McDonald’s (NYSE:MCD) Stock Sees Heavy Call Option Buying

Posted by Brian Himes on Oct 15th, 2026

McDonald’s Corporation (NYSE:MCD – Get Free Report) was the recipient of some unusual options trading activity on Thursday. Investors purchased 42,937 call options on the company. This is an increase of approximately 24% compared to the average daily volume of 34,725 call options.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Abound Financial LLC acquired a new position in shares of McDonald’s during the 4th quarter worth about $30,000. Purpose Unlimited Inc. purchased a new stake in McDonald’s during the fourth quarter worth approximately $31,000. GKV Capital Management Co. Inc. purchased a new stake in McDonald’s during the first quarter worth approximately $33,000. Merkkuri Wealth Advisors LLC purchased a new stake in McDonald’s during the first quarter worth approximately $43,000. Finally, Burkett Financial Services LLC boosted its holdings in McDonald’s by 2,312.5% in the third quarter. Burkett Financial Services LLC now owns 193 shares of the fast-food giant’s stock valued at $45,000 after purchasing an additional 185 shares in the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on the company. JPMorgan Chase & Co. lowered their price objective on McDonald’s from $280.00 to $260.00 and set an “overweight” rating for the company in a research report on Thursday, September 24th. Mizuho decreased their price objective on shares of McDonald’s from $300.00 to $290.00 and set a “neutral” rating on the stock in a report on Friday, July 31st. Freedom Capital raised shares of McDonald’s from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, August 5th. BTIG Research cut their target price on McDonald’s from $350.00 to $295.00 and set a “buy” rating on the stock in a research report on Thursday, September 24th. Finally, Jefferies Financial Group decreased their price target on McDonald’s from $260.00 to $250.00 and set an “overweight” rating on the stock in a research note on Tuesday, September 29th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, McDonald’s currently has a consensus rating of “Moderate Buy” and a consensus price target of $295.94.

Get Our Latest Research Report on McDonald’s

McDonald’s Trading Up 1.9%

NYSE:MCD traded up $4.52 during midday trading on Thursday, reaching $242.83. The company had a trading volume of 3,876,677 shares, compared to its average volume of 4,237,482. The firm has a market capitalization of $171.84 billion, a price-to-earnings ratio of 19.73, a PEG ratio of 2.64 and a beta of 0.44. The stock’s fifty day simple moving average is $253.35 and its 200-day simple moving average is $272.74. McDonald’s has a 12-month low of $229.20 and a 12-month high of $341.75.

McDonald’s (NYSE:MCD – Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share for the quarter, topping the consensus estimate of $3.32 by $0.06. The company had revenue of $7.10 billion for the quarter, compared to the consensus estimate of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%. McDonald’s’s revenue was up 3.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $3.19 EPS. As a group, sell-side analysts expect that McDonald’s will post 12.84 EPS for the current year.

McDonald’s Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 1st will be given a dividend of $1.93 per share. This is a boost from McDonald’s’s previous quarterly dividend of $1.86. This represents a $7.72 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date of this dividend is Tuesday, December 1st. McDonald’s’s dividend payout ratio is presently 62.71%.

Key Stories Impacting McDonald’s

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

Positive Sentiment: McDonald’s shares advanced even as the broader market weakened, indicating some relative strength and investor interest at depressed valuation levels. McDonald’s Increases Despite Market Slip
Positive Sentiment: The company’s roughly $8.5 billion franchisee-support and modernization plan, along with personalized digital offers, value meals and streamlined marketing, could improve traffic and sales if execution improves. The planned “Archy” drive-through AI system may also support efficiency, although its benefits remain unproven. McDonald’s $8.5B Fix
Positive Sentiment: Renewed promotions, including the Monopoly Go collaboration and potential Disney-villain Boo Buckets, could provide short-term customer engagement and seasonal sales support, though these campaigns are unlikely to change the long-term outlook by themselves. Monopoly Go Returns to McDonald’s
Neutral Sentiment: At about 18 times earnings, MCD’s valuation may already reflect some of the turnaround risk, but investors still need evidence that the spending plan can restore sustainable growth. McDonald’s Trades at 18 Times Earnings
Negative Sentiment: Shares remain down sharply over six months as weak U.S. sales, ineffective value-menu execution and reduced earnings estimates weigh on investor confidence. Analysts are questioning whether promotions and operational fixes can reverse the slowdown. McDonald’s Stock Down 23 Percent in Six Months
Negative Sentiment: A proposed class-action lawsuit alleging problematic AI-driven menu pricing creates legal, reputational and regulatory risk, while reports of a poorly reviewed U.S. location highlight potential service and franchise-operator issues. McDonald’s AI Menu Pricing Lawsuit

McDonald’s Company Profile

(Get Free Report)

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.