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.
Investment analysts gave a few price targets for MCD. The highest price target was 180, implying a possible profit of 14.69 percent. The most pessimistic analyst gave a price target of 140, which equates to a potential downside of -10.8 percent. Some investors take price targets and stock ratings with a grain of salt, knowing that some analysts can have indirect business with the stocks they cover.
Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change 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.
Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 6 analysts made positive revisions to their quarterly estimates over the past month, while 4 analysts revised their estimates downwards. Also over the last month, 8 analysts increased their estimates for the FY 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. Another measure frequently examined by investors is the PEG ratio. Smaller PEG ratios are desirable, because that is often interpreted as the company being fairly priced relative to its growth rate. PEG ratios below 1 are often considered desirable, 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.
In the trailing 52-weeks, MCD hit 159.98 at the highest peak, while it's lowest trading point was 110.33. The current market price is above the trailing year's low by 42.26 percent, and 1.89 percent lower than its 52-week high. MCD has a P/E 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 is estimated to release their earnings results for the quarter on 0000-00-00, days from today.