Andrew Charles, an analyst from TD Cowen, maintained the Hold rating on McDonald’s (MCD – Research Report). The associated price target was raised to $305.00.
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Andrew Charles gave his rating based on several factors, including McDonald’s recent sales performance and future product launches. Although the company has shown better-than-expected sales in the fourth quarter, there is a cautious outlook due to the anticipation of chicken wraps and strips launching in the upcoming months. The optimism surrounding these new products will play a significant role in the stock’s trajectory.
Furthermore, while the management has noted an improvement in underlying trends at the end of the fourth quarter, challenges remain with consumer perceptions of value, particularly among lower-income customers. These factors, combined with expectations of modest U.S. sales growth and an improved marketing strategy, form the basis for the Hold rating. The rating reflects a balanced view on potential gains and risks associated with the company’s strategic moves.
According to TipRanks, Charles is a 5-star analyst with an average return of 12.5% and a 59.60% success rate. Charles covers the Consumer Cyclical sector, focusing on stocks such as Jack In The Box, Starbucks, and Chipotle.
In another report released today, Stifel Nicolaus also maintained a Hold rating on the stock with a $300.00 price target.