Since taking the helm of the company in 2015, CEO Steve Easterbrook has worked to usher the Golden Arches further into the 21st Century, rolling out initiatives including all-day breakfast, a slimmed-down menu, fresh-beef trials, touch-screen ordering kiosks, mobile ordering and pay, and food-delivery options.
In the first quarter, McDonald’s reported a 4% jump in global same-store sales with a 1.7% bump in U.S.
The Oakbrook, Illinois-based company’s Experience of the Future initiative – which includes all the elements of its growth playbook – could drive sales growth of 1% at stores open at least 12 months as early as next year considering the mid-single digit bump in same-store sales McDonalds’ Experience of the Future rollout has provided restaurants in Canada and the United Kingdom, while delivery could represent a 2% to 3% increase in per-share profit growth by 2018, a team of Wells Fargo analysts led by senior analyst Jeff Farmer said.
The early success of the program prompted the company to scale it to a wider audience.
Because of the growth potential, the team of Wells Fargo analysts increased their earnings per share target to $7.01 from $6.95, above the Wall Street average, and bumped up its price target on the stock to $175 from $165.