Bernstein cuts McDonald's target; US traffic woes offset international growth

au.investing.com

Bernstein cut McDonald's price target from $310 to $295, citing delayed growth. Shares trade near their 52-week low after an 11% yearly decline. Analyst Danilo Gargiulo attributed two-thirds of the traffic shortfall to value execution, as management simplifies promotions. International comparable sales rose, with operated markets up 1.5% and licensed markets up 1.9%. McDonald's also reported Q2 EPS of $3.38 beating forecasts, but revenue missed at $7.1B. The beverage platform is live in four markets, and G&A streamlining is ahead of plan. Skye Anderson was named McDonald's USA president. RBC, KeyBanc, and Freedom Broker also adjusted ratings or targets.


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