187.74 +0.26 (0.14%)
After hours: 6:31PM EDT
|Bid||0.00 x 1000|
|Ask||0.00 x 800|
|Day's Range||186.35 - 188.88|
|52 Week Range||153.13 - 190.88|
|Beta (3Y Monthly)||0.39|
|PE Ratio (TTM)||24.86|
|Earnings Date||Apr 29, 2019 - May 3, 2019|
|Forward Dividend & Yield||4.64 (2.50%)|
|1y Target Est||197.69|
McDonalds is looking to push your drive-through experience into the digital age. The fast food giant announced today that is has agreed to buy Dynamic Yield, a tech company that specializes in personalization and decision logic technology. Yahoo Finance's Jen Rogers, Myles Udland, Brian Sozzi and Brian Cheung discuss.
Fast-food giant McDonald's Corp. will no longer lobby against efforts to raise minimum-wage laws at federal, state and local levels, Politico reported Tuesday. "The conversation about wages is an important one; it's one we wish to advance, not impede," McDonald's Vice President of Government Relations Genna Gent said in a letter to the National Restaurant Association, Politico said. McDonald's has been the target of numerous protests in recent years by workers calling for wage increases. McDonald's turnaround could boost House Democrats' efforts to raise the federal minimum wage to $15 an hour by 2024, up from the current $7.25 an hour.
"October lived up to its scary reputation—the S&P 500 falling in the month by the largest amount in the last 40 years, the only worse Octobers being '08 and the Crash of '87\. For perspective, there have been only 5 occasions in those 40 years when the S&P 500 declined by greater than 20% from […]
McDonald's (NYSE:MCD) is turning to digital technology to bolster its sales as the burger chain will acquire an artificial intelligence (AI) startup with tech that will improve menu personalization for drive-thru customers.Source: Shutterstock The San Bernandino, Calif.-based restaurant said that it will buy Dynamic Yield, an AI business based out of Israel to create more personalized experiences for consumers. The tech will offer customers items on the menu boards at drive-thru outlets based on a number of factors, including the weather, how busy the restaurant is, as well as the time of the day.The new McDonald's tech will also instantly recommend additional items to customers based on their initial order, such as possibly offering hash browns or McCafe offerings with a breakfast sandwich. The Dynamic Yield acquisition will aid the company's "ability to increase the role technology and data will play in our future," according to a statement from McDonald's CEO Steve Easterbrook.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe move will also bolster "the speed with which we'll be able to implement our vision of creating more personalized experiences for our customers," he said. It is unclear how large the deal is as McDonald's has not commented on the acquisition's dollar amount, which The Wall Street Journal reported as being north of $300 million.The burger giant first tested the AI company's tech in U.S. locations last year, and it plans on adding it to its platform this year. It will then add Dynamic Yield's capabilities to major international markets, ass well as self-order kiosks and the McDonald's mobile app.MCD stock is up 0.9% Tuesday. More From InvestorPlace * 7 Marijuana Stocks to Play the CBD Trend * 10 Stocks on the Rise Heading Into the Second Quarter * 7 Beaten-Up Stocks to Buy as They Reverse Course Compare Brokers The post McDonald's Buys AI Startup for Drive-Thru Menu Personalization appeared first on InvestorPlace.
McDonald's stock moved closer to a buy point Tuesday after the company announced a buyout of the artificial intelligence tech company Dynamic Yield.
McDonald’s Corp. just paid about $300 million for Dynamic Yield Ltd., which helps major retailers personalize the shopping experience. Liad Agmon, founder and chief executive officer of the Tel Aviv-based startup, learned a few things from his cousin, Israeli billionaire and Check Point Software Technologies Ltd. co-founder Gil Shwed. Years before creating Dynamic Yield in 2012, Agmon, 42, had consulted with Shwed -- a revered figure in Israel’s tech industry -- about what to do with his earlier information-security startup that Mcafee Inc. eventually bought in 2006.
Accelerating its entrance into the digital age, McDonald's Corp. (MCD) announced on Monday it is acquiring New York-based artificial intelligence startup Dynamic Yield Ltd. Warning! GuruFocus has detected 1 Warning Sign with PRTY. It is also part of McDonald's latest initiative to incorporate more technology in its stores.
The coffee market is back in the news, but the latest development may not have a big impact 0n Starbucks (NASDAQ:SBUX), stock. Burger King recently announced a $5 per month coffee subscription model, giving members one free cup of coffee per day.Source: Shutterstock In the unlikely event that a member uses his or her subscription every day of the month, he or she would only pay a rather cheap 17 cents per cup. Burger King is said to be creating a "community" around its coffee and breakfast options, and aims to peel off traffic from Dunkin Brands (NASDAQ:DNKN) and McDonald's (NYSE:MCD). * 7 Energy Stocks to Buy Now The good news for SBUX stock is that, despite the ample media attention, Burger King is hardly a threat to Starbucks. McDonald's has already offered cheap coffee as part of its breakfast package for years. It's never been clear that there is a huge overlap between Starbucks' and McDonald's customer bases. As a result, Burger King's invasion of the market is unlikely to shake up the sector either, though it likely will hurt McDonald's and Dunkin Donuts at the margins.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThat said, Starbucks stock has plenty of other issues, even if Burger King's initiative isn't one of them. At the end of the day, the combination of the high valuation of Starbucks stock and its limited growth prospects make it hard to endorse the stock, particularly as it trades near its new, all-time highs. You'll almost certainly be able to buy Starbucks stock at a cheaper price later this year. Is Starbucks Stock Really So Expensive?A standard bearish talking point on SBUX stock is that its price-earnings ratio is quite high. That has only become more true as Starbucks stock has rallied in recent months. With the stock now trading for more than $70, Starbucks is selling at 32 times its trailing earnings and 24 times analysts' consensus 2019 earnings estimate.McDonald's, by comparison, is trading at 24 times its trailing earnings and 21 times its forward earnings. Restaurant Brands, (NYSE:QSR), the owner of Burger King and Tim Horton's, has around the same multiple as McDonald's. Dunkin Brands is slightly pricier than either of those, though cheaper than Starbucks. Meanwhile, the suddenly hot Chipotle (NYSE:CMG) is back over 40 times its earnings despite all its problems over the past couple of years. Against that backdrop, you can make a case that SBUX stock isn't that expensive compared to its rivals. The Owners of Starbucks Stock Still Need a Lot to Go RightWhile a case can be made that the valuation of Starbucks stock is reasonable, I'd argue that's more because restaurant stocks as a whole have become overvalued. Looking at Starbucks in isolation, rather than against its sector, it's clear that Starbucks stock is pricing in some strong growth in coming years.That said, for this year, analysts on average predict SBUX will report 6% revenue growth and 12% earnings growth. Those numbers are fine; they're quite good, in fact. for a company that is already as large as SBUX. But for a stock that's trading around 30 times its trailing earnings, that growth still isn't that impressive. Keep in mind that Starbucks is benefiting from several favorable trends - such as unusually low coffee-bean prices - that are making its earnings jump more than its revenues.Ultimately, Starbucks will find it hard to keep its price-earnings ratio this high if its revenue continues to increase around 5%. It's true that Starbucks is still trying to open a ton of stores, particularly in China. But there are limits to how many more stores it can open in many markets. This is close to a mature brand at this point, while SBUX stock is back to trading as if the company can still grow vigorously for years to come. Revamped Domestic StoresWhile China is clearly Starbucks' most important market at the moment, don't forgot about its U.S. operations. In recent years, the company has struggled to generate any same-store sales growth at home. Its mishandling of the situation in Philadelphia during which two men were wrongfully arrested didn't help matters either.Starbucks' most recent results were slightly better. Its same-store sales growth in the U.S. market came in at 4%. Before we get too excited, however, consider that traffic at its stores was merely flat, as its sales growth was entirely caused by higher prices and a more favorable mix of products sold.Unfortunately for SBUX stock, there is a limit to how much its average check size can rise before consumers get irritated. Particularly once the economy turns down again, SBUX will have trouble using higher prices to maintain its sales growth.That's why it is so important that SBUX is focusing on getting its store traffic up again. It is using several methods to attempt to accomplish this aim, such as tinkering with its rewards program. However, its most important initiative is its decision to reevaluate all of its domestic stores.According to CNN Business, SBUX is looking for ways to make all its stores cater more to local demands. Busy metro areas, such as New York, need more stores where beverages ordered through the app can be easily picked up. The company found that in the Texas market, clients prefer stores with more interior lighting. In New Jersey, there will be more lounge areas for customers to hang out in the afternoons.By rebuilding its store base to meet local needs, SBUX may finally be able to get more people into its stores again. The Verdict on Starbucks StockGive credit where credit is due; Starbucks' last quarter was better than its previous few quarters. And while I'm still skeptical about the company's long-term outlook in China, so far, it is putting up decent results in the country.Additionally, I see management's efforts to overhaul its U.S. store base as a wise move. Ultimately, if SBUX stock is going to remain a compelling growth story, it needs to accelerate its same-store sales again, and higher prices can't be relied upon to do that forever. If SBUX can get more foot traffic into its stores, particularly in off-peak hours, the outlook of Starbucks stock would greatly improve.That said, at this P/E ratio, consider me uninterested in Starbucks stock. The stock is rather sensitive to the overall economy, and should correct pretty dramatically when the economy slows. Continued trade- war jitters between the U.S. and China could also cause another drop in Starbucks stock. With SBUX stock near its all-time highs, investors can wait for a correction before buying any shares.At the time of this writing, Ian Bezek held no positions in any of the aforementioned securities. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Dual-Class Stocks That Will Outperform * 7 Reasons Why Apple Streaming Won't Move the Needle for Apple Stock * 7 A-Rated Stocks to Buy in the Second Quarter Compare Brokers The post Starbucks' Growth Does Not Justify the Premium Price of SBUX Stock appeared first on InvestorPlace.
Both Housing Starts/Building Permits and the latest Case-Shiller home price index came in worse than expected. Meanwhile, MCD and Uber make purchases.
Like PepsiCo, Inc., versus the Coca-Cola Company or Ford Motor Company versus General Motors Company, the battle between McDonald's Corporation (NYSE: MCD) and Burger King represents one of the most iconic and important business rivalries in American history. For more than 60 years, McDonald's has been the trailblazer that set the standard by which all other franchises operate.
DEEP DIVE If you are looking for investment income, times are tough. Interest rates remain very low and long-term rates fell significantly after the Federal Reserve signaled it won’t raise rates anymore this year.
The world’s biggest restaurant chain is spending more than $300 million on Dynamic Yield Ltd., according to a person familiar with the matter. With the new technology, McDonald’s restaurants can vary their electronic menu boards’ display of items, depending on factors such as the weather -- more coffee on cold days and McFlurries on hot days, for example -- and the time of day or regional preferences. Since taking the helm in 2015, Chief Executive Officer Steve Easterbrook has pushed technology -- including self-order kiosks, digital menus boards and delivery -- to boost sales and help McDonald’s stand out among rivals.
The new technology will allow McDonald's to get to know more about its consumers, as well as highlight menu items at individual restaurants.
will acquire Dynamic Yield, the Israeli digital startup, to improve the customer experience, particularly during the drive-thru. Terms of the deal weren't disclosed, but The Wall Street Journal, citing people familiar with the matter, said McDonald's will pay more than $300 million for closely held Dynamic Yield. McDonald's explained that Dynamic Yield's decision technology will "provide an even more personalized customer experience by varying outdoor digital Drive Thru menu displays to show food based on time of day, weather, current restaurant traffic and trending menu items.
CNBC's Kate Rogers reports on McDonald's acquisition of Dynamic Yield and how the fast food giant hopes it will help personalize the customer's experience in drive-thrus.
McDonald's is acquiring Dynamic Yield, a machine learning company, to aid its efforts to personalize drive-thru menus and drive more sales.