CDbio (MCD) news

Frozen French fries producer Lamb Weston raises annual performance forecast due to strong demand.

Reuters, October 6 - Lamb Weston (LW.N) raised its annual sales and profit forecasts on Tuesday, basing this decision on robust expected demand from its key clients—fast food restaurants—for its frozen potato products. As inflationary pressures intensify and household budgets become increasingly constrained, consumer demand continues to rise for lower-priced menu items such as fries at restaurants. Details are as follows: Lamb Weston expects fiscal 2027 revenue to achieve low single-digit growth, compared to its previous forecast of flat to 1% growth. According to data compiled by LSEG, analysts had previously expected revenue to decline by 1.5%. The company raised its adjusted annual earnings per share forecast to $3.05–$3.35, up from its prior range of $2.95–$3.25. Its adjusted earnings per share for the first quarter were $0.75, exceeding the analysts’ average estimate of $0.59 per share. Quarterly revenue rose 1% year-on-year to $1.67 billion, surpassing the expected $1.65 billion. Lamb Weston’s clients include fast-food operators such as McDonald’s (MCD.N). The company stated it is facing unexpected inflationary pressures in raw material and transportation costs, and plans to address these challenges through cooperation with suppliers and hedging activities. Shares of the fries manufacturer have risen about 6% this year and were up roughly 4% in pre-market trading following the earnings release. (For the convenience of non-native English speakers, Reuters has provided an automated translation of this report into several other languages. As automated translations may contain errors or lack the necessary context, Reuters does not guarantee the accuracy of the automated text and provides it only for readers’ convenience. Reuters assumes no responsibility for any harm or loss arising from the use of automated translation.)

McDonald's (MCD.US) faces class-action lawsuit in the US! Accused of illegally manipulating menu prices with AI pricing system

McDonald's is facing a class action lawsuit in a federal court in Chicago, accusing the fast-food giant of illegally manipulating menu prices between its franchise and company-owned restaurants using an AI-based pricing system.

McDonald's (MCD.US) faces a class action lawsuit in the US, accused of illegally manipulating menu prices using an AI-based pricing system.

According to Zhitong Finance, McDonald's (MCD.US) is facing a class action lawsuit in a federal court in Chicago, accusing the fast-food giant of illegally manipulating menu prices between its franchised and company-owned restaurants by using an artificial intelligence (AI) pricing system.

Chipotle Mexican Grill Inc. Stock Slips 4.7%, Underperforms Peers

This article was automatically generated by Dow Jones using technology from Automated Insights. Shares of Chipotle Mexican Grill Inc. shed 4.7% to $30.85 on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index rising 0.7% to 7,773.95 and the Dow Jones Industrial Average rising 0.2% to 51,267.90. The stock's fall snapped a five-day winning streak. Chipotle Mexican Grill Inc. closed 27.9% below its 52-week high of $42.82, which the company reached on October 15th. The stock underperformed when compared to some of its peers, as McDonald's Corp. rose 0.5% to $233.04, Starbucks Corp. fell 0.3% to $94.43, and Yum! Brands Inc. rose 0.62% to $136.97. Trading volume totaled 23.3 million, compared to the 50-day average of 16.1 million. Data source: Dow Jones Market Data, FactSet (END) Dow Jones Newswires October 05, 2026 16:34 ET (20:34 GMT)

McDonald's hit with class action alleging AI-powered menu price-fixing

Updates headline, adds details in paragraphs 2-10 By Mike Scarcella WASHINGTON, Oct 5 (Reuters) - McDonald's MCD.N has been sued in federal court in Chicago in a proposed nationwide class action alleging the fast-food company illegally coordinates menu prices across its franchises and company-owned restaurants through an AI-powered pricing system. The lawsuit, filed on Friday, said McDonald’s violated US antitrust law by conspiring with independent franchisees to fix prices using algorithms trained on nonpublic data. Reuters reported last week that McDonald’s pricing engine uses machine-learning algorithms to continually analyze data from millions of daily transactions across its nearly 14,000 restaurants. The lawsuit cited the Reuters article, which said other fast-food companies are also turning to AI to help with pricing and other operations. "Independent businesses must set their prices independently," the lawsuit said. McDonald’s, in a statement on Monday, called the allegations speculative and uninformed. "AI does not set the price of a Big Mac or any other menu item," the company said. It said franchisees make their own pricing decisions, and that the use of pricing recommendation tools and analytics is widespread across industries. US plaintiffs have filed a wave of class actions in recent years alleging that companies used algorithms or AI to illegally coordinate prices for hotel rooms, apartment rentals and other purchases. Lark Turner, a lawyer for the plaintiff, said in a statement, that McDonald's is "leveraging its troves of data and its franchised system to nickel-and-dime consumers down to the last French fry." The plaintiff, an Illinois resident, is seeking to represent a class of potentially millions of McDonald's customers, the lawsuit said. (Reporting by Mike Scarcella; Editing by David Bario and Rod Nickel)

Sector Update: Consumer Stocks Rise Late Afternoon

03:37 PM EDT, 10/05/2026 (MT Newswires) -- Consumer stocks were higher late Monday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) increasing 0.5% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) adding 0.6%. In corporate news, McDonald's (MCD) is facing a proposed class-action lawsuit alleging it used an algorithm-driven pricing tool to fix menu prices across its US restaurants, according to a complaint filed in federal court. Its shares were up 0.2%. Neighborhood Intelligence (NXH) said Monday it has agreed to sell nearly 16.5 million shares at $2.76 per share, or pre-funded warrant in lieu, in a registered direct offering. The company, previously known as Bed Bath & Beyond, said that in addition it will issue warrants to buy up to about 16.1 million shares. Separately, Neighborhood Intelligence and Fathom's (FTHM) boards have mutually agreed to terminate their planned merger, the company said. Neighborhood Intelligence shares fell 25%. Walmart (WMT) and Alphabet (GOOGL) unit Wing plan to expand their drone delivery service to the Denver and Seattle metropolitan areas in 2027. The additions will bring the service to nearly 20 US metro areas with plans to reach more than 270 Walmart stores nationwide, Wing said Monday. Walmart shares rose 0.7%. Paramount Skydance (PSKY) Chairman and Chief Executive David Ellison will be chairman and CEO of the combined company following the anticipated close of Paramount's acquisition of Warner Bros. Discovery (WBD), Paramount said. Paramount shares were up 2.8%, and Warner Bros. increased 0.2%.

McDonald's Sued Over Alleged Algorithmic Price-Fixing With Franchisees

03:18 PM EDT, 10/05/2026 (MT Newswires) -- McDonald's (MCD) is facing a proposed class-action lawsuit alleging it used an algorithm-driven pricing tool to fix menu prices across its US restaurants, according to a complaint filed in federal court. Michael Thomas, a customer, filed the suit Oct. 2 in the US District Court for the Northern District of Illinois, alleging that McDonald's has run a machine-learning "pricing engine" since at least 2019 that uses franchisees' confidential sales data to recommend menu prices, resulting in inflated prices for consumers. The complaint also alleges McDonald's pressured franchisees to use the tool and has required its use since January 2026. Thomas seeks damages and an injunction under Section 1 of the Sherman Act and Illinois consumer protection and antitrust laws. McDonald's has disputed the claims, said it doesn't use dynamic pricing, as per several US news reports. It said it provides franchisees with the tools and resources to help them make decisions. McDonald's didn't immediately respond to a request for comment. Price: 232.43, Change: +0.54, Percent Change: +0.23

McDonald's hit with class action over menu prices

By Mike Scarcella WASHINGTON, Oct 5 (Reuters) - McDonald's MCD.N has been sued in federal court in Chicago in a proposed nationwide class action alleging the fast-food giant illegally coordinates menu prices across its franchises and company-owned restaurants through an AI-powered pricing system. Here are the details: The lawsuit, filed on Friday, said McDonald’s violated federal antitrust law by conspiring with independent franchisees to fix prices using algorithms that are trained on nonpublic data. The plaintiffs said they are suing on behalf of a class of potentially millions of McDonald’s customers "Independent businesses must set their prices independently," the lawsuit said The complaint alleges that McDonald’s has enforced a "coercive price-fixing agreement" on its franchisees since 2019 McDonald’s in a statement called the allegations speculative and uninformed. "AI does not set the price of a Big Mac or any other menu item," McDonald's said. The company said McDonald’s imposes no pricing mandates and that franchisees make their own pricing decisions The plaintiffs' lawyers had no immediate comment (Reporting by Mike Scarcella)

Wells Fargo Adjusts Price Target on McDonald's to $270 From $300, Maintains Overweight Rating

06:29 AM EDT, 10/05/2026 (MT Newswires) -- McDonald's (MCD) has an average rating of overweight and mean price target of $296.69, according to analysts polled by FactSet. (MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)

Update 2 - UK Greggs raises profit forecast but plans to close some factories

DoorDash to create 3,000 jobs at global tech centre in India

Correction to McDonald's Headlines

Insight Guru flags Chipotle premium valuation despite weaker operating margin than rivals

McDonald's Stock and 10-Year Bond Yields: Why Are They Near-Perfect Opposites?

McDonald's Estimates Lowered to Reflect New Financial Targets, Morgan Stanley Says

MCDONALD'S <MCD.N>: MORGAN STANLEY CUTS TARGET PRICE TO $297 FROM $308

Darden Restaurants Inc. Stock Sheds 3.6%, Underperforms Peers

McDonald's Store Expansion Targets Miss Consensus Views as Focus Remains on US Growth, RBC Says

McDonald's Investors Shift Focus to Implementation After NEXT Strategy Details, UBS Says

McDonald's US Same-Store Sales May Remain Under Pressure, RBC Says

Updated Version 3 - Darden Group's quarterly results miss expectations due to slowing Olive Garden sales growth

Updated Version 2 - Olive Garden's parent company delivers slightly lower-than-expected results as consumers continue to face pressure

Bank of Montreal lowers McDonald’s target price to $310

Bank of Montreal lowers McDonald’s target price to 310 USD

Citi lowers McDonald's target price to $305

Social Buzz: Wallstreetbets Stocks Mostly Lower Premarket Thursday; Sandisk, Micron Technology to Decline

MCDONALD'S <MCD.N>: CITIGROUP CUTS TARGET PRICE TO $305 FROM $310

MCDONALD'S <MCD.N>: JP MORGAN CUTS TARGET PRICE TO $260 FROM $280

MCDONALD'S <MCD.N>: TD COWEN CUTS TARGET PRICE TO $270 FROM $282

Catering giant ventures into advertising! McDonald's (MCD.US) builds its own media network, targeting a $1 billion high-profit business

McDonald's is following in the footsteps of retail giants such as Amazon and Walmart by announcing plans to build its own media network.