This article first appeared on GuruFocus.

McDonald's (NYSE:MCD) is bringing back Spicy Chicken McNuggets nationwide on Sept. 1, reviving the limited-time product for the first time since 2024 as competition intensifies for value-conscious fast-food customers. The launch arrives at an important moment for investors: McDonald's shares just touched a 52-week low of $259.85, while U.S. customer traffic remains under pressure.

Warning! GuruFocus has detected 4 Warning Signs with NVDA.

Is MCD fairly valued? Test your thesis with our free DCF calculator.

The spicy nuggets add cayenne and chili peppers to McDonald's signature tempura batter and will be available for a limited time. The return gives McDonald's another recognizable product to drive restaurant visits without permanently expanding its menu.

But rivals are fighting for the same chicken customer. Burger King, owned by Restaurant Brands International (QSR), recently upgraded its chicken nuggets with new breading and more sauces, while Wendy's (NASDAQ:WEN) is offering 10-piece Classic or Spicy Nuggets for $1.99 with any purchase through Sept. 27 in its app.

That competitive backdrop matters because McDonald's U.S. business still needs stronger traffic.

Second-quarter U.S. comparable sales rose just 0.8%, primarily because customers spent more per visit, while comparable guest counts declined. Global comparable sales increased 1.3%, revenue rose 4%, and diluted earnings climbed 6% to $3.32.

McDonald's nevertheless has a powerful digital lever for promotions. Loyalty-member systemwide sales exceeded $40 billion over the trailing 12 months, while 90-day active loyalty users increased 13% to nearly 220 million.

Spicy McNuggets alone will not change McDonald's earnings trajectory, but their performance could provide another test of whether limited-time products can bring customers back without relying entirely on deeper discounts.

The biggest metric to watch is U.S. guest traffic. Comparable sales supported primarily by pricing and product mix are less compelling if transaction counts keep falling. Investors should also watch whether app-based offers and menu launches translate McDonald's huge loyalty base into more frequent visits.

Stronger traffic alongside stable restaurant margins would suggest McDonald's U.S. recovery is gaining traction. Continued customer declines, particularly as Burger King and Wendy's escalate promotions, would increase pressure on McDonald's to lean harder on value and discounting.