McDonald's (MCD) is seen posting a "modest miss" in Q3, similar to peers and mostly anticipated at this point, Morgan Stanley said in an earnings preview Friday.

The investment bank said it cut its earnings-per-share estimate for the company to $3.31 from its previous forecast of $3.37, compared with the Street's $3.35.

Morgan Stanley said it took into account marketing investment "and other pieces of the value push" that probably impact earnings in the near term.

The firm said it has "found somewhat cool or neutral sentiment" toward the stock ahead of earnings following the company's September price moves and extra value meal relaunch.

The bank said easier comparisons, marketing initiatives, and promotions such as Monopoly could support near-term acceleration, but EPS pressure is likely to persist through Q4.

Morgan Stanley raised its price target on McDonald's to $335 from $326 and maintained its equalweight rating.

Price: 307.83, Change: +2.50, Percent Change: +0.82