McDonald's Long-Term Strategy Takes Shape Amid Ongoing Challenges
McDonald's long-term strategy is slowly taking shape, according to KeyBanc analyst Christopher Carril. Despite a soft start in the second quarter for US sales, the company has an action plan in place and new leadership to improve trends.
Carril noted that McDonald's had no major surprises in its latest earnings report. However, US comparable sales were only in line with Street estimates, and trends show sales going negative in July.
The analyst emphasized that execution and marketing will be the company's focus going forward. McDonald's has identified weaknesses in these areas and is working to improve them. The new McValue platform and World Cup promotions did not perform as well as expected.
Carril believes investor attention will shift towards McDonald's long-term strategy ahead of a September Investor Day, which could bring more clarity on the company's plans.