McDonald’s Corporation (NYSE: MCD) has released its fourth-quarter earnings report for 2024, revealing a mixed financial performance.
The company’s earnings per share (EPS) decreased by 4% to $2.83, while revenue saw a slight decline of 0.3%, totaling $6.39 billion. These figures fell short of analysts’ expectations, who had anticipated a 3% drop in EPS and projected revenue to reach $6.45 billion.
Despite these challenges, McDonald’s experienced a positive shift in global same-store sales, which increased by 0.4%, defying predictions of a 1% decrease. However, the U.S. market faced difficulties, with same-store sales declining by 1.4%, a steeper drop than analysts had forecasted.
Over the entire year, McDonald’s reported earnings of $11.39 per share. Looking ahead, analysts forecast a 5.7% growth in EPS for 2025, expecting it to reach $12.43 per share.
In response to the earnings announcement, McDonald’s stock experienced a modest uptick. The stock price rose by 1.1%, reaching $297.50, bringing it closer to a potential buy point.
As of February 10, 2025, McDonald’s stock is trading at $294.30, reflecting a slight increase of 0.01% from the previous close. The stock’s 52-week range spans from a low of $243.55 to a high of $317.80. Analysts maintain a consensus “Buy” rating, with a median 12-month price target of $310.20, suggesting potential upside from the current price.
McDonald’s continues to navigate a complex economic environment, balancing global growth with challenges in key markets. The company’s strategic initiatives and adaptability remain crucial as it strives to meet investor expectations and sustain its market position.
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