McDonald's will return $18 billion to $20 billion to shareholders between 2014 and 2016, the company said Wednesday. McDonald's says this will enhance long-term shareholder value.

The $18 billion to $20 billion return to shareholders is a 10 to 20 percent increase from 2011 to 2013.

Senior Executive Vice President and Chief Financial Officer Pete Bensen said in a statement: "Our three-year cash return target is based on several activities, including the significant free cash flow generated from our operations, as well as the use of cash proceeds from our debt additions and refranchising activity." 

The company will also refranchise about 1,500 restaurants by the end of 2016. Most of these restuarants are in the Asia/Pacific region, Middle East and Africa and Europe.

"The Plan to Win along with our competitive advantages, System alignment and financial discipline has served as our strategic roadmap, guiding the execution of our global growth priorities," said CEO Don Thompson. "Today, the Plan to Win has evolved as we reenergize the McDonald's System by placing the customer at the center of everything we do.  We are pursuing targeted growth opportunities to provide our customers with their favorite food and drink, create memorable experiences, offer unparalleled convenience and become an even more trusted brand to deliver the most meaningful impact for our customers and our business."

McDonald's will likely increase its dividend which is currently at a 3.2 percent yield as well as buyback shares.

Investors of McDonald's saw same store sales fall at restaurants in the U.S. for five straight months before becoming flat in April. They're concerned over the slow growth of the restaurant.

Instead of expanding growth or investing in updates for the restaurants, McDonald's chose to do the share buyback.

McDonald's stock is good for dividend investors and the company isn't going anywhere soon, but most analysts say there are better plays out there than MCD.