McDonald's stock swung higher Wednesday after the Dow Jones fast food chain topped estimates for its Q2 results as customers spent more per visit.
McDonald's reported a 7% increase in earnings to $3.19 per share. Revenue rose 5% to $6.84 billion.
FactSet analysts expected earnings of $3.14 per share on $6.69 billion in revenue.
Global comparable sales rose 3.8%, while analysts expected 2.6% growth. U.S. markets saw comparable sales rise 2.5%, reversing from a 0.7% decline last year, primarily driven by rising transaction size per customer. Same-store sales at international markets increased 4%.
The company's license development in international markets saw positive comparable sales across all geographic regions, led by Japan.
Systemwide sales increased 6% on a currency-adjusted basis.
CEO Chris Kempczinski credited the quarter to the "power of compelling value, standout marketing, and menu innovation."
McDonald's Stock
MCD stock advanced 3% Wednesday to take back Tuesday's drop and then some, and to reassert support above its converged 50-day and 200-day moving averages.
McDonald's is up about 6% this year, making it the 17th best-performing stock in the Dow Jones Industrial Average.
You can follow Harrison Miller for more stock news and updates on X/Twitter @IBD_Harrison
