Seeking Alpha

Restaurant stocks in focus after McDonald's under-performs in the U.S.

  • McDonald's (MCD) falls in early trading after the restaurant chain sees the impact of price increases and a positive mix in the U.S. dwarfed by weaker traffic trends.
  • As one of the first reads on the fast-food industry for November, there could be some debate on if McDonald's lost market share in the U.S. or if the whole sector is being pulled down by cautious consumers.
  • On watch: Burger chains BKW, WEN, SONC, JACK could see extra volatility due to the poor performance of McDonald's in the U.S. Starbucks (SBUX), Chipotle (CMG), and Panera Bread (PNRA) will also be watched as their performance over the same November period could trail analysts estimates with Black Friday shopping more restrained this year.
  • MCD -0.6% premarket.
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Comments (2)
  • magi48
    , contributor
    Comments (184) | Send Message
    The time to buy was back in November 2012. Long on GIS.
    9 Dec 2013, 02:49 PM Reply Like
  • Toni S.
    , contributor
    Comments (20) | Send Message
    Kids love going to Mickey D's. There are healthier choices available for them and they love the toys. I loved the Madame A. Dolls and the Halloween and Xmas dolls before PC seeped in and the dolls have never been the same. The coffee is excellent! I personally just get the reg. coffee...not the specialty. It is reasonably priced and better than the doughnut place. I have found the svce at almost all the restaurants to be great...when it isn't, I say something about it. The stores are usually quite clean relatively speaking espec. when they have the retired ladies cleaning the tables and keeping an eye on the restrms. A store I frequent recently "lost" their retired lady and one can easily tell the difference. I think there are plenty of choices for the weight conscious person. If I were MCD...I would continue to strive for excellence, healthy choices and variety. I always eat from the value section. Care about your patrons and they will care about you! as for the $15 min. wage controversy...won't happen. You want $15/ to be an LPN. That kind of wage hike will be borne on the shoulders of the consumer...stores would close, employees laid off. The stores can reward their exemplary employees with stocks or meals or a paid day off etc. Keep prices down so average Joe and Mary and the kids/grandkids get to step out now and again!
    10 Dec 2013, 02:24 PM Reply Like
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