Bearish
McDonald's stock near two-year lows amid declining sales and foot traffic
McDonald's stock has fallen 13.3% in 2026, trading near its 52-week low of $267.74. Analysts anticipate a 2% decline in U.S. same-store sales for Q2, with a 4.6% drop in foot traffic year-over-year. The forward P/E ratio has decreased to approximately 20.7x, the lowest in over a decade.
Key points
- Declining Sales: Analysts expect a 2% drop in U.S. same-store sales for Q2.
- Reduced Foot Traffic: U.S. foot traffic decreased by 4.6% year-over-year in Q2, with May being the weakest month.
- Valuation Concerns: The forward P/E ratio has fallen to around 20.7x, the lowest in over a decade.
- Analyst Outlook: Despite current challenges, analysts maintain a consensus 'Moderate Buy' rating with a price target of $336.32.
Sources
- Why McDonald's (MCD) Stock Can't Catch a Break in 2026CoinCentral · July 19, 2026
- McDonald's Stock Lags Industry, Trades at a Discount: Time to Buy?Zacks.com · July 13, 2026
- McDonald's Q1 Earnings Beat Estimates on Global Comps GainZacks Equity Research · May 7, 2026
- McDonald's Net Common Equity Issued/Repurchased 2012-2026MacroTrends · July 19, 2026
AI-generated from public news sources. Not financial advice.
