Why Arcos Dorados Stock Just Jumped 16 percent - The Motley Fool
| MCD Stock | MXN 6,004 165.52 2.68% |
Slightly above 61% of McDonalds' investor base is looking to short. The analysis of current outlook of investing in McDonalds suggests that many traders are alarmed regarding McDonalds' prospects. McDonalds' investing sentiment can be driven by a variety of factors including economic data, McDonalds' earnings reports, geopolitical events, and overall market trends.
McDonalds |
Why Arcos Dorados Stock Just Jumped 16 The Motley Fool
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McDonalds Fundamental Analysis
We analyze McDonalds' financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of McDonalds using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of McDonalds based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Beta
Beta Comparative Analysis
McDonalds is currently under evaluation in beta category among its peers. Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
McDonalds Potential Pair-trading
One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with McDonalds stock to make a market-neutral strategy. Peer analysis of McDonalds could also be used in its relative valuation, which is a method of valuing McDonalds by comparing valuation metrics with similar companies.
Peers
McDonalds Related Equities
| LUV | Southwest Airlines | 2.69 | ||||
| DXC | DXC Technology | 0.00 | ||||
| FRC | First Republic | 0.00 | ||||
| SCCO | Southern Copper | 0.00 | ||||
| MUX | McEwen Mining | 0.00 | ||||
| GNW | Genworth Financial | 0.00 | ||||
| X | United States | 0.50 | ||||
| HCITY | Hoteles City | 1.06 |
Additional Tools for McDonalds Stock Analysis
When running McDonalds' price analysis, check to measure McDonalds' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy McDonalds is operating at the current time. Most of McDonalds' value examination focuses on studying past and present price action to predict the probability of McDonalds' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move McDonalds' price. Additionally, you may evaluate how the addition of McDonalds to your portfolios can decrease your overall portfolio volatility.