- McDonald's ( NYSE: MCD ) is scheduled to announce Q2 earnings results on Tuesday, July 26th, before market open.
- EPS Estimate is $2.47 (+4.2% Y/Y) and the consensus Revenue Estimate is $5.83B (-1.0% Y/Y).
- Earnings history : The company exceeded consensus mark in Q1 with comp growth of 11.8%
- Over the last 2 years, MCD has beaten EPS estimates 63% of the time and has beaten revenue estimates 75% of the time.
- Over the last 3 months, EPS estimates have seen 12 upward revisions and 13 downward. Revenue estimates have seen 9 upward revisions and 12 downward.
- After suspending Russian operation in March, the company sold its entire portfolio in Russia to existing licensee Alexander Govor.
- Fast food giant expects to book exit charges of $1.2B to $1.4B in FY2022.
- McDonald’s ( MCD ) Q2 visits were up 16.7% and was trending above pre-pandemic levels as per Placer.ai data on store traffic .
- Analyst Rating: Morgan Stanley analyst John Glass lowered price target on MCD to $285 from $287 and maintains an Overweight rating on the shares. Glass is reducing second half and 2023 estimates across much of his restaurant and foodservice distributors coverage ahead of Q2 earnings reporting to reflect expected softening sales as consumers face rising pressures. On average, he cut his full service estimates by 5% for 2022 and 11% for '23 and cut fast casual estimates by about 2% in each year.
- Rating in comparison with peers:
- Stock gets a Buy rating from Wall Street Analysts , based on 19 of 36 analysts’ ratings of Strong Buy; 9 analysts ratings of Buy and 8 analysts ratings of Hold.
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SA Quant rating systems screens the stock with a Hold rating .
- Analysts are advising clients of a sales slowdown and elevated inflation impacts ahead of earnings but are optimistic on the future prospects for restaurants stock as the space absorbs commodity inflation and looks toward easing staff shortages.
- Since the start of 2022, MCD has outperformed the broader market index. It fell 6.7% vs. S&P 500 down 17%.
- See all the McDonald's growth metrics.
- Read the most recent analysis on the stock here .
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A quick look at top restaurant stocks , MCD is 8th highest in the sector.
For further details see:
McDonald's Q2 Earnings Preview: What to expect amid inflation impacts?