Summary:
- McDonald's shifts strategy by closing CosMc's and integrating popular drinks into main restaurants.
- Analysts predict a 7.03% upside for McDonald's stock with a price target averaging $336.69.
- The company's average brokerage recommendation stands at "Outperform" with a GF Value projection showing modest growth.
McDonald's Bold Strategic Shift
In a pivotal move, McDonald's (MCD, Financial) is set to close its CosMc's concept eateries by late June. This strategic transition aims to bring popular beverages from CosMc's into their main restaurant lineup. This decision follows valuable insights garnered from the pilot phase of CosMc's, as McDonald's prepares to introduce these new drinks to the U.S. market later this year.
Wall Street Analysts' Projections
According to forecasts from 29 analysts, the average one-year price target for McDonald's Corp (MCD, Financial) is $336.69. Notably, these projections range from a high of $364.00 to a low of $300.00. This average target indicates a potential upside of 7.03% from the current stock price of $314.57. For further details on these estimates, visit the McDonald’s Corp (MCD) Forecast page.
Brokerage Recommendations and GF Value Estimation
The consensus from 38 brokerage firms places McDonald's Corp (MCD, Financial) at an average recommendation of 2.2, signaling an "Outperform" status. This recommendation uses a scale of 1 to 5, where 1 suggests a Strong Buy and 5 implies a Sell.
In terms of valuation, GuruFocus estimates the GF Value for McDonald's Corp (MCD, Financial) at $315.82 over the next year. This represents a slight upside of 0.4% from the current price of $314.57. The GF Value is calculated based on historical trading multiples, past growth, and forecasts of future business performance. For a more comprehensive view of McDonald's financials, check out the McDonald’s Corp (MCD) Summary page.
