- The shares of McDonald’s (NYSE: MCD) have received a $290 price target from UBS. These are the details.
The shares of McDonald’s (NYSE: MCD) have received a $290 price target from UBS. And UBS analyst Dennis Geiger reiterated a “Buy” rating on the shares.
Geiger adjusted the rating after citing McDonald’s as a defensible play as spending pressures consumers to trade down. And Geiger views McDonald’s as well-positioned vs. peers if spending is pressured.
“McDonald’s should be a trade-down beneficiary in the sector, reflecting its value proposition & outperformance during recessions, including ’07-’09 when sss avg ~4% in the US & ~7% in Europe. And ongoing momentum should support resilience,” wrote Geiger in a research note. “Our latest franchisee discussions suggest largely intact momentum & continued optimism in outlook. Select drivers of US sales in 2H should include: 1) Focus on chicken, 2) enhanced marketing, 3) digital (30% of sales in top 6 mkts), delivery & loyalty (~26MM+ US members); and 4) national & local value offers.”
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