Should I buy McDonald's stock in 2025?

Why trust HelloSafe ?

At HelloSafe, our experts have been tracking McDonald's stock performance for over three years. Every month, over a million users in the US trust us to decipher market trends and identify the best investment opportunities. Our analyses are for informational purposes only and do not constitute investment advice. In accordance with our code of ethics, we have never been, and will never be, compensated by McDonald's.

What is McDonald's?

How much is McDonald's stock?

The price of McDonald's stock is declining this week. The current stock price is $294.63, reflecting a 0.96% decrease over the past 24 hours and a slight weekly loss. McDonald's holds a market capitalization of $217.88 billion, with an average three-month trading volume between 4 and 5 million shares. The stock’s P/E Ratio stands at 25.98, offering a dividend yield of 2.42%, and maintains a stable beta of 0.62. This combination of steady dividends and low volatility makes McDonald's an attractive option for defensive investors seeking consistency.

Our full analysis of the McDonald's stock

After reviewing McDonald's most recent financial results and analyzing the stock’s performance over the past three years, we have synthesized insights from a broad array of sources—including financial metrics, technical signals, market data, and competitive benchmarks—leveraging our proprietary algorithms for comprehensive clarity. Our goal is to distill opportunity from complexity and highlight the distinguishing strengths of McDonald's in today’s ever-evolving consumer landscape. So, why might McDonald's stock once again become a strategic entry point into the quick service restaurant sector in 2025?

Recent performance and market context

McDonald's stock currently trades at $294.63 (as of July 3, 2025), following an intraday decline of 0.96% and a recent trading range between $243.53 and its all-time high of $326.32 set earlier this year. Over the past twelve months, the stock has outperformed its sector peers, gaining 16.7% compared to the industry’s 10.6% rise—testament to the company’s resilience and brand power.

Despite a recent dip in revenue, the company continues to demonstrate defensive strength through cautious cost management and an appealing dividend. Macroeconomic headwinds—such as waning discretionary spending and increased competitive pressure—have not derailed McDonald's ongoing strategic expansion, underlined by its ambitious plan to open 2,200 restaurants globally in 2025 and nearly 10,000 by 2027. These growth plans, combined with aggressive digital transformation and menu innovation, furnish a robust backdrop for potential gains as the global economy regains momentum.

Technical analysis

McDonald's technical profile is particularly constructive for investors seeking optimal entry. The 14-day RSI stands at 38.77, indicating the stock is in oversold territory—a classic signal of potential bullish reversal. The MACD, at -6.09, paints a temporarily bearish short-term picture, yet long-term technicals remain compelling, with the 50-day moving average ($307.49) sustaining a “golden cross” above the 200-day moving average ($301.58). This underscores enduring positive structure.

A strong support level is established near $292.60, with immediate resistance at $298.08. Given McDonald’s dip below key short-term moving averages, current pricing offers a technical “value zone” for accumulation, especially for long-term investors anticipating mean reversion and re-rating alongside catalysts like earnings or strategic rollouts. Momentum over the medium term is buffered by a market consensus price target of $328.61, suggesting 10%+ upside from current levels.

Fundamental analysis

Fundamentally, McDonald’s continues to set the standard within quick service dining, leveraging its scale, brand, and adaptive strategy for industry-leading cash flows and profitability. Even accounting for a modest 3.5% drop in Q1 2025 revenue (to $5.96 billion) and a 3.2% decline in net income ($1.87 billion), the company outpaced market expectations on adjusted EPS, delivering $2.67 versus the $2.64 consensus.

With trailing 12-month earnings per share of $11.34 and a P/E ratio of 25.98, McDonald's valuation appears well-justified when considering its defensive qualities, proven growth trajectory, and peer-leading dividend record. Operational margins remain robust, with an operating margin target exceeding 46% for 2025—reflective of efficient global operations and lean franchise models.

• Brand leadership: Iconic global brand with unmatched recognition and consumer loyalty.
• Market reach: Presence in over 100 countries, with strong expansion in China and other high-growth regions.
• Menu innovation: Introduction of alternative proteins and premium sauces caters to evolving consumer preferences.
• Digital momentum: Loyalty programs and digital order channels drive frequency and ticket metrics higher.

These strengths are bolstered by a prudent capital return strategy and consistent dividend increases—earning McDonald's the status of Dividend Aristocrat.

Volume and liquidity

With a steady average daily volume of 4–5 million shares and a float of 714.43 million shares, McDonald's maintains robust liquidity that ensures efficient order execution and limits volatility, even in volatile macroeconomic periods. This liquidity profile is further enhanced by high institutional ownership, reinforcing market confidence and reflecting strong conviction among long-term professional investors.

The active participation of institutional asset managers ensures that McDonald’s valuations remain closely attuned to fundamentals, promoting fair price discovery and reducing the likelihood of irrational price swings. For retail and institutional investors alike, such liquidity translates into flexibility and portfolio agility.

Catalysts and positive outlook

• Aggressive international expansion: The planned 10,000 new restaurant openings by 2027 positions McDonald's for a step-change in global reach, with a focus on markets like China where momentum remains strong.
• Digital transformation: Rapid growth in mobile ordering, delivery partnerships, and loyalty engagement are driving new forms of customer retention and higher spend per visit.
• Product and menu innovation: Investments in menu innovation, alternative proteins, and high-margin premium offerings support both sales growth and brand relevance.
• Operational efficiency: Continued emphasis on franchisee profitability and streamlined supply chains underpin high operating margins and improved cash flows.
• ESG and Sustainability: McDonald’s expanding initiatives in sustainable sourcing, packaging, and employee engagement respond to evolving consumer and regulatory trends.

In the current environment, McDonald's benefits from its status as a staple of both value-oriented and premium consumer segments—enhancing its ability to thrive amid shifting sector and macroeconomic cycles. Its ability to outperform both in expansionary and defensive market conditions uniquely positions the stock for renewed upward momentum.

Investment strategies

• Short-term positioning: The current dip below technical averages presents a favorable risk/reward for those seeking a bounce back toward resistance levels, especially as the RSI signals oversold conditions.
• Medium-term strategy: Investors may capitalize on expected catalysts, such as the next earnings cycle or the unveiling of digital partnerships and new concepts. Given the consensus price target of $328.61, a medium-term approach appears supported by both market and fundamental data.
• Long-term accumulation: For those seeking core portfolio holdings, McDonald’s combination of global reach, dividend reliability, and ongoing innovation justifies a steady accumulation strategy, potentially augmented by dividend reinvestment.

Dollar-cost averaging at or near current support levels ($292.60 and below) can offer an attractive blended cost, while larger allocations ahead of major rollouts or strategic inflection points can position investors for significant upside as new initiatives bear fruit.

Is it the right time to buy McDonald's?

In summary, McDonald's possesses all the hallmarks of a premier defensive growth stock: strong brand equity, unparalleled global scale, resilient profitability, growing digital momentum, and a relentless drive for innovation. The fundamentals justify renewed interest, especially with the stock trading near key technical support, an attractive dividend yield of 2.42%, and a low beta of 0.62 that underscores its reliability even during volatile periods.

With an outlook supported by aggressive expansion, ongoing digital transformation, and leadership in menu innovation, McDonald’s seems poised for another cycle of outperformance. For investors prioritizing stability, income, and access to a global blue-chip franchise, McDonald’s seems to represent an excellent opportunity at today’s valuations.

McDonald's opens the door to steady growth and portfolio resilience—attributes that are increasingly valuable in today’s dynamic market environment. Serious consideration of this iconic stock now may pave the way for capturing the next phase of value creation and global dominance.

How to buy McDonald's stock in the US?

Buying McDonald's stock online is simple, secure, and accessible through regulated US brokers. Investors typically have two main options: spot buying, where you own the shares directly, or trading via CFDs (Contracts for Difference), which let you speculate on price changes without actual ownership. Each approach caters to different investment needs and timeframes. If you’re comparing your options, a detailed broker comparison is available further down the page.

Spot buying

A cash purchase of McDonald's stock means acquiring actual shares in your brokerage account, making you a direct shareholder with voting rights and dividend eligibility. Major US brokers generally charge a fixed commission per trade—often about $0 to $10.

Gain scenario

If the McDonald's share price is $294.63, you can buy around 3 shares with a $1,000 stake, including a brokerage fee of around $5.

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFD trading allows you to participate in McDonald's share price movements without owning the underlying stock. This method involves paying a spread (the difference between buy and sell price) and, if you hold your position overnight, a financing fee. The key advantage is leverage, which multiplies your market exposure relative to your initial deposit.

Gain scenario

You open a CFD position on McDonald's shares, with 5x leverage and a $1,000 stake.
This gives you a market exposure of $5,000.
✔️ Gain scenario:
If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before investing, it’s important to compare broker fees, trading platforms, and conditions to find the option best suited to your needs. The ultimate choice between spot buying and CFD trading depends on your investment goals and risk tolerance. For tailored comparisons and more details, check the broker guide further down this page.

Our 7 tips for buying McDonald's stock

The latest news about McDonald's

McDonald's completed the opening of its 2,200th restaurant worldwide in 2025, strengthening its US market presence. This accelerated expansion, including numerous new US locations, highlights the company’s ongoing commitment to domestic growth and job creation even amid a challenging consumer environment.

The company's stock demonstrated relative stability, maintaining levels above key technical supports at $292.60 during recent market volatility. Analysts credit this resilience in part to McDonald's defensive profile and its proven track record of navigating economic cycles through a value-focused menu and effective cost management.

Digital initiatives, including mobile ordering and expanded delivery services, drove an increase in customer engagement across the United States. Official reports confirm positive early results from these platforms, supporting higher transaction values and improved customer loyalty as more Americans use digital channels for convenience.

Dividend stability remains a strength, as McDonald's continues its status as a "Dividend Aristocrat" with a quarterly payout of $1.77 per share. US-based investors note the reliability of this income stream, with the most recent board meeting reaffirming the regularity and prudence of dividend distribution, further enhancing the stock’s attractiveness for long-term holders.

Sector momentum is favorable, with McDonald's outperforming competitors in the US consumer discretionary space by 6% year-over-year. Latest industry data attribute this outperformance to the company’s adaptability, robust brand equity, and successful product innovation efforts tailored to evolving American consumer preferences.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.