McDonald’s shares slid to a 52-week low of $260.95 on Thursday, extending declines that have erased roughly one-fifth of the stock’s value since February.
The fast-food giant’s market capitalization has contracted to $184.76 billion, while its 12-month decline deepened to 16.37%, outpacing broader consumer and restaurant sector weakness. The dividend yield stood at 2.79% on Thursday, supported by McDonald’s 50-year streak of consecutive annual payout increases.
Analysts have adjusted their outlooks in recent weeks, citing mixed second-quarter results and persistent challenges in driving value-oriented sales. RBC Capital reduced its price target to $295 from a prior level, aligning with similar cuts from Bernstein SocGen and KeyBanc, which cited delayed growth and soft U.S. performance despite aggressive marketing campaigns. Freedom Broker, however, upgraded the stock to "Buy" while trimming its target to $305, highlighting perceived upside potential.
The broader macro backdrop remains a headwind, with a Wolfe Research survey reflecting modest optimism on economic conditions amid lingering volatility concerns. InvestingPro analysis also flagged the stock as potentially undervalued, estimating a fair-value range above current levels.
