McDonald's stock: Adjusted EPS beats as U.S. sales slip
Published on 11/05/2026 at 13:20 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSMcDonald's balances growth and traffic pressure
- Adjusted third-quarter earnings exceeded analyst expectations, while revenue rose more slowly.
- Global comparable sales increased, but U.S. comparable sales declined as guest counts remained negative.
- Management said U.S. trends improved during the quarter after renewed value-focused initiatives.
McDonald's reported stronger-than-expected adjusted earnings for the third quarter ended September 30, 2026, while its U.S. business continued to face pressure from weaker guest traffic. The company released the results on Wednesday, November 4, before the U.S. market opened. Its third-quarter results showed that international growth and cost discipline supported profitability even as domestic demand remained uneven.
McDonald's generated revenue of 7.157 billion US dollars, up 1 percent from 7.078 billion US dollars a year earlier. Net income increased 9 percent to 2.486 billion US dollars from 2.278 billion US dollars. Diluted earnings per share rose 10 percent to 3.51 US dollars from 3.18 US dollars.
Excluding 56 million US dollars of pretax charges, primarily restructuring costs tied to the Accelerating the Organization initiative, adjusted diluted earnings per share reached 3.57 US dollars. That compared with 3.22 US dollars in the prior-year quarter and exceeded the 3.38 US dollar consensus cited by Fidelity's report. Revenue, however, fell short of the 7.28 billion US dollar analyst estimate.
International sales offset U.S. weakness
Global comparable sales increased 1.5 percent, compared with 3.6 percent in the year-earlier quarter. International Operated Markets grew 1.4 percent, while International Developmental Licensed Markets increased 4.2 percent. Global systemwide sales rose 4 percent to more than 38 billion US dollars, including sales generated at franchised restaurants.
The U.S. comparable-sales figure declined 0.2 percent, following a 2.4 percent increase a year earlier. McDonald's said negative comparable guest counts were largely offset by higher average checks. The result was better than the decline analysts had expected, but it still showed that pricing and customer mix were compensating for fewer visits.
Management said U.S. performance improved as the quarter progressed. Comparable sales were slightly negative in July and August before turning positive in September, according to the earnings call discussion. The company attributed the improvement to restored digital offers for engaged customers, stronger value-focused marketing and greater emphasis on restaurant-level execution.
Profit growth remains ahead of sales
Operating income increased 7 percent to 3.595 billion US dollars. Excluding the current and prior-year charges, adjusted operating income increased 8 percent. The results indicate that McDonald's converted modest sales growth into faster earnings growth, although the revenue miss and continuing U.S. traffic weakness leave the recovery dependent on sustained value initiatives.
The real-time quote of McDonald's stock was 250.40 euros on Lang & Schwarz at 13:13 CET on Thursday, November 5, 2026.
McDonald's stock facts
- Company: McDonald's Corporation
- ISIN: US5801351017
- Ticker: MCD
- Lang & Schwarz quote: 250.40 euros, Thursday, November 5, 2026, 13:13 CET
- Third-quarter period: Ended September 30, 2026
U.S. consumer demand and the durability of the value strategy remain central issues for investors as McDonald's works toward stronger and more consistent performance in 2027. The company also continues to invest in digital engagement, restaurant execution and its international growth system.
The broader S&P 500 market backdrop provides the relevant benchmark for the U.S.-listed company.
