the second quarter. Viking Global Investors LP now owns 3,125,432 shares of the fast-food giant’s stock valued at $913,157,000 after purchasing an additional 1,974,998 shares in the last quarter. Finally, Amundi grew its position in shares of McDonald’s by 96.0% in the second quarter. Amundi now owns 4,032,676 shares of the fast-food giant’s stock valued at $1,188,147,000 after purchasing an additional 1,974,751 shares during the period. Hedge funds and other institutional investors own 70.29% of the company’s stock.

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.