McDonald’s (NYSE:MCD) Stock Price Down 1.5% – Should You Sell?

Posted by Francis Steltz on Sep 4th, 2026

McDonald’s Corporation (NYSE:MCD – Get Free Report) shares were down 1.5% on Friday . The stock traded as low as $255.49 and last traded at $255.69. 4,174,661 shares traded hands during trading, an increase of 6% from the average daily volume of 3,939,901 shares. The stock had previously closed at $259.63.

Key McDonald’s News

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

Positive Sentiment: Valuation may attract contrarian buyers: McDonald’s is trading at roughly 19.15 times earnings, below the restaurant industry’s average multiple. Analysts point to global expansion, digital initiatives and new product efforts as possible catalysts for a recovery. McDonald’s Trades at 19.15X P/E: Is This a Discounted Opportunity?
Positive Sentiment: Promotional activity could support traffic: McDonald’s is bringing back popular menu items, launching a Texas-themed meal with collectible cups and promoting limited-time products. These campaigns may encourage visits and improve near-term sales, though their financial impact is unproven. McDonald’s launches exclusive state-themed meal
Neutral Sentiment: Brand visibility remains high: Coverage of McDonald’s breakfast offerings, Grimace appearances, collectible merchandise and Warren Buffett’s long-standing affinity for the brand reinforces consumer awareness but is unlikely to materially change earnings expectations. The best McDonald’s breakfast sandwich isn’t on the menu
Negative Sentiment: U.S. consumer weakness is the main concern: Reports describe consumer-focused stocks, including McDonald’s, as signaling softer spending in middle America. Articles also highlight customers shifting to competing fast-food chains, increasing pressure on traffic and comparable sales. Wall Street worried about consumer stocks
Negative Sentiment: Value positioning remains problematic: Coverage says McDonald’s $3 value offering has not fully delivered for customers or the company, raising concerns about affordability, franchisee economics and the effectiveness of discounting. Why you can’t find McDonald’s $3 value menu

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the company. Piper Sandler set a $286.00 price target on McDonald’s in a research report on Tuesday, August 4th. KeyCorp lowered their target price on McDonald’s from $315.00 to $305.00 and set an “overweight” rating on the stock in a research note on Wednesday, August 5th. Robert W. Baird raised McDonald’s to a “hold” rating in a report on Monday, August 24th. Tigress Financial boosted their target price on McDonald’s from $385.00 to $390.00 and gave the company a “buy” rating in a report on Friday, July 17th. Finally, Mizuho decreased their price target on McDonald’s from $300.00 to $290.00 and set a “neutral” rating for the company in a report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eleven have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $321.35.

View Our Latest Stock Analysis on McDonald’s

McDonald’s Price Performance

The stock has a market cap of $180.94 billion, a price-to-earnings ratio of 20.77, a P/E/G ratio of 2.82 and a beta of 0.41. The stock’s 50-day moving average is $269.96 and its 200 day moving average is $289.62.

McDonald’s (NYSE:MCD – Get Free Report) last released its earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share (EPS) 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 analysts’ expectations of $7.13 billion. McDonald’s had a negative return on equity of 572.06% and a net margin of 31.72%.The firm’s quarterly revenue was up 3.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $3.19 EPS. Analysts anticipate that McDonald’s Corporation will post 12.87 EPS for the current year.

McDonald’s Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Tuesday, September 1st will be paid a $1.86 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $7.44 dividend on an annualized basis and a dividend yield of 2.9%. McDonald’s’s payout ratio is 60.44%.

Insider Transactions at McDonald’s

In other news, insider Joseph Erlinger sold 5,252 shares of the company’s stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $284.32, for a total transaction of $1,493,248.64. Following the transaction, the insider directly owned 7,734 shares of the company’s stock, valued at $2,198,930.88. This represents a 40.44% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.26% of the company’s stock.

Institutional Trading of McDonald’s

A number of institutional investors have recently added to or reduced their stakes in the stock. Hamilton Point Investment Advisors LLC lifted its position in shares of McDonald’s by 1.8% during the 4th quarter. Hamilton Point Investment Advisors LLC now owns 1,750 shares of the fast-food giant’s stock valued at $535,000 after acquiring an additional 31 shares during the period. Encompass More Asset Management increased its stake in McDonald’s by 1.5% in the 4th quarter. Encompass More Asset Management now owns 2,120 shares of the fast-food giant’s stock valued at $648,000 after purchasing an additional 32 shares in the last quarter. Richmond Investment Services LLC increased its stake in McDonald’s by 1.4% in the 4th quarter. Richmond Investment Services LLC now owns 2,278 shares of the fast-food giant’s stock valued at $696,000 after purchasing an additional 32 shares in the last quarter. Papamarkou Wellner Asset Management inc. increased its stake in McDonald’s by 0.4% in the 4th quarter. Papamarkou Wellner Asset Management inc. now owns 8,809 shares of the fast-food giant’s stock valued at $2,692,000 after purchasing an additional 32 shares in the last quarter. Finally, Allied Investment Advisors LLC raised its holdings in McDonald’s by 2.6% during the fourth quarter. Allied Investment Advisors LLC now owns 1,366 shares of the fast-food giant’s stock worth $417,000 after purchasing an additional 34 shares during the last quarter. Hedge funds and other institutional investors own 70.29% of the company’s stock.

McDonald’s Company Profile

(Get Free Report)

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.