Consumer Cyclical Sector Sees Analyst Buys for Domino's Pizza and McDonald's

Analysts at Evercore ISI and Goldman Sachs recommend buying Domino's Pizza (DPZ) and McDonald's (MCD) with price targets of $520.00 and $345.00, respectively. Domino's Pizza has a Moderate Buy consensus with a price target of $505.00, while McDonald's has a Moderate Buy consensus with a price target of $338.26. Both stocks have shown strong analyst sentiment and potential for upside.

Analysts at Evercore ISI and Goldman Sachs have issued positive ratings for Domino's Pizza (DPZ) and McDonald's (MCD), recommending a buy with price targets of $520.00 and $345.00, respectively. Both stocks have shown strong analyst sentiment, with Domino's Pizza having a Moderate Buy consensus at $505.00 and McDonald's at $338.26.

Domino's Pizza, despite the recent resignation of CEO Mark Van Dyck, has seen a reduction in its price target by RBC Capital to AUD18.00 from AUD30.00 [1]. The uncertainty surrounding the company's strategic direction and earnings outlook has led to a 40% reduction in the price target. However, the stock remains cheap relative to peers and its 5-year trading history, with analysts expecting potential upside.

McDonald's, on the other hand, has seen a price target increase by Truist Securities to $356.00 from $350.00 [2]. The firm expects the reintroduction of the Snack Wrap menu item to boost sales momentum, with forecasts for third-quarter 2025 U.S. same-store sales growth of 3.0% above the consensus estimate of 2.7%. The stock has also received positive ratings from other analysts, with Citi raising its price target to $365.00 and KeyBanc lowering it to $325.00 [2].

Both stocks have shown resilience and potential for growth, with strong analyst sentiment and positive earnings reports. Domino's Pizza reported $4.33 EPS for the quarter, beating the consensus estimate of $4.12, while McDonald's has maintained a GOOD financial health score and an impressive 49-year streak of dividend increases [2].

References:
[1] https://www.investing.com/news/analyst-ratings/dominos-pizza-stock-price-target-slashed-by-rbc-on-ceo-departure-93CH-4122106
[2] https://www.investing.com/news/analyst-ratings/mcdonalds-stock-price-target-raised-by-truist-to-356-ahead-of-snack-wrap-launch-93CH-4128486