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Is McDonalds (MCD) Outperforming Other Retail-Wholesale Stocks This Year?

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For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Is McDonalds (MCD - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Retail-Wholesale peers, we might be able to answer that question.

McDonalds is a member of our Retail-Wholesale group, which includes 206 different companies and currently sits at #3 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. MCD is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for MCD's full-year earnings has moved 2.80% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, MCD has moved about 7.90% on a year-to-date basis. At the same time, Retail-Wholesale stocks have gained an average of 35.42%. This means that McDonalds is performing better than its sector in terms of year-to-date returns.

Looking more specifically, MCD belongs to the Retail - Restaurants industry, a group that includes 41 individual stocks and currently sits at #167 in the Zacks Industry Rank. This group has gained an average of 10.67% so far this year, so MCD is slightly underperforming its industry in this area.

Investors with an interest in Retail-Wholesale stocks should continue to track MCD. The stock will be looking to continue its solid performance.


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