Q1 Earnings Forecast for McDonald’s Issued By Zacks Research

McDonald’s Co. (NYSE:MCD) – Analysts at Zacks Research dropped their Q1 2025 earnings per share (EPS) estimates for McDonald’s in a research note issued to investors on Wednesday, February 5th. Zacks Research analyst H. Ray now expects that the fast-food giant will post earnings of $2.70 per share for the quarter, down from their previous forecast of $2.73. The consensus estimate for McDonald’s’ current full-year earnings is $11.68 per share. Zacks Research also issued estimates for McDonald’s’ Q2 2025 earnings at $3.12 EPS, FY2025 earnings at $12.30 EPS, Q1 2026 earnings at $2.95 EPS, Q3 2026 earnings at $3.65 EPS and FY2026 earnings at $13.38 EPS.

Other research analysts also recently issued research reports about the company. Piper Sandler cut their target price on McDonald’s from $297.00 to $290.00 and set a “neutral” rating for the company in a research note on Tuesday. Truist Financial reduced their price target on shares of McDonald’s from $350.00 to $342.00 and set a “buy” rating on the stock in a research report on Wednesday, October 30th. BMO Capital Markets increased their target price on shares of McDonald’s from $315.00 to $335.00 and gave the company an “outperform” rating in a report on Wednesday, October 30th. Guggenheim downgraded shares of McDonald’s from a “buy” rating to a “neutral” rating and lowered their price target for the stock from $290.00 to $285.00 in a research note on Wednesday, October 23rd. Finally, Baird R W downgraded McDonald’s from a “strong-buy” rating to a “hold” rating in a report on Wednesday, October 23rd. Ten equities research analysts have rated the stock with a hold rating and sixteen have assigned a buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $318.86.

McDonald’s Stock Performance

Shares of MCD stock opened at $294.37 on Friday. The company has a market capitalization of $210.95 billion, a price-to-earnings ratio of 25.84, a PEG ratio of 3.83 and a beta of 0.74. The company has a 50-day simple moving average of $290.75 and a two-hundred day simple moving average of $290.37. McDonald’s has a 52-week low of $243.53 and a 52-week high of $317.90.

Hedge Funds Weigh In On McDonald’s

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Steigerwald Gordon & Koch Inc. grew its position in McDonald’s by 2.4% during the third quarter. Steigerwald Gordon & Koch Inc. now owns 1,422 shares of the fast-food giant’s stock valued at $433,000 after purchasing an additional 33 shares in the last quarter. Riversedge Advisors LLC increased its stake in shares of McDonald’s by 2.0% in the third quarter. Riversedge Advisors LLC now owns 1,686 shares of the fast-food giant’s stock worth $513,000 after acquiring an additional 33 shares during the last quarter. Proquility Private Wealth Partners LLC raised its holdings in shares of McDonald’s by 1.0% during the third quarter. Proquility Private Wealth Partners LLC now owns 3,472 shares of the fast-food giant’s stock worth $1,057,000 after acquiring an additional 35 shares in the last quarter. Clear Creek Financial Management LLC boosted its position in McDonald’s by 2.8% during the third quarter. Clear Creek Financial Management LLC now owns 1,300 shares of the fast-food giant’s stock valued at $396,000 after purchasing an additional 35 shares during the last quarter. Finally, GDS Wealth Management grew its stake in McDonald’s by 1.4% in the third quarter. GDS Wealth Management now owns 2,504 shares of the fast-food giant’s stock valued at $762,000 after purchasing an additional 35 shares in the last quarter. 70.29% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at McDonald’s

In related news, insider Joseph M. Erlinger sold 300 shares of the stock in a transaction dated Thursday, January 23rd. The shares were sold at an average price of $280.75, for a total value of $84,225.00. Following the sale, the insider now owns 7,887 shares of the company’s stock, valued at $2,214,275.25. This trade represents a 3.66 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Desiree Ralls-Morrison sold 3,409 shares of the firm’s stock in a transaction that occurred on Monday, December 30th. The shares were sold at an average price of $290.15, for a total value of $989,121.35. Following the completion of the sale, the executive vice president now owns 9,675 shares in the company, valued at approximately $2,807,201.25. This represents a 26.05 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 7,406 shares of company stock worth $2,150,857 over the last quarter. 0.23% of the stock is owned by corporate insiders.

McDonald’s Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Monday, March 3rd will be issued a $1.77 dividend. This represents a $7.08 annualized dividend and a yield of 2.41%. McDonald’s’s dividend payout ratio is currently 62.16%.

McDonald’s Company Profile

McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.