I just found this article on Best in Breed Dividend Stocks and MCD was at the top of the list. It seems there are alot of naysayers on this board. What do you think of the evaluation? Im thinking of starting a position....
ANy advice would be appreciated..
I own a couple thousand shares and it has been one of my best preforming stocks that I hold. They have great product's that most people like for the money they spend and that is the secret of any business. The dividend they pay is very nice also.
New investor here...
Bought MCD during the panic of the Japan Quake at 74 (bottom was 72.99)...when does the dividend get paid out? If I sell now do I still get the dividends if are paid out once a year? Any help would help. thanks
At age 60, 85% of my stock holdings are in dividend stocks.
MCD is my 2nd largest holding, began buying late in 2006
in the upper $30 area when the stock broke out of it's
one year trading range. The dividend then was $1.00 per
year, now $2.44 per year.
If you look at a long term chart of MCD, you will see
that it bases for a while (one to two years), moves up
and bases again, only to move up again.
I feel that we are in another of these basing phases,
so though I don't see any break out from this area any
time soon, this recent pullback presents a great place
to establish a position.
Remember, the 3.34% dividend rate now will be double
that when your shares double over the years have, as my
initial purchases have.
Also, as others have state, this is one SAFE dividend
stock, pulling back very little during the marked melt
down 2 years ago.
IMHO, MCD will be trading $85 within the next 6 months and (surprise !) I'm expecting a 2:1 split sooner than later. With a split MCD could be more attractive and trade around $ 44 and more.
This is my favorite stocks.
I've been long MCD for several years and it has been a great stock. I wouldn't buy it for huge growth - they're are going to add about 2% new stores and should be able to add sales in existing stores in the 3-5% range. So organic growth will be mid (to maybe) high single digits. That being said, if you think the dollar eventually drops, MCD could grow EPS at near double that rate. They are also committed to share buybacks which could help EPS move a bit more than the rate of organic revenue growth.
The real reason I continue to hold MCD isn't rapid share price appreciation, it's safety and dividends. The world is changing soooo fast blue chips are turning into cow chips all the time. However it's hard for me to imagine a world without fast food. (I get the obesity argument and I think MCD will have to make even more changes than smoothies and oatmeal but I think they're demonstrating their ability and willingness to change.) And I can's see fast food without MCD at the top. As far as the divvy goes, I bought the stock several years ago, so my real dividend is 6%.
All factors considered, I just can't see selling anything with that kind of yield, safety and potential for appreciation.
Best of luck with MCD - I don't think you'll need it.