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McDonald's (MCD) Stock Moves -0.23%: What You Should Know
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In the latest trading session, McDonald's (MCD - Free Report) closed at $255.25, marking a -0.23% move from the previous day. This move was narrower than the S&P 500's daily loss of 1.48%. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.46%.
Heading into today, shares of the world's biggest hamburger chain had gained 8.36% over the past month, outpacing the Retail-Wholesale sector's loss of 2.46% and the S&P 500's gain of 0.08% in that time.
Investors will be hoping for strength from McDonald's as it approaches its next earnings release, which is expected to be April 28, 2022. On that day, McDonald's is projected to report earnings of $2.18 per share, which would represent year-over-year growth of 13.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.56 billion, up 8.43% from the year-ago period.
MCD's full-year Zacks Consensus Estimates are calling for earnings of $9.85 per share and revenue of $23.91 billion. These results would represent year-over-year changes of +6.14% and +2.96%, respectively.
Investors might also notice recent changes to analyst estimates for McDonald's. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.08% lower. McDonald's currently has a Zacks Rank of #4 (Sell).
Digging into valuation, McDonald's currently has a Forward P/E ratio of 25.97. This valuation marks a premium compared to its industry's average Forward P/E of 21.25.
Also, we should mention that MCD has a PEG ratio of 3.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Restaurants industry currently had an average PEG ratio of 2.1 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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McDonald's (MCD) Stock Moves -0.23%: What You Should Know
In the latest trading session, McDonald's (MCD - Free Report) closed at $255.25, marking a -0.23% move from the previous day. This move was narrower than the S&P 500's daily loss of 1.48%. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.46%.
Heading into today, shares of the world's biggest hamburger chain had gained 8.36% over the past month, outpacing the Retail-Wholesale sector's loss of 2.46% and the S&P 500's gain of 0.08% in that time.
Investors will be hoping for strength from McDonald's as it approaches its next earnings release, which is expected to be April 28, 2022. On that day, McDonald's is projected to report earnings of $2.18 per share, which would represent year-over-year growth of 13.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.56 billion, up 8.43% from the year-ago period.
MCD's full-year Zacks Consensus Estimates are calling for earnings of $9.85 per share and revenue of $23.91 billion. These results would represent year-over-year changes of +6.14% and +2.96%, respectively.
Investors might also notice recent changes to analyst estimates for McDonald's. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.08% lower. McDonald's currently has a Zacks Rank of #4 (Sell).
Digging into valuation, McDonald's currently has a Forward P/E ratio of 25.97. This valuation marks a premium compared to its industry's average Forward P/E of 21.25.
Also, we should mention that MCD has a PEG ratio of 3.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Restaurants industry currently had an average PEG ratio of 2.1 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.