Countdown to McDonald's (MCD) Q3 Earnings: A Look at Estimates Beyond Revenue and EPS

Core Insights - Analysts forecast McDonald's (MCD) quarterly earnings of $3.35 per share, reflecting a year-over-year increase of 3.7% and revenues of $7.07 billion, up 2.8% from the previous year [1] Earnings Estimates - The consensus EPS estimate has been revised downward by 0.3% over the past 30 days, indicating a collective reassessment by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock performance [3] Revenue Projections - Estimated revenues from company-owned and operated sales total $2.57 billion, down 3.1% year-over-year [5] - Franchised revenues are expected to reach $4.36 billion, indicating a year-over-year increase of 6.4% [5] - Total other revenues are projected at $159.29 million, reflecting a significant year-over-year increase of 28.5% [5] Systemwide Restaurant Metrics - Total systemwide restaurants are expected to reach 44,598, compared to 42,819 in the previous year [6] - Systemwide restaurants in International Developmental Licensed Markets & Corporate are projected at 20,331, up from 18,943 year-over-year [7] - Total U.S. systemwide restaurants are estimated at 13,609, compared to 13,498 last year [8] - Total franchised systemwide restaurants are expected to be 42,528, up from 40,755 year-over-year [8] Stock Performance - McDonald's shares have increased by 0.9% over the past month, while the Zacks S&P 500 composite has risen by 2.1% [10] - McDonald's holds a Zacks Rank 4 (Sell), indicating expectations of underperformance relative to the overall market in the near term [10]