The Financial Post reports in its Tuesday edition that McDonald's faces the challenge of winning back cost-conscious diners who think its menu has become too expensive amid a declining stock price.
A Bloomberg dispatch to the Post reports that McDonald's shares are down nearly 31 per cent from their February high and on track for their worst annual return since 2002. McDonald's guided for "slightly negative" United States sales for the current quarter during an investor day event last week, while sales last quarter rose just 0.8 per cent, their slowest pace in more than a year.
Customers have expressed long-standing complaints about menu prices and the diminished in-store experience due to the loss of playgrounds and other features. Recent value offerings have seen mixed success, and a newly announced $8.5-billion (U.S.) plan to enhance service and food quality has raised concerns over potential profit erosion, leading to a decline in the company's shares.
A McDonald's spokesman on Friday reiterated the company's plans to act urgently to put the U.S. business in a stronger position exiting 2026.
McDonald's rival, Restaurant Brands International's Burger King posted strong sales growth in the latest quarter.
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