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McDonald's (MCD) Stock Moves -0.3%: What You Should Know
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In the latest trading session, McDonald's (MCD - Free Report) closed at $226.18, marking a -0.3% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.74%.
Heading into today, shares of the world's biggest hamburger chain had lost 11.09% over the past month, lagging the Retail-Wholesale sector's loss of 8% and the S&P 500's loss of 4.6% in that time.
Investors will be hoping for strength from McDonald's as it approaches its next earnings release. On that day, McDonald's is projected to report earnings of $2.23 per share, which would represent year-over-year growth of 16.15%. Our most recent consensus estimate is calling for quarterly revenue of $5.64 billion, up 10.02% from the year-ago period.
MCD's full-year Zacks Consensus Estimates are calling for earnings of $10.18 per share and revenue of $24.71 billion. These results would represent year-over-year changes of +9.7% and +6.42%, respectively.
Any recent changes to analyst estimates for McDonald's should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. McDonald's is currently a Zacks Rank #3 (Hold).
In terms of valuation, McDonald's is currently trading at a Forward P/E ratio of 22.29. Its industry sports an average Forward P/E of 19.8, so we one might conclude that McDonald's is trading at a premium comparatively.
Meanwhile, MCD's PEG ratio is currently 2.42. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MCD in the coming trading sessions, be sure to utilize Zacks.com.
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McDonald's (MCD) Stock Moves -0.3%: What You Should Know
In the latest trading session, McDonald's (MCD - Free Report) closed at $226.18, marking a -0.3% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.74%.
Heading into today, shares of the world's biggest hamburger chain had lost 11.09% over the past month, lagging the Retail-Wholesale sector's loss of 8% and the S&P 500's loss of 4.6% in that time.
Investors will be hoping for strength from McDonald's as it approaches its next earnings release. On that day, McDonald's is projected to report earnings of $2.23 per share, which would represent year-over-year growth of 16.15%. Our most recent consensus estimate is calling for quarterly revenue of $5.64 billion, up 10.02% from the year-ago period.
MCD's full-year Zacks Consensus Estimates are calling for earnings of $10.18 per share and revenue of $24.71 billion. These results would represent year-over-year changes of +9.7% and +6.42%, respectively.
Any recent changes to analyst estimates for McDonald's should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. McDonald's is currently a Zacks Rank #3 (Hold).
In terms of valuation, McDonald's is currently trading at a Forward P/E ratio of 22.29. Its industry sports an average Forward P/E of 19.8, so we one might conclude that McDonald's is trading at a premium comparatively.
Meanwhile, MCD's PEG ratio is currently 2.42. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MCD in the coming trading sessions, be sure to utilize Zacks.com.