MCD Stock Rises Premarket: Retail Turns 'McGreedy' Even As This Analyst Cuts Target Price

• The revised target still implies an upside of more than 13% from the stock’s last close. 
• TD Cowen noted that the stock is trading at 17 times forward earnings, the lowest level since 2016 ex COVID-19, suggesting not much needs to go right to drive alpha, though this is balanced by an unclear recovery timeline.
• On Stocktwits, retail sentiment around MCD stock jumped from ‘neutral’ to ‘extremely bullish’ over 24 hours even as message volumes increased 470% in the same time.

Shares of McDonald's Corp. (MCD) rose 0.21% in premarket trading early Thursday. While TD Cowen lowered the price target on the fast food restaurant chain, retail sentiment jumped from ‘neutral’ to ‘extremely bullish’ territory. 

Why Did TD Cowen Lower Its Price Target On MCD Stock?

According to The Fly, TD Cowen lowered the firm's price target on McDonald's to $270 from $282 and maintained a ‘Hold’ rating on the shares after attending the company's Investor Day, where management outlined the details of the NEXT strategic playbook. 

The revised target still implies an upside of more than 13% from the stock’s last close. 

On Wednesday, CFO Ian Borden told investors that U.S. sales were “slightly negative” in both July and August, adding that while September sales is likely to be positive, “But I think because of that slower start to the beginning of the quarter, I think we expect the U.S. business will be slightly negative for Q3.”

Meanwhile, McDonald’s is doubling down on value, with plans to emphasize meal bundles, value meals and digital offers through 2026 while testing a revamped entry-level offer for budget-conscious diners and simplifying operations to improve consistency. 

Its broader NEXT strategy targets market-share gains in chicken and beverages, roughly 250 basis points of restaurant-level efficiency gains and a low-to-mid-50% operating margin, backed by about $8.5 billion in franchisee support through 2036 and expects nearly 4.5% net restaurant growth in 2027, with new openings contributing nearly 2.5% to systemwide sales growth.

TD Cowen noted that the stock is trading at 17 times forward earnings, the lowest level since 2016 ex COVID-19, suggesting not much needs to go right to drive alpha, though this is balanced by an unclear recovery timeline. The analyst added that it is modeling below-consensus Q4 and first-half U.S. comparable sales, along with an opaque trajectory of 2027-30 earnings per share growth.

Why Retail Sentiment Green On MCD Stock?

On Stocktwits, retail sentiment around MCD stock jumped from ‘neutral’ to ‘extremely bullish’ over 24 hours even as message volumes increased 470% in the same time. 

One user said, “$MCD as Buffett would tell us, ‘when others are McFearful, we need to be McGreedy.’”

Another user said, “$MCD people fail to realize there is an entire demographic that doesn’t trade stocks (and for damn sure ain’t on stocktwits) THAT EAT MCDONALD’s REGULARLY! Yes, it’s not high quality food but it does provide a needed service for millions everyday. You’d be foolish not to take an entry at these depressed levels.”

A third user said, “$MCD With Fed probably raising interest rates October another 25 bps This is a best bet consumer stock on market . Consumer getting squeezed with inflationary pressure.Higher food,gas, insurance etc value meals will take off.”

MCD stock is down more than 21% in 2026. 

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