Goldman Sachs upgrades McDonald's to Buy, raises price target to $345.

Goldman Sachs upgrades McDonald's to Buy, raises price target to $345.

Goldman Sachs has upgraded McDonald's (MCD) stock rating from Neutral to Buy, maintaining a price target of $345. This move suggests an 18% potential increase in value [1]. The financial firm attributes this optimism to McDonald's strategic use of its marketing capabilities to enhance consumer awareness of its latest menu items, which are expected to drive both customer traffic and sales growth. Additionally, the company is accelerating its global expansion efforts.

Analysts at Goldman Sachs have observed initial indications that the recent menu additions and value propositions are beginning to resonate with consumers, as McDonald’s continues to outperform its industry peers in traffic growth. These developments underscore the brand's potential to leverage its international reach and marketing strength to sustain growth in the competitive fast-food sector [1].

Based on the one-year price targets offered by 29 analysts, the average target price for McDonald's Corp (MCD) is $333.52, with a high estimate of $365.00 and a low estimate of $260.00. The average target implies an upside of 13.82% from the current price of $293.02 [1]. More detailed estimate data can be found on the McDonald's Corp (MCD) Forecast page.

The consensus recommendation from 38 brokerage firms is currently 2.4, indicating an "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell [1].

Based on GuruFocus estimates, the estimated GF Value for McDonald's Corp (MCD) in one year is $317.43, suggesting an upside of 8.33% from the current price of $293.02. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at [1].

References:
[1] https://www.gurufocus.com/news/2968512/goldman-sachs-elevates-mcdonalds-mcd-to-buy-on-growth-prospects-mcd-stock-news?mobile=true
[2] https://stocktwits.com/news-articles/markets/equity/mcdonalds-snack-wraps-mc-crispy-strips-win-over-goldman-sachs-as-burger-chain-scores-buy-rating/chF66MnR5Sq