Top 10 Large-Cap Stocks to Invest In At 52-Week Lows

​7. McDonald’s Corporation (NYSE:MCD)

Analyst Upside: 22.33%

Number of Hedge Fund Holders: 83

McDonald’s Corporation (NYSE:MCD) declined slightly by around 3% over the past 30 days and is now trading close to its 52-week lows. Major concerns prompting the decline include margin pressure from franchises and weakening consumer foot traffic.

The Street expects a recovery driven by the company’s McDonald’s NEXT strategy. The average 12-month analyst target suggests more than 22% upside from the current level. McDonald’s Corporation (NYSE:MCD) ranks as one of the Top Large Cap Stocks to Invest In At 52-Week Lows.

​Recently, on June 23, RBC maintained the stock with a Sector Perform rating and a $305 price target. The firm highlighted some near-term tailwinds that could benefit McDonald’s, including falling gas prices, given its heavy exposure to lower-income consumers, and the FIFA World Cup, as the company is serving as a tournament sponsor and offering associated limited-time meals.

​However, despite these tailwinds, RBC flagged risks around unit growth. The firm noted that management is reevaluating its development pipeline. This review is driven not just by recent energy inflation, but by longer-term supply chain pressures and sluggish traffic growth over the past several years.

McDonald’s Corporation (NYSE:MCD) is a global foodservice company with restaurants in more than 100 countries. The company operates through a heavily franchised model, with most restaurants owned and operated by independent local business owners.