Analyst Ratings for McDonald's Corp. (MCD)

Updated: 2017-07-28

Shares of McDonald's Corp. (NYSE:MCD) have received a consensus rating of Overweight from Wall Street analysts. MCD had previously received a consensus rating of Overweight a month ago.

Of the 32 analysts covering the stock, 18 gave it a buy rating, 3 issued an overweight rating, 11 gave a hold rating, 0 issued an underweight rating, and 0 gave a sell rating. Today, there are 4 more analysts optimistic about the company future as compared with 90 days ago. During this time, the number of analysts bearish on the stock has increased by 0.

A number of analysts gave price targets for MCD. The highest price target was 180, implying potential capital gains of 14.69 percent. The lowest price target was 140, implying a possible loss of -10.8 percent. Many analysts are not unbiased in their coverage of stocks, including price targets and stock ratings, so care must be taken in interpreting numbers released by them.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0.88 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is 1.17 percent. Over the past 30 days, FY earnings estimates have also changed upwards by 0.55 percent. If we look at the last 90 days instead, we find a net average change of 1.18 percent in FY estimates.

Another thing investors often look at is the level of agreement among analysts' revisions. Over the past month, 6 analysts increased their quarterly estimates, while 4 analysts made negative revisions. During this time, 8 analysts made positive revisions in their estimates for this fiscal year's earnings, compared to 2 analysts that revised their FY estimates downwards.

The growth rate of MCD's earnings is estimated by analysts to be 5.89 percent. People on Wall Street often look at a company's PEG ratio. Smaller PEG ratios are desirable, as that can indicate whether the high price level of a stock is warranted by high growth. Wall Street investors typically prefer a PEG ratio to be smaller than 1, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of MCD is 4.36.

MCD has a 52-week high of 159.98 and a 52-week low of 110.33. Today's price is 42.26 percent above the 52-week low, and 1.89 percent below the high. MCD has a price/earnings ratio of 25.69. Investors typically compare the P/E ratio to a company's peers in the industry. The MCD value stock report compares MCD to some of its peers using value stock charts. The stock has a market capitalization of $127.57 billion. MCD's next earnings release will be on 0000-00-00, which is days away.