BOFA trims McDonald’s (MCD) price targets and maintains a neutral rating
McDonald Corporation (NYSE:MCD) is one of Buy Now Most Profitable Consumer Stocks. Bank of America has slightly reduced its price target for McDonald’s Corporation (NYSE: MCD) from $327 to $322. neutral The ratings are tweaked across restaurant coverage ahead of the sector’s upcoming revenue season. The revised target means an increase of approximately 8.4% from the current market price of $297.
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The move reflects a broader recalibration by BOFA analysts, who adjust the model to explain changes in market multiples and company-specific revisions. McDonald’s remains a stable performer, but the company shows a decline in valuation in the short term, especially amid slowing sales growth in the same store and backed up cautious consumer trends in key international markets.
Bofa highlighted that while McDonald’s continues to benefit from scale, operational efficiency and strong brand equity, macro pressures, including headwinds and uneven traffic, in Europe’s Forex headwinds and uneven traffic, could limit short-term upside down. Still, modest price reductions are not a sign of worse foundations, but are part of a broader sector-level housekeeping.
Investors will closely monitor McDonald’s quarterly updates for guidance on pricing strategies, transportation trends and digital engagement progress. All of this shapes the emotions heading towards the second half of the year.
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