McDonald’s price target lowered to $325 from $340 at KeyBanc

KeyBanc lowered the firm’s price target on McDonald’s (MCD) to $325 from $340 and keeps an Overweight rating on the shares. The firm believes Q2 was another highly competitive period for the hamburger fast food industry, as Consumers continued to manage their spending levels and gravitate toward brands that offered superior value for money. Based on its proprietary data and recent industry conversations, KeyBanc believes the McDonald’s U.S. system likely outperformed its two largest rivals during the Q2. But the absolute level of growth was perhaps not to the extent previously imagined. Accordingly, the firm is trimming its full-year same-store sales growth estimate for McDonald’s U.S. from 1.7% to 1.1%, its 2025 EPS to $12.40, which flows through to its 2026 of $13.50.