Earnings results often indicate what direction a company will take in the months ahead. With Q2 behind us, let’s have a look at McDonald's (NYSE: MCD) and its peers.

Traditional fast-food restaurants are renowned for their speed and convenience, boasting menus filled with familiar and budget-friendly items. Their reputations for on-the-go consumption make them favored destinations for individuals and families needing a quick meal. This class of restaurants, however, is fighting the perception that their meals are unhealthy and made with inferior ingredients, a battle that's especially relevant today given the consumers increasing focus on health and wellness.

The 12 traditional fast food stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 1.6%.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 13.9% since the latest earnings results.

McDonald's (NYSE: MCD)

With nicknames spanning Mickey D's in the U.S. to Makku in Japan, McDonald’s (NYSE: MCD) is a fast-food behemoth known for its convenience and broken ice cream machines.

McDonald's reported revenues of $7.10 billion, up 3.7% year on year. This print was in line with analysts’ expectations, but overall, it was a mixed quarter for the company with same-store sales in line with analysts’ estimates.

"This quarter McDonald's delivered positive comparable sales growth across every segment and acted decisively to strengthen execution as we prime McDonald's for the next era of long-term growth," said Chris Kempczinski, Chairman and CEO.

The market seems disappointed with the results as the stock is down 6.4% since reporting and currently trades at $248.32.

Is now the time to buy McDonald's? Access our full analysis of the earnings results here, it’s free.

Best Q2: Starbucks (NASDAQ: SBUX)

Started by three friends in Seattle’s historic Pike Place Market, Starbucks (NASDAQ: SBUX) is a globally-renowned coffeehouse chain that offers a wide selection of high-quality coffee, beverages, and food items.

Starbucks reported revenues of $9.32 billion, down 1.4% year on year, outperforming analysts’ expectations by 1.5%. The business had an exceptional quarter with an impressive beat of analysts’ same-store sales estimates and full-year EPS guidance exceeding analysts’ expectations.

Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 3.9% since reporting. It currently trades at $100.10.

Is now the time to buy Starbucks? Access our full analysis of the earnings results here, it’s free.

Weakest Q2: Papa John's (NASDAQ: PZZA)

Founded by the eclectic John “Papa John” Schnatter, Papa John’s (NASDAQ: PZZA) is a globally recognized pizza delivery and carryout chain known for “better ingredients” and “better pizza”.

Papa John's reported revenues of $482.4 million, down 8.8% year on year, in line with analysts’ expectations. It was a softer quarter as it posted full-year EBITDA guidance missing analysts’ expectations significantly and a significant miss of analysts’ EBITDA estimates.

As expected, the stock is down 39% since the results and currently trades at $18.14.

Read our full analysis of Papa John’s results here.

Krispy Kreme (NASDAQ: DNUT)

Famous for its Original Glazed doughnuts and parent company of Insomnia Cookies, Krispy Kreme (NASDAQ: DNUT) is one of the most beloved and well-known fast-food chains in the world.

Krispy Kreme reported revenues of $331 million, down 12.8% year on year. This print topped analysts’ expectations by 9.4%. Aside from that, it was a satisfactory quarter as it also produced a solid beat of analysts’ EBITDA estimates but EPS in line with analysts’ estimates.

Krispy Kreme achieved the biggest analyst estimate beat among its peers. The stock is down 8.6% since reporting and currently trades at $2.83.

Read our full, actionable report on Krispy Kreme here, it’s free.

Yum China (NYSE: YUMC)

One of China’s largest restaurant companies, Yum China (NYSE: YUMC) is an independent entity spun off from Yum! Brands in 2016.

Yum China reported revenues of $3.14 billion, up 12.6% year on year. This result surpassed analysts’ expectations by 4.2%. It was a very strong quarter as it also put up a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.

The stock is down 2.8% since reporting and currently trades at $44.56.

Read our full, actionable report on Yum China here, it’s free.

Market update

Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership.

Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products.

By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals.

Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.