Analysts Set Expectations for McDonald’s FY2027 Earnings

McDonald’s Corporation (NYSE:MCD) – Research analysts at Erste Group Bank issued their FY2027 EPS estimates for shares of McDonald’s in a research note issued on Wednesday, February 18th. Erste Group Bank analyst S. Lingnau expects that the fast-food giant will post earnings of $14.35 per share for the year. Erste Group Bank currently has a “Buy” rating on the stock. The consensus estimate for McDonald’s’ current full-year earnings is $12.25 per share.

MCD has been the topic of several other reports. BMO Capital Markets reaffirmed an “outperform” rating on shares of McDonald’s in a research report on Thursday, November 6th. Argus raised shares of McDonald’s from a “hold” rating to a “buy” rating and set a $380.00 price objective for the company in a research report on Friday, February 13th. Royal Bank Of Canada lifted their target price on shares of McDonald’s from $320.00 to $330.00 and gave the stock a “sector perform” rating in a research note on Thursday, February 12th. Mizuho boosted their target price on shares of McDonald’s from $300.00 to $325.00 and gave the stock a “neutral” rating in a research report on Friday, February 6th. Finally, Truist Financial raised their price target on shares of McDonald’s from $356.00 to $370.00 and gave the stock a “buy” rating in a report on Thursday, February 12th. Sixteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, McDonald’s presently has a consensus rating of “Hold” and a consensus price target of $337.04.

McDonald’s Stock Performance

NYSE MCD opened at $334.55 on Monday. The company has a market cap of $238.25 billion, a PE ratio of 28.00, a P/E/G ratio of 2.92 and a beta of 0.52. The firm’s 50 day moving average price is $314.97 and its 200-day moving average price is $309.41. McDonald’s has a 52-week low of $283.47 and a 52-week high of $335.67.

McDonald’s (NYSE:MCD) last announced its quarterly earnings results on Wednesday, February 11th. The fast-food giant reported $3.12 EPS for the quarter, beating analysts’ consensus estimates of $3.05 by $0.07. The firm had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.81 billion. McDonald’s had a net margin of 31.85% and a negative return on equity of 343.90%. The firm’s revenue for the quarter was up 9.7% compared to the same quarter last year. During the same quarter last year, the firm earned $2.83 EPS.

McDonald’s Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd will be given a dividend of $1.86 per share. The ex-dividend date of this dividend is Tuesday, March 3rd. This represents a $7.44 annualized dividend and a dividend yield of 2.2%. McDonald’s’s payout ratio is presently 62.26%.

Insider Transactions at McDonald’s

In related news, CMO Edith Morgan Flatley sold 4,692 shares of the firm’s stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $331.00, for a total transaction of $1,553,052.00. Following the completion of the sale, the chief marketing officer directly owned 6,200 shares in the company, valued at approximately $2,052,200. This trade represents a 43.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Christopher J. Kempczinski sold 26,276 shares of the business’s stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $333.54, for a total transaction of $8,764,097.04. Following the completion of the transaction, the chief executive officer owned 22,900 shares in the company, valued at $7,638,066. The trade was a 53.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 71,550 shares of company stock valued at $23,484,957 in the last three months. 0.25% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On McDonald’s

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Federated Hermes Inc. raised its holdings in McDonald’s by 84.1% during the second quarter. Federated Hermes Inc. now owns 141,775 shares of the fast-food giant’s stock worth $41,422,000 after purchasing an additional 64,757 shares in the last quarter. Global X Japan Co. Ltd. increased its position in McDonald’s by 236.7% during the 3rd quarter. Global X Japan Co. Ltd. now owns 6,502 shares of the fast-food giant’s stock worth $1,976,000 after purchasing an additional 4,571 shares during the period. D.A. Davidson & CO. raised its stake in shares of McDonald’s by 2.7% during the 3rd quarter. D.A. Davidson & CO. now owns 143,492 shares of the fast-food giant’s stock worth $43,606,000 after buying an additional 3,774 shares in the last quarter. Choreo LLC lifted its holdings in shares of McDonald’s by 1.7% in the 2nd quarter. Choreo LLC now owns 58,515 shares of the fast-food giant’s stock valued at $17,096,000 after buying an additional 954 shares during the period. Finally, Regent Peak Wealth Advisors LLC purchased a new stake in shares of McDonald’s in the third quarter valued at approximately $1,120,000. Institutional investors and hedge funds own 70.29% of the company’s stock.

Key McDonald’s News

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

• Positive Sentiment: McDonald’s is rolling out the national Big Arch burger in early March — a high-visibility product launch that could boost store traffic and temporary check increases if it resonates with consumers. McDonald’s Big Arch burger is headed to US menus in early March — here’s what to know
• Positive Sentiment: Company commentary and coverage highlight McDonald’s expanding focus on larger, premium sandwiches and upsell items — a menu trend that supports higher average checks and margin expansion. McDonald’s goes big on a growing menu trend
• Positive Sentiment: Erste Group upgraded MCD to Buy and expects stronger sales growth for 2026 (included in lists of low-volatility dividend stocks), giving investors a catalyst and fresh conviction around earnings upside. Erste Group Sees McDonald’s (MCD) Benefiting from Strong Financial Profile
• Neutral Sentiment: Operational tweak: McDonald’s updated its cash-rounding rules as pennies disappear — a small checkout/transaction change that could slightly simplify cash handling but has limited earnings impact. McDonald’s updates its cash rules as pennies vanish – how this might change your checkout routine
• Neutral Sentiment: Feature story on packaging evolution — useful for brand/ESG narrative but unlikely to move near-term fundamentals. How McDonald’s packaging has changed over the decades
• Negative Sentiment: Broader market weakness (Dow down, software weakness) could apply short-term downward pressure on MCD despite company-specific positives if risk-off sentiment deepens. Stock Market Today: Dow Dives, Cybersecurity Plays Hit As Software Sinks; Gold Stocks Shine (Live Coverage)

About McDonald’s

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.