McDonald’s Corporation Gets Upgraded By Merrill Lynch
The food company has been given an upgrade by the analysts at Merrill Lynch and some positivity is expected to be seen in the next earnings report to be made by the giant
McDonald’s corporation has been working towards focusing on making the sales of its food items better and has carried out quite a lot of plans to overcome sluggish quarters. Some analysts believe that the firm has a great chance to carry the stock forward towards the positive side in near future and analysts at Merrill Lynch are one of them. The fast food giant was upgraded on the stock by a massive level, as recently a list was passed by the equity firm which showed that the food firm is preparing itself to report great revenue generation by the end of the fourth quarter of the fiscal year.
Recently a list was published by the analysts at Merrill Lynch named Top 10 US Ideas in which the McDonald’s stock managed to secure a very clean fourth position among nine others stocks which has made the investors in the company quite excited for what is to come. These analysts who seem to have great expectations from the food company’s business are of the opinion that the fact that the food chain has set its dividend standards really high, coming around at $3.40, has made them quite bullish. This shows that by offering a considerable amount to the shareholders, the company might be looking towards a much greater stock value in near future.
On the other hand, McDonald’s business has managed to grow its food chain model in such a way that it has made the analysts very optimistic about its future stock value. The company has been raising its dividend for a couple of decades now which is another factor why a better raise is still expected to be given in the next dividend distribution. The last quarterly report that was released by the food firm showed some sluggish same store sales but that still did not hurt investor sentiments that much, as following the disappointment they were also informed with a positive guidance for the next quarter and how sales are expected to go higher than that of the previous fiscal quarter.
McDonald’s restaurants will be reporting their third quarter sales and earnings report on October 22, 2015 and analysts at Merrill Lynch are of the opinion that positively can very well be expected if only the international market supports the sales growth of the company. Also, the sales in China, which had been on the lower side since the past few months, are also being depended on to make things better for the giant now.