I know MCD is franchised but MCD is a public company and that is why I am able to trade its stocks. Since you mentioned Starbucks I should say I cannot compare traffic in Starbucks with MCD. Anyway I enjoy inputs on this Thread.
MCD sales has dropped 8 consecutive quarters. Replacing CEO and providing breakfast all day or warming up buns are not good reasons to go long. Show me two quarters in a row with a meaningful growth and I will be sold. Till it happens, MCD is a short.
3 best and worst fast food restaurants http://www.marketwatch.com/video/wh...ood/F6C701E3-71D6-4AE8-BC08-A2B2F7555E3E.html
Last week's PUTs expired worthless. All profit. Today I jumped the gun a little early. But in long term I guess it does not matter. Sold covered 95 PUT at 0.44.
Check out MCD price action this week. It has been resisting to go down but I believe as we get close to this Friday, it will snap. Might be a good short point at this level since it has more room to follow the market.
Keeping the short and selling covered PUT that most probably will expire worthless and I will keep the premium.
MCD should just offer big and cheap burgers, not push all these desserts and hundreds of other additional items. If I can get a clean, cheap and big burger then I'd certainly spend more on extras. Complicated menus never work and are just plain pointless, people who want a salad or a good dessert won't go to McD, they need to turn back to their roots.
Agree. My favorite is In-N-Out, they keep things simple and fresh. Always wonder why don't MCD simplify their operations? Every time I looked at their Manu I got confused and took me a while to figure it out, especially the new make it your way burger. I don't think they will go out of business in 5 yr. but unless they change their operations and strategies they will keep going downhill like Sears.
Seriously? I haven't eaten at that place in literally years but MCD's burgers were ALWAYS the absolute *worst*. Pan-fried, greasy, cardboard textured junk. I never understood the allure of that place. Anyways - this franchise (the brand overall) is definitely in long-term trouble. They better convert their chains over to their Australian style franchises if they want to think about surviving - otherwise it'll be riding soylent green into the sunset. You have one life, one life only, and limited time on the planet. Don't shorten it by eating this junk on a regular basis.