McDonald's Corp MCD shares are sliding Tuesday after the company reported fourth-quarter financial results.
What Happened: McDonald's said fourth-quarter revenue decreased 1% year-over-year to $5.93 billion, which beat average analyst estimates of $5.69 billion, according to Benzinga Pro. The iconic fast-food chain reported quarterly earnings of $2.59 per share, which beat consensus estimates of $2.46 per share. Earnings were up 19% on a year-over-year basis.
McDonald's said global comparable sales increased 12.6% year-over-year. U.S. comps were up 10.3% and systemwide sales jumped 5%.
Comparable sales results benefited from strategic menu price increases and positive guest counts, as well as successful menu and marketing campaigns and continued digital and delivery growth.
"While we expect short-term inflationary pressures to continue in 2023, we remain highly confident in Accelerating the Arches, which now includes a greater emphasis on new restaurant openings," said Chris Kempczinski, president and CEO of McDonald’s.
Stephens & Co. analyst Joshua Long on Tuesday reiterated McDonald's with an Overweight rating and maintained a $280 price target.
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MCD Price Action: McDonald's has a 52-week high of $281.67 and a 52-week low of $217.67.
The stock was down 1.88% at $265.80 at time of publication, according to Benzinga Pro.
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