Analysis: Value message not enough at McDonald's

McDonald's (MCD +0.4%) faces an uphill battle due to macroeconomic trends and a continual consumer shift away from fast food options, warns Hedgeye's Howard Penney.

The research firm notes the ongoing value message being delivered by McDonald's hasn't been enough to turn same-store sales growth positive.

A major restructuring could be on tap if U.S. sales stay stuck in a sluggish trend.

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Comments (4)
  • California Dividend Bull
    , contributor
    Comments (211) | Send Message
    Whatever a "value message" is supposed to be (is it for patrons or shareholders), although I'm a big fan of my MCD shares we don't go there as frequently anymore as we used to. The menu is fad, the service bad and the crowds too big. So if I don't go to the McDonald's joint because there are too many people, I can't see any severe problems anytime soon with the revenue which in turn will most likely contribute for me keep on loving the stock ;-)
    16 Jun 2014, 03:09 PM Reply Like
  • Little Dude
    , contributor
    Comments (211) | Send Message
    Like the man said, that restaurant is so crowded no one goes there anymore!
    16 Jun 2014, 03:16 PM Reply Like
  • Riskman
    , contributor
    Comments (199) | Send Message
    Watch out for Hèdgeye, they wrongly accused Line Energy of foul financials when in fact there was nothing dishonest per the SEC at Line! They are large short sellers!
    16 Jun 2014, 09:47 PM Reply Like
  • This time it's different Le...
    , contributor
    Comments (9) | Send Message
    Thanks, California Dividend Bull and Little Dude.
    They do a nice job at our local McDonald's. The staff is friendly; they try hard; and of course the prices are affordable. P.S. Reuters says "The United States [only] accounted for 31 percent of McDonald's revenue in 2013," so I'm willing to give them more time to get it together domestically. Let's talk again in a year!
    17 Jun 2014, 07:20 AM Reply Like
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