McDonald’s says US sales on the mend as promotions draw diners back
Summary
McDonald's reports that its American sales are recovering following the introduction of new customer promotions. These special offers have successfully attracted diners back to the fast-food chain.
Our Take
McDonald's gave the market the one thing it needed to hear: the U.S. business is turning. Adjusted EPS of $3.57 beat the $3.38 estimate, global comparable sales rose 1.5%, and management said U.S. trends improved through the quarter and turned positive in September after it restored digital offers and shifted marketing dollars. Revenue of $7.16B missed, and U.S. comps were still slightly negative (-0.2%) for the full quarter, but traders are buying the direction, not the number. The stock opened near $269 and has climbed to about $277, up more than 5% and one of the Dow's leaders on a day consumer stocks are ripping. The next catalysts are close: a Pokémon Happy Meal promotion starts November 10, and a national value-menu rollout is planned for early 2027. A 4% dividend hike to $1.93 per share adds support. For traders, today's open near $269 is the level to hold. A close near the highs around $277 would show buyers are committed and not just covering shorts after the report.
Opinion of Tech & Money Press. Not financial advice.
Source: Read the full story at Stock Market News