Robert Freedland

What I Like About McDonald's

The 'point & figure' chart shows possibly a bit of a different picture. there appears to be a narrowing in the price fluctuation with lower highs and higher lows....almost a 'wedge formation' if that is the correct analysis....to me it appears to be 'consolidating' in price and likely to make a move higher or lower more convincingly in the near future.

Again, that is my 'amateur' assessment.

Thanks for commenting and taking the time to write here.


On Sep 24 01:27 PM borisb wrote:

> MCD last peak was on June 3, 2009.. since then it has downtrended
> for 71 days to last weeks monday low point of $53.88. Yesterday gs
> raised estimates and reiterated $65 goal. The shares need a catalyst
> to reverse the downtrend.

What I Like About McDonald's

Excellent point. Probably all of the rest of the questions including royaltees, rents, leasing, etc. in some fashion are meaningless if they can't sell burgers. So the same-store-sales numbers, while easily manageable for an amateur like me, still are quite significant but they are not the whole story as you quite astutely point out. Thanks for taking the time to comment!


On Sep 24 09:15 AM John Gordon wrote:

> While analyst mentioned the MCD same store sales metric, additional
> metrics are needed for McDonald's to more accurately track it.<br/>
>
> Over 70% of its profit comes from franchise operations (royalties,
> franchisees opening new sales and surviving) and from its real estate
> operations (rents, leases and buying/selling property).
>
> So...while same store sales is important, additional drivers are
> present. Someday, perhaps, we can develop a new analytical framework
> for companies beyond just bumper sticker phrases.
>
> John A. Gordon
> Chain Restaurant Earning and Economics Experts
> pacificmanagementconsu...