Guggenheim raised its price objective on McDonald’s (NYSE:MCD) to $325.00 from $310.00 on Tuesday and kept a Neutral rating on the shares. The company currently trades at $318.53, which the firm notes sits about 0.98% below the stock's 52-week high of $326.32, according to InvestingPro data.
The firm updated several forward-facing metrics, increasing both same-store sales and earnings estimates. Guggenheim lifted its 2026 earnings per share forecast to $13.55 from a previously stated $13.20. The firm also cited valuation measures, noting McDonald’s trades at a price-to-earnings ratio of 27.15 and carries a price/earnings-to-growth ratio of 9.19 based on InvestingPro data.
Guggenheim revised its comparable sales outlook for the fourth quarter of 2025, now projecting 6.0% growth in the U.S. market and 3.8% growth in International Operated Markets, or IOM. These adjustments reflect the firm’s updated view of near-term revenue trends for the business.
On a recent weekend visit to a test location in Chicago, Guggenheim reported observations about McDonald’s product tests currently underway. The firm highlighted the CosMc beverage lineup and an upgraded chicken platform in market trials. Those in-field checks were cited as part of the rationale backing the estimate changes.
The increase in the price target was driven by both the higher earnings forecast and a tweak to the applied multiple. Guggenheim moved to a 24 times multiple on 2026 earnings, up from a 23.5 times multiple used previously, combining the revised EPS and a modest valuation expansion to arrive at the new $325 target.
McDonald’s is preparing to report fourth-quarter results, and a number of other analysts have recently restated their views. UBS maintained a Buy rating and a $350 target, citing expectations for robust U.S. same-store sales and international momentum. Jefferies also kept a Buy rating with a $360 target, anticipating a 4.5% rise in U.S. same-store sales and projecting fourth-quarter earnings per share of $3.00, a figure described as slightly below consensus.
KeyBanc raised its price target to $340, noting McDonald’s effective value strategy amid industry challenges. TD Cowen reiterated a Hold rating with a $320 target while aligning with an expectation for approximately 7% U.S. comparable sales growth. BMO Capital identified McDonald’s as a top pick in the restaurant sector for 2026, even as it projected a difficult year for the industry overall. Collectively, these broker notes present a mix of cautious optimism and measured concern among sell-side analysts ahead of the company’s results.
Contextual note: The details above summarize recent analyst revisions, product tests, and consensus positioning as reported by the broker community and reflect the information disclosed by those firms ahead of McDonald’s upcoming quarterly filing.