JPMorgan Raises McDonald’s (MCD) Valuation, Calls Stock Attractive on Pullbacks

McDonald’s Corporation (NYSE:MCD) is included among the Goldman Sachs Dividend Stocks: Top 14 Stock Picks.

JPMorgan Raises McDonald’s (MCD) Valuation, Calls Stock Attractive on Pullbacks

On February 24, JPMorgan analyst John Ivankoe raised the price target on McDonald’s Corporation (NYSE:MCD) to $325 from $305. He kept an Overweight rating on the shares. The firm said the higher target reflects a revaluation of the restaurant group for “growth quality.” JPMorgan also said investors should consider buying the stock on pullbacks.

After the company released its latest quarterly results, Morgan Stanley maintained an Equal Weight rating and set a $335 price target. The firm said McDonald’s delivered solid revenue growth across its segments. Marketing campaigns played an important role and helped support earnings. Morgan Stanley added that the company’s value-focused strategy remains in place. At the same time, ongoing investments are expected to limit near-term gains in EPS and free cash flow. The firm still expects McDonald’s to remain active this year, with clearer strategies emerging to support long-term revenue growth.

Deutsche Bank took a more positive view. The firm reiterated its Buy rating and raised its price target to $364 from $360. This implies about 13% upside from the recent closing price. Deutsche Bank pointed to the company’s strong fourth-quarter results, which came in above expectations across key areas. Global same-store sales increased 5.7%, showing strength across multiple regions. The firm expects this momentum to continue into 2026. It also highlighted McDonald’s focus on value offerings, marketing, and menu innovation, especially in beverages and chicken.

Deutsche Bank said these efforts, along with the company’s durable business model, should support stronger same-store sales over time. The firm also expects McDonald’s to return to high-single-digit or better EPS growth. This outlook makes the stock attractive from a risk-reward standpoint.

McDonald’s Corporation (NYSE:MCD) operates one of the largest foodservice networks in the world. Its business includes the US, International Operated Markets, and International Developmental Licensed Markets & Corporate segments. The US remains its largest market, and about 95% of its restaurants there are run by franchisees.

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