The fast food chain is expected to report earnings which are not being looked at by the analysts in a very bullish manner
McDonald’s Corporation is prepared to announce its earnings for the third quarter of the fiscal 2015 on Thursday, October 22 and all around the industry, the equity analysts have started releasing research notes on the activities of the giant and its expectations for the future on many different forums. These analysts have come around to the conclusion that the giant is in a current position at the moment which might just lead it to have a diversified earnings report for the third one in the year. The giant has been implementing its all-day breakfast plan for some time now which first seemed like a good idea to carry out, but now it just sounds like a bad idea for the giant to have thought about, given how much chaos it is creating in the kitchens of the different outlets.
The McDonald’s stock is not expected to waver too much with the change in the dollar strength, even though it cannot entirely be considered to be not attached to the changes that occur in the international market. The fast food company is currently working towards a stable dividend yield which has been recorded around 3.3 percent, which has turned out to impress the analysts to no end.
The fast food chain is also giving back a considerable amount to the shareholders back in the form of dividend which were reported to come around at $2.5 billion for the second quarter of 2015, which brought it next to the figure of $3.9 billion for a full year which was very well in connection with the target set by the McDonald’s business to return back a massive figure of $18-$20 billion to the shareholders by the end of the next financial year.
However, it was seen that the analysts who are looking at the McDonald’s restaurants closely do not seem to be very bullish about its near term future in the stock market, despite the high dividend yield it has been carrying for a long time now. Analysts have stated that the shares of the company might not be a very reliable bet to make as anything could be expected out of the stock, depending on how the earnings turn out to be on Thursday, when the giant makes its earnings call. Since the past three years, the stock of the food giant has gone up till a value of $104 whereas the lowest that it has touched is $84, but the analysis so far suggests that the earnings might prove to show a much more diversified look on the stock, as it cannot be said whether the giant is going to report a highly successive revenue figure or if it will announce a depression in the stock value.
No comments:
Post a Comment