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Is McDonald's (MCD) Stock Outpacing Its Retail-Wholesale Peers This Year?

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Investors focused on the Retail-Wholesale space have likely heard of McDonald's (MCD - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? 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.

McDonald's is one of 228 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #5 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. MCD is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for MCD's full-year earnings has moved 1.26% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, MCD has returned 7.05% so far this year. Meanwhile, stocks in the Retail-Wholesale group have gained about 10.04% on average. This shows that McDonald's is outperforming its peers so far this year.

To break things down more, MCD belongs to the Retail - Restaurants industry, a group that includes 51 individual companies and currently sits at #183 in the Zacks Industry Rank. On average, stocks in this group have gained 12.20% this year, meaning that MCD is slightly underperforming its industry in terms of year-to-date returns.

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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