ADVFN - Advanced Financial Network.
HOME» NYSE » M » MCD Stock Price » MCD Stock News

Mcdonalds Share News

 Mcdonalds Corp Stock Price
MCD Stock Price
 Mcdonalds Corp Stock Chart
MCD Stock Chart
 Mcdonalds Corp Stock News
MCD Stock News
 Mcdonalds Corp Company Information
MCD Company Information
 Mcdonalds Corp Stock Trades
MCD Stock Trades

McDonald's Sees Slowdown in Discretionary Spending

By Annie Gasparro While fast-food giant McDonald's Corp. (MCD) says consumers are becoming more cautious in discretionary spending, large rival Yum Brands Inc. (YUM), with its heavy concentration in China, says its earnings continue to power forward. Presenting at an investor conference Tuesday, McDonald's Chief Financial Officer Peter Bensen said the global market for eating out is stagnant right now, given the global economic environment. "In some markets it's slightly declining, some it's increasing slightly, but nowhere is the eating-out market growing robustly," Mr. Bensen said. "And so we are really focused on doing what we can to continue to drive transactions into our restaurants and value is the key portion of that," he added. However, McDonald's same-store sales in May, though they grew 3.3% world-wide, didn't live up to expectations. "Primarily, we were going up against one of our best comps from last year in May," Mr. Bensen said. "But we are seeing a little bit more of a cautious consumer." McDonald's has said that inflationary pressures in the U.S., economic uncertainty in Europe and slowing economic growth in China are weighing on its earnings this year. "Over the last couple of months, as we look at our sales data, breakfast was continuing to do well, lunch was continuing to do well, but some of the more discretionary meals seemed to be where we weren't seeing as robust sales as we were in the past," Mr. Bensen said. Typically, that points to snacks, desserts and other occasions outside breakfast, lunch and dinner. In China, McDonald's recently came out with a value lunch menu, hoping to capture cost-conscious consumers as economic growth slows there. So far this year, McDonald's stock price has fallen more than 10% from its highs of above $100 in January. Shares closed down a fraction of a percent Tuesday at $89.60, in an otherwise positive market. Yum, parent company of KFC, Pizza Hut and Taco Bell, has also taken a hit recently from speculation regarding China's economic slowdown, since a large portion of its profits come from the emerging market. However, in a presentation Tuesday, Yum backed its long-term forecast of at least 20% profit margins in China, saying that initiatives like 24-hour service, delivery and other ways of increasing profitability of stores will help. The company also notes that as it gets more stores in the region, its supply chain will become more efficient, and it is building more locations in lower-tier markets, which return higher margins than the more-developed regions of China. Write to Annie Gasparro at annie.gasparro@dowjones.com

Stock News for Mcdonalds (MCD)
DateTimeHeadline
10/21/201417:13:32MARKET SNAPSHOT: U.S. Stocks Gain; Apple Rallies On Results
10/21/201417:11:30MARKET SNAPSHOT: U.S. Stocks: Futures Gain; ECB Plays Down Stimulus...
10/21/201417:01:16MARKET SNAPSHOT: U.S. Stocks: Futures Gain As Apple Climbs, ECB...
10/21/201409:38:25MARKET SNAPSHOT: U.S. Stocks: Nasdaq Futures Up After Apple...
10/20/201413:48:32McDonald's Results to Reflect China Impact -- Earnings Preview
10/19/201405:47:20MARKET SNAPSHOT: More Than 1/3 of Dow Stocks To Report This Week
09/19/201409:43:22U.S. Hot Stocks: Hot Stocks to Watch
09/10/201420:19:12Will Stores Warm Up to Apple Pay?
09/09/201416:29:01MARKET SNAPSHOT: S&P 500 Decline Worst In 5 Weeks
09/09/201414:04:46MARKET SNAPSHOT: S&P 500 Drops Below 2,000
09/09/201410:40:11MARKET SNAPSHOT: U.S. Stocks Edge Lower; S&P 500 Below 2,000
09/09/201409:49:50MARKET SNAPSHOT: U.S. Stocks Open Lower; Apple In Focus
09/09/201409:08:17MARKET SNAPSHOT: U.S. Stocks: Futures Drift Lower; Apple In Focus
09/09/201407:52:47MARKET SNAPSHOT: U.S. Stocks: Futures Drift With All Eyes On...
08/31/201422:06:42U.S. Works With EU to Align Russia Sanctions
08/31/201417:11:18U.S. Works With European Officials to Align Russia Sanctions
08/14/201400:25:08Protests Again Turn Violent in St. Louis Suburb
08/13/201419:52:24Burger King Drops Lower Calorie Fries
08/08/201417:00:23New VA Secretary Seeks Independent Review of Scheduling Practices
08/08/201412:43:42Wal-Mart Denies China Media Report of Selling Expired Products

Mcdonalds and other New York Stock Exchange stock quotes are delayed by at least 20 minutes.
All other stock price data is delayed by at least 15 minutes unless otherwise stated.
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Contact Us | Copyright 1999-2007 ADVFN PLC. | Privacy Policy | Investment Warning | Data accreditations | Investor Relations

ADVFNADVFN ItalyADVFN GermanyADVFN FranceADVFN BrazilADVFN JapanADVFN UKADVFN US noad