BTIG Cuts McDonald's Stock Price Target on Sales Pressures

BTIG has reduced its price target for McDonald's Corp. (MCD) to $295 from $350, citing sales pressures and investment costs.

The move comes after the company held an investor day, where it focused on menu innovation, long-term sales opportunities, and AI-driven technology upgrades.

BTIG noted that while there are positives, such as slower unit growth and a more deliberate promotional calendar, the negatives outweigh them. These include planned investments of $5.0 billion through 2030, totaling $8.5 billion, U.S. sales trends remaining pressured with third-quarter results expected to be slightly negative, and concerns about achieving planned restaurant efficiency.

McDonald's stock currently trades at $237.02, near its 52-week low of $234.03 and down roughly 21% year-to-date. The firm expressed cautious optimism that McDonald's can align with franchisees on upgrades needed for next-generation restaurants.