From Dow Jones & Company:

After years of pandemic-related supply disruptions and price increases, Oppenheimer analysts predict that the restaurant industry will see a year of “normalization” in 2024. They project that menu pricing across the industry will be below 2022/2023 levels, but will likely remain above historical levels. As a result, they downgraded McDonald’s and Papa John’s to a hold rating, but upgraded Yum Brands to a buy. The cost of dining out is expected to stay above historical levels, driven by disruptions in supply chains. This comes after a year in which price increases lifted sales for many restaurants. Ultimately, the industry appears to be on the road to recovery, with food costs more manageable, though beef prices remain a major driver of rising costs.



Read more: With restaurant prices likely to drop in 2024, here’s why Yum’s stock may be a better buy than McDonald’s