McDonald's Aims to Expand to 50,000 Locations by 2027
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 07 2026
0mins
Source: Fool
- Expansion Plan: McDonald's aims to increase its global store count to 50,000 by the end of 2027, with an annual growth rate of approximately 4% to 5%, which will significantly enhance its market share, particularly in emerging markets like Japan and Germany.
- Stable Income Source: By investing $40,000, investors can expect to earn at least $1,000 annually in dividends, demonstrating McDonald's stability and attractiveness in dividend payments, especially during economic fluctuations.
- High Margin Model: With about 95% of its locations operated by independent franchisees, McDonald's business model provides resilience against consumer spending downturns while maintaining a high gross margin of 57.25%.
- Market Performance: Despite a modest 15% stock price increase over the past three years, McDonald's reported a 3.6% increase in comparable sales and an 8% growth in systemwide sales in the third quarter, indicating strong performance in a competitive fast-food industry.
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Analyst Views on MCD
Wall Street analysts forecast MCD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MCD is 337.63 USD with a low forecast of 300.00 USD and a high forecast of 375.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
23 Analyst Rating
12 Buy
11 Hold
0 Sell
Moderate Buy
Current: 312.800
Low
300.00
Averages
337.63
High
375.00
Current: 312.800
Low
300.00
Averages
337.63
High
375.00
About MCD
McDonald's Corporation is a global foodservice retailer. Its segment includes U.S., International Operated Markets, and International Developmental Licensed Markets & Corporate. The U.S. segment is its largest market and is 95% franchised. The International Operated Markets segment is comprised of markets, or countries in which it operates and franchises restaurants, including Australia, Canada, France, Germany, Italy, Poland, Spain, and the United Kingdom. This segment is 89% franchised. The International Developmental Licensed Markets & Corporate segment is comprised of developmental licensee and affiliate markets, including equity method investments in China and Japan. This segment is 99% franchised. Its menu features hamburgers and cheeseburgers, the Big Mac, the Quarter Pounder with Cheese, the Filet-O-Fish, and several chicken sandwiches, such as the McChicken and McCrispy as well as Chicken McNuggets, Fries, shakes, sundaes, cookies, soft drinks, coffee, and other beverages.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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