Unless they announce something major like a REIT spinoff or merger with CMG, I don't think the stock can crack $100 simply with menu revamps and anonymous paper bags.
The derangements in the world’s financial markets have nothing to do with education, information or heavy duty securities analysis. This is a mania—–an outbreak of herd irrationality that would make Graham & Dodd and any other true value analyst as welcome as a skunk at a garden party.
Proof of the latter came early this AM when McDonald’s reported another disastrous quarter and its stock promptly shot up by 3%. Within minutes of this anomalous development, however, the house-trained financial press explained it all. Said the USA Today story,
McDonald’s stock rallied more than 2% in premarket trading Wednesday as the company announced a new turnaround plan to be revealed early next month.
Results, though nothing to brag about, were better than expected. The world’s biggest fast-food company said it had a profit of 84 cents per share. Earnings were $1.10 per share, adjusted for non-recurring costs. That beat Wall Street expectations, which were $1.05 per share.
But the big news from the embattled company was the announcement by CEO Steve Easterbrook to reveal a new turnaround plan on May 4.
“As the world’s leading restaurant company, we are evolving to be more responsive to today’s customer,” said Easterbrook, in a statement. “McDonald’s management team is keenly focused on acting more quickly to better address today’s consumer needs, expectations and the competitive marketplace. We are developing a turnaround plan to improve our performance and deliver enduring profitable growth. We look forward to sharing the initial details of this plan.”
Yes, the check’s in the mail, but unlike Richard Nixon’s campaign plan to end the Vietnam War, you can bet that Easterbrook’s plan is not secret at all. The gamblers did not need one iota of detail to bid up the stock because they already know what will be in the May 4 plan. Namely, another round of restructuring charges and a new burst of stock buybacks.
You need different expectations. It's called taking profits, and it goes on everywhere every day. If every stock was up just 1% every day, they would all triple each year. That's really not sustainable. Stocks go on runs.
Well it would have to be made with tasty ingredients and have some unique qualities. Hey? What is pizza? Bread cheese and tomatoes. People cant get enough of it.
I own no shares of MCD. I do not buy stocks that are loosing market share quarter after quarter. Here is the story, so listen up. MCD needs to re invent itself like dunkin donuts and many others did to compete in a changing market.
AMEN! "Amen" is what they say right after a prayer. Your post is just that--a prayer that 200 shs you bought on margin doesn't slide to $80. Trust me. It will.
i promise you, a tasty grilled cheese sandwich would be a outstanding hit. At 99 cents? ll take 3. At 2 dollars ill take 2.
tomatoe, bacon or ham, or any variation thereof. Great bread with a tasty cheese and really grilled! Kids love it and and adults crave it. You heard it here first. Ive email this idea to them 9 times over the past 2 years. Maybe it will resonate with someone that cares.
as long as it makes me money. Money, money, money!!!!
AT MCD Apparently, their new rat sandwich is all the rage in Bangalore. The denizens of that cesspool have been
eating rat since the beginning of civilization.
Ah, BittyBit.....what's the matter? They not paying you enough?
BTW, congrats on yet another brand new username. Now, don't forget to change usernames when you reply to yourself in the third person.