McDonald’s franchisee checks see Q3 comps track ahead of estimates, says Loop

Loop Capital keeps a Buy rating and $383 price target on McDonald’s but notes that the firm’s franchisee checks indicate that same-store sales growth is tracking ahead of expectations to date in Q3. On a 2-year stacked basis, the 8.5% estimated growth equates to a gain of 14.6%, compared to the company’s reported 2-year stacks of 14.0% in Q2, and this modest sequential acceleration in 2-year stacks was impressive given that McDonald’s faced a challenging comparison against the highly successful launch of the Grimace Meal Deal last quarter, the analyst tells investors in a research note.