News of the McPlant sent Beyond Meat (BYND) shares falling nearly 10% on the news Monday. But, Beyond Meat Inc. recovered after announcing it collaborated with McDonald’s Corp. in the creation of plant-based patties for the new substitute meat products.
McDonald’s has not yet revealed the full ingredients of the new plant-based burger, McPlant. Suppliers have not been announced plans to use for the McPlant.
McDonald’s Corp (MCD) beats profit estimates.
Trend Analysis
MCD appears to be correcting within a longer-term bullish trend. Although its MACD is presently below the signal line, shares remain above an upwards sloping 200-day moving average. Comparative Relative Strength analysis shows that this issue is lagging the S&P 500. As of 3:12 PM ET Monday, 11/09/2020. $1.29 Dividend Payable On 12/15/20
Non-GAAP EPS (Q2 2020) $0.66
Consensus Estimate (Q2 2020) $0.75
Revenue (TTM) $19.26B
Price/Earnings (TTM) 33.70
Forward P/E 26.01
Price to Earnings/Growth (PEG) 6.88
Source: Charles Schwab
Bulls Say
McDonald’s is positioned to weather pandemic related
headwinds due of its focus on value, improved
access (mobile ordering, drive-thru, delivery), new
marketing approaches, and franchisee health.
McDonald’s global average unit volumes (more
than $2.5 million) and new restaurant cash-on-cash
returns (above 20%) exceed most QSR chains.
OWith a dividend yielding more than 2% and nearly
$17 billion in capital expected to be returned to
shareholders over the next three years, we see
McDonald’s as attractive for income investors
looking for exposure to global middle-class consumer
growth. Source Morningstar/Charles Schwab
