BTIG analyst Peter Saleh has maintained their neutral stance on MCD stock, giving a Hold rating on July 26.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Peter Saleh has given his Hold rating due to a combination of factors impacting McDonald’s current performance. The company’s sales trends have shown volatility, with strong initial results from promotions such as the Minecraft collaboration, followed by a decline in subsequent months. Although the recent reintroduction of Snack Wraps has driven sales growth, particularly in the Northeast, the overall sales trajectory has been inconsistent.
Furthermore, the anticipated promotional activities for the second half of the year, including the Monopoly and McRib promotions, are expected to provide some boost, but the potential for significant earnings growth remains limited. Additionally, concerns about the economics and cannibalization effects of new units have raised questions about future development. Given these mixed signals and the current valuation based on a P/E ratio of 22.2x the 2026 EPS estimate, Saleh maintains a Neutral stance, suggesting limited upside potential for McDonald’s stock.
In another report released on July 26, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $325.00 price target.
Based on the recent corporate insider activity of 52 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of MCD in relation to earlier this year.