Fast food chain McDonald’s Corp. (NYSE:MCD) announced mixed Q4 results with adjusted earnings of $2.95 per share, up by 11% year-over-year on a constant currency basis. This was ahead of consensus estimates of $2.83 per share. Meanwhile, MCD posted revenues of $6.4 billion, an increase of 8% year-over-year but lower than Street estimates of $6.45 billion.
The company’s global comparable sales rose 3.4% in the fourth quarter. However, same-store sales for McDonald’s international developmental licensed markets segment increased by just 0.7% due to the war in the Middle East. The company stated that it was monitoring the situation and expects it to hurt systemwide sales and revenue as long as the strife in the Middle East continues.
What Is the Future of McDonald’s Stock?
Analysts remain bullish about MCD stock with a Strong Buy consensus rating based on 21 Buys and seven Holds. MCD stock has done well over the past year, increasing by more than 10%. The average MCD price target of $326.30 implies an upside potential of 9.85% at current levels.
