McDonald’s Is Hiring 375,000 Workers to Meet Summer Demand

Fast-food chain McDonald’s (MCD) has announced plans to hire 375,000 people to work at its U.S. locations this summer. While that’s the company’s largest hiring initiative since 2020, it doesn’t mean the chain’s total number of workers will increase by that much. McDonald’s deals with an incredibly high turnover rate, which is the norm for fast-food companies, but the large number does say something else to investors.

McDonald’s plan to hire 375,000 workers this summer is a sign that it expects increased demand during the season. That’s typical of fast-food chains, it’s especially welcome news for MCD stock investors. This is due to its recent struggle to attract customers, with the company noting same-store sales were down 3.6% in its Q1 earnings report released at the start of the month as foot traffic declined.

Another thing that’s worth keeping in mind is McDonald’s expansion plans. The fast-food chain intends to open 900 new locations in the U.S. by 2027, adding to the 13,000 locations already operating nationwide.

Will MCD Benefit from Increased Summer Demand?

Four-star UBS analyst Dennis Geiger weighed in on McDonald’s upcoming quarters last week. He reiterated a Buy rating and $350 price target, representing a potential 12.21% upside for MCD stock. According to the UBS analyst, trends will “strengthen through the year and MCD is positioned for share gains in key markets.”

Speaking of its U.S. performance, Geiger noted, “Support from the McValue platform, record guest satisfaction scores, and marketing & product news should accelerate US growth trends over the coming quarters.”

Is MCD Stock a Buy, Hold, or Sell?

Turning to Wall Street, the analysts’ consensus rating for McDonald’s is Moderate Buy, based on 15 Buy and nine Hold ratings over the past three months. With that comes an average MCD stock price target of $333.89, representing a potential 7.04% upside for the shares.

See more MCD stock analyst ratings