McDonald's Sales Rebound, Snap Tumbles, Lucid Lowers Production Outlook
Aug 6, 2025
McDonald's shares are on the rise thanks to pop culture collaborations and budget meals that appeal to consumers' economic concerns. Global sales surged, showcasing successful international strategies. Meanwhile, Snap faces a 17% stock drop due to sluggish advertising revenue growth attributed to technical ad-buying issues. Lastly, Lucid Motors is slashing its production outlook amid mounting challenges in the electric vehicle space, hinting at a rough road ahead despite potential partnerships.
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insights INSIGHT
McDonald's Sales Growth Insight
McDonald's sales rose 3.8% globally, ending a period of declining growth.
Collaborations and budget meals help offset economic anxiety and boost customer visits.
question_answer ANECDOTE
McDonald's Pop Culture Collaborations
McDonald's partnerships with Minecraft and Squishmallows target popular culture fans.
Squishmallows are big, fluffy collectible pillows that attract younger customers.
insights INSIGHT
Snap's Ad Revenue Slowdown
Snap's advertising revenue growth slowed from 9% to 3-4% due to a technical auction pricing issue.
Advertisers bought at reduced prices, hitting revenue, but growth is now improving post-fix.
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- McDonald's (MCD) shares are up today after sales picked up in the latest quarter, suggesting that pop culture-focused collaborations and budget meals are helping to offset diners’ economic anxiety. Global sales at restaurants open at least 13 months rose 3.8% in the second quarter, the company said Wednesday. That’s higher than the average estimate of analysts polled by Bloomberg. International markets led the company’s growth, while the US was slightly ahead of expectations as Americans spent more per trip. The results ended four quarters of declining or tepid growth as the burger chain dealt with an E. coli outbreak, backlash against American brands in the Middle East and consumer unease about the economy in response to President Trump’s trade disputes. Total guest counts around the world rose, Chief Executive Officer Chris Kempczinski said on call with analysts.
- Snap (SNAP) shares tumbled after the owner of the Snapchat photo-sharing app acknowledged a slowdown in advertising revenue growth, due in part to a technical issue with its ad-buying tools earlier this year. The company on Tuesday reported second-quarter sales that were shy of Wall Street’s average estimate, and on a call with investors later said that ad revenue, which rose by 9% in the first quarter, is now gaining at a rate of 3% to 4%. Snap shares, which have fallen 13% so far this year, slid more than 17% in premarket trading on Wednesday after closing at $9.39 in New York. Revenue in the June quarter was crimped when the company shipped an update to its advertising auction that inadvertently allowed marketers to buy ads at “substantially reduced prices,” Snap said. That issue has been fixed, and “advertising revenue growth has improved,” Snap said in a letter to shareholders Tuesday. The company, which gets about 90% of its revenue from advertising, forecast overall sales in the current period that will likely be higher than analysts projected.
- Lucid (LCD) shares are down after the electric vehicle maker reported earnings on Tuesday and missed second quarter estimates. Lucid trimmed its full-year production outlook, making the electric vehicle manufacturer the latest carmaker to temper expectations for the year. The company now expects to produce between 18,000 and 20,000 EVs in 2025, down at the midpoint from its earlier forecast for 20,000 vehicles, Lucid said as it reported second-quarter earnings on Tuesday. Although it didn’t immediately detail the reason for the change, the company faced a “challenging macroeconomic backdrop” in the most recent quarter, Chief Financial Officer Taoufiq Boussaid said in the statement.