What changed
Piper Sandler raised its price target on McDonald’s to $325.00 from $323.00 and kept a Neutral rating on the shares. The revised target is closely aligned with McDonald’s prevailing share price of $323.21, a level that sits only about 1% beneath the company’s 52-week high of $328.06.
Earnings context
The firm’s update follows the release of McDonald’s fourth-quarter 2025 results, which delivered same-store sales above consensus across all reporting segments. U.S. same-store sales were in line with investor expectations, while the International Operated Markets (IOM) and International Developmental Licensed (IDL) segments outpaced analyst forecasts. The company also reported adjusted earnings per share of $3.12, topping the $3.03 projection, and revenue of $7.01 billion, exceeding the $6.81 billion estimate. Company commentary cited robust global comparable sales and positive guest counts in the U.S. as drivers of the outperformance.
Profitability and longer-term metrics
InvestingPro data referenced in the firm’s note indicates McDonald’s generated $8.4 billion in net income over the trailing 12 months, underscoring sustained profitability across the business.
Strategy and market-share dynamics
Piper Sandler highlighted McDonald’s pivot toward everyday value meals (EVM) as a material contributor to recent gains. According to the research note, the company has improved its value and affordability scores and has taken market share among lower-income consumers - objectives central to the EVM initiative.
Despite these strategic wins, McDonald’s management has signaled that the quick-service restaurant - QSR - environment in the U.S. is expected to remain challenging through the year, reflecting conservative business planning assumptions.
Broader analyst reaction
Other research shops also updated their views on McDonald’s after the results. KeyBanc Capital Markets kept an Overweight rating and a $340 target, citing the execution of value strategies and marketing. Truist Securities raised its price target from $356 to $370 and maintained a Buy rating. Barclays boosted its target from $372 to $380 with an Overweight rating, while BMO Capital reiterated an Outperform rating with a $360 target, noting the company’s stronger top-line trajectory. These revisions reflect a generally more positive analyst stance following the quarterly report.
Takeaway
Piper Sandler’s small upward tweak to the price target, paired with an unchanged Neutral view, reflects a balance between the company’s recent operational momentum and a valuation that is already near recent highs. The Q4 print showed that McDonald’s regained traction across several markets, but management’s caution on the U.S. QSR backdrop and the fact that the new target is essentially in line with current trading levels frame the near-term outlook as measured rather than unequivocally bullish.