By Vlad Schepkov
BTIG analysts raised their Price Target on McDonald's (NYSE:MCD) to $305 from $280 ahead of the company's Q1 report, after a round of franchise checks showed a "sustained sales momentum."
In their latest note on the fast-food giant, the analysts take a bullish stance, citing "strong digital sales, floundering competitors, technology initiatives, restaurant profitability and franchisee sentiment."
They now see "U.S. comps likely in the double-digits, driven by a broad range of items, rather than any one single factor."
The analysts acknowledge "valuation is stretched at current levels," but believe "brand's sales momentum and competitive position have also never been stronger." As such, they are "inclined to maintain our positive view of the shares and raise our target."
MCD is set to report Q1 results next Tuesday, April 25th, 2023. The company is expected to report EPS of $2.31 on revenue of $5.57B.