JFrog stock rises as Cantor Fitzgerald maintains Overweight rating after strong Q2
Investing.com - Truist Securities raised its price target on McDonald’s (NYSE:MCD) to $356.00 from $350.00 on Wednesday, while maintaining a Buy rating on the $209 billion fast-food giant’s stock. According to InvestingPro, McDonald’s maintains a GOOD financial health score and boasts an impressive 49-year streak of dividend increases, currently yielding 2.43%.
The price target increase comes one day before McDonald’s planned reintroduction of its Snack Wrap menu item on July 10, which Truist believes will boost sales momentum for the company.
Truist noted that McDonald’s experienced a slight uptick in momentum during June, with year-over-year growth improving by 100 basis points compared to May, when sales appeared to reach their lowest point following the May 5 launch of new Chicken Strips.
The firm expects the Snack Wrap launch to benefit from a larger marketing effort, proven historical success, and the value-oriented nature of the offering, potentially appealing to consumers who have faced significant McDonald’s menu price increases in recent years.
Truist forecasts third-quarter 2025 U.S. same-store sales growth of 3.0% for McDonald’s, above the consensus estimate of 2.7%.
In other recent news, McDonald’s has been in the spotlight with several key developments. The company reached a settlement in a $10 billion lawsuit with Byron Allen over ad spending, resolving disputes with his businesses, Entertainment Studios Networks and the Weather Group. In terms of financial forecasts, Citi raised its price target for McDonald’s to $365, maintaining a Buy rating, while KeyBanc lowered its target to $325 due to consumer spending concerns but still kept an Overweight rating. UBS reiterated its Buy rating with a $350 price target, noting McDonald’s potential for market share gains despite current pressures. McDonald’s also announced the end of its partnership with Krispy Kreme (NASDAQ:DNUT), effective July 2025, as the business model was deemed financially unviable for Krispy Kreme. Despite these changes, McDonald’s continues to focus on its breakfast strategy, a core part of its business. UBS expects McDonald’s earnings growth to reach high single digits, driven by new products and marketing plans. Meanwhile, KeyBanc adjusted its earnings per share forecast for 2025 to $12.40 from $12.54, reflecting a competitive market environment.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.