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Investing.com - KeyBanc Capital Markets has raised its price target on McDonald’s (NYSE:MCD) to $335.00 from $325.00 while maintaining an Overweight rating on the stock. Currently trading at $308.83, McDonald’s maintains a "GOOD" overall financial health score according to InvestingPro data.
The adjustment follows McDonald’s second-quarter 2025 results, which featured better-than-expected global same-store sales growth with broad-based strength across most major markets during what KeyBanc described as a highly competitive period for the limited-service industry. The company’s strong performance is reflected in its robust 57% gross profit margin and 15.2% return on assets over the last twelve months.
KeyBanc noted that while McDonald’s continues to face challenges in changing negative value perceptions and attracting low-income consumers, the company "appears to be executing at a high level" with promising second-half programs.
The firm specifically highlighted Snack Wraps, which are "exceeding expectations," and the upcoming McDonaldland Meal scheduled for release later in August as potential growth drivers.
KeyBanc also increased its earnings per share estimates for McDonald’s to $12.45 for 2025 and $13.55 for 2026, citing the second-quarter beat, expectations for higher same-store sales growth in the second half, and favorable foreign exchange conditions.
In other recent news, McDonald’s reported its second-quarter earnings with earnings per share of $3.19, surpassing the consensus estimate of $3.14. This strong performance was attributed to robust global comparable sales and reduced general and administrative expenses. BMO Capital responded by raising its price target for McDonald’s to $350, maintaining an Outperform rating. UBS also reiterated its Buy rating and $350 price target, emphasizing improving global same-store sales trends and strategic execution. Meanwhile, Stifel maintained a Hold rating with a $300 price target, noting U.S. comparable sales growth of 2.5%, driven by higher average check values despite negative traffic trends. Bernstein SocGen increased its price target to $310 from $300, citing McDonald’s strong marketing calendar and clearer earnings visibility compared to peers. Raymond (NSE:RYMD) James reiterated a Market Perform rating, highlighting solid international performance but expressing caution about declining visits from lower-income U.S. consumers. These developments reflect McDonald’s ongoing efforts to navigate market challenges and capitalize on strategic opportunities.
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