Joseph M. Erlinger, who serves as President of McDonald’s USA, reported the sale of 333 shares of McDonald’s Corp. (NASDAQ: MCD) common stock on February 23, 2026, according to a Form 4 filed with the Securities and Exchange Commission. The shares were disposed of at $330.43 apiece, producing proceeds of $110,033.
The filing shows the sale was carried out pursuant to a 10b5-1 trading plan. Following the transaction, Erlinger’s direct holdings in McDonald’s amount to 8,732.89 shares.
At the time of the sale the company’s stock was trading at $333.21, close to its 52-week high of $336. The company’s market capitalization stands at $236.6 billion and its price-to-earnings ratio is reported as 27.81. InvestingPro Fair Value analysis currently marks McDonald’s as appearing overvalued.
InvestingPro research further notes that McDonald’s has increased its dividend for 50 consecutive years and that the stock yields 2.23% based on current figures. A comprehensive Pro Research Report on McDonald’s is available through InvestingPro, part of a coverage universe that includes more than 1,400 U.S. equities.
Analyst moves and price-target revisions
Several brokerages have updated ratings or price targets for McDonald’s recently. Erste Group upgraded the stock from Hold to Buy, citing expectations for stronger sales growth this year. Argus also moved to a Buy rating, pointing to the draw of McDonald’s value menu for budget-conscious consumers.
UBS raised its price target on McDonald’s to $365 from $350 while maintaining a Buy rating, noting strong global same-store sales and continued strategic momentum. TD Cowen kept a Hold rating with a $320 target, highlighting better-than-expected same-store sales in both International Operated Markets and the U.S. RBC Capital raised its price target to $330 from $320, maintaining a Sector Perform rating and citing solid fourth-quarter performance along with an effective value strategy.
These analyst actions contribute to a generally positive consensus among market observers, with emphasis on McDonald’s strategic initiatives and its market positioning.
Summary
Erlinger’s sale of 333 shares for $110,033 under a 10b5-1 plan leaves him with 8,732.89 shares. The transaction occurred while McDonald’s shares traded near their 52-week high. Investors and analysts are weighing valuation metrics, dividend history, and recent analyst upgrades and target increases.
Key points
- Insider transaction: Joseph M. Erlinger sold 333 McDonald’s shares on February 23, 2026, for $110,033 under a 10b5-1 plan.
- Company metrics cited: market cap $236.6 billion, P/E 27.81, and an InvestingPro view that the stock appears overvalued; dividend streak of 50 years and a 2.23% yield.
- Analyst activity: upgrades and higher price targets from Erste Group, Argus, UBS, and RBC Capital, while TD Cowen reiterated Hold with a $320 target.
Risks and uncertainties
- Valuation concern - InvestingPro’s Fair Value analysis indicates the stock appears overvalued, which could affect investor expectations in the equity markets and the consumer discretionary sector.
- Analyst divergence - Despite several upgrades, some firms maintain more cautious stances or lower targets, creating uncertainty in consensus outlooks within the restaurant and consumer services sectors.
- Insider activity interpretation - While the sale was executed under a prearranged 10b5-1 plan, insider sales can still be interpreted variably by market participants, influencing trading behavior in the stock market.