Is It Worth Holding Cash And Being Patient? [View article]
Timing the market may be fun, but that's not how Warren Buffet got rich. He chose good companies, invested and stayed with them for extended periods. As he said, his ideal time to hold an investment is forever.
Minimum wage in Ontario is $10.25 per hour. In Quebec it is $9.90 per hour. (US and Canadian dollars are roughly at parity.) I see good crowds at MCD and Tim Hortons in both Ont. and Quebec. I suspect that when the minimum wage increases the low end wage earners have more money to eat in their favorite fast food restaurant.
McDonald's, I'm Not Lovin' Its Zero U.S. Sales Growth [View article]
I am a buy and hold investor, trading very little. I continue to be long MCD. I agree that MCD is pricey at present. When the inevitable pull back comes I plan to buy more.
PepsiCo (PEP +3.7%) issues a statement indicating it doesn't see a need to make any large acquisitions after a British newspaper suggested Nelson Peltz might push for a merger between the company and Mondelez International (MDLZ +4.8%). An underlying debate with PepsiCo still exists on if more value for shareholders exists by separating the snacks and beverage sides of the business into two separate companies. [View news story]
Combining PEP and MDLZ would make lots of money for the M&A lawyers, accountants and the rest of the tribe. As far as benefits to the ordinary stock holders, employees and communities involved they don't really care. Both PEP and MDLZ will do fine on their own and make lots of money--but that's beside the point, isn't it? If a merger doesn't work out the deal makers can make lots more by taking it apart again. It's a lot of wheel spinning that doesn't add value.
Why McDonald's Is An Attractive Investment [View article]
PSalemo- Most people aren't as good at it as you are. Obviously, one has to pay attention and be sure that the company continues to lead and that the industry it is in isn't a declining one. I note that a majority of mutual fund managers, who presumably are sophisticated operators, and who are paid to beat the market over time, aren't able to do it. Therefore, you are to be doubly congratulated for your success!
Why McDonald's Is An Attractive Investment [View article]
How's this for a strategy? Pick the leading company in an industry. Buy it and hold it while collecting dividends. Don't fuss about buying on dips or selling on spikes. Don't concern yourself with options. I think that is pretty much how Warren Buffett got rich. MCD is the leading company in its industry by a giant margin. Buy it and hold it. You won't be sorry.
Hedgeye says current employment trends show a potential deceleration of employment growth in the casual dining restaurant sector as compared to the broader economy. According to the firm, the data suggests a possible slowing of casual dining sales as a result. [View news story]
Ditto Richjoy. I live in Western Pennsylvania which does certainly not enjoy a booming economy for those on the lower end of the economic scale. The high tech, medical, education/research and financial communities are doing very well however. But it seems that all restaurants are packed: low, medium and high end. I think that the current lower price of gasoline puts more money in the pockets of the people than the small increase in payroll taxes subtracts and allows for a continued level of discretionary spending.
Hedgeye says current employment trends show a potential deceleration of employment growth in the casual dining restaurant sector as compared to the broader economy. According to the firm, the data suggests a possible slowing of casual dining sales as a result. [View news story]
Less grease. More people with health care. Bad for MCD. Good for people.
Is there more to McDonald's (MCD -0.7%) move to test selling chicken wings that meets the eye? Hedgeye's Howard Penney notes the traditional business model of the restaurant operator will be under margin pressure with beef prices set to soar to record highs in 2013. [View news story]
I agree with Remyngton. Ever notice that a "pound" of coffee now weighs 12 or 11.5 ounces? 4 ounce bars of soap now often weight in at 3.5 ounces. MCD will do what every well run business does. They will adjust the product in whatever way they must to maintain their margins.
Chevron (CVX) and Apache (APA) each agree to acquire 50% interests in the Kitimat liquefied natural gas project and proposed Pacific Trail Pipeline from EOG Resources (EOG) and Encana (ECA), with CVX becoming operator. CVX and APA also will acquire 50% interests in ~644K acres of petroleum and natural gas rights in the Horn River and Liard Basins in British Columbia from EOG and ECA, with APA becoming operator. [View news story]
CVX is making a big investment in British Columbia. They probably do like the idea of additional investment in Canada which enjoys a sane and democratic government and is not likely to harass them.
The restaurant sector is on watch after a profit warning from Darden Restaurants points to weakness, not in Europe or China, but at home in the U.S. While increased promotional activity in the sector is behind part of the slip from Darden, the bigger question is why are sales so weak for big players if consumer confidence is supposedly bouncing back? [View news story]
Almost every diner I have eaten in has better food at lower prices than the typical chain restaurant. Olive Garden and Red Lobster are prime examples of overpriced, too salty and too greasy food. The mystery to me is how they have been as successful as they have been for so long. Maybe the public is finally getting the message that fatty, heavily salted food is not really very good for one's health. And-- most diners have the same employees for year after year. They must treat them better! Typical chain restaurants have tremendous turn over of their employees.
The U.S. shale boom has cut natural gas prices, and they could go still lower if the Chinese come through with finds on a similar scale. But Chevron (CVX +0.5%), which is actively fracking in China, doesn’t expect rapid progress in production there, due to a shortage of geological data and insufficient infrastructure to support U.S.-style shale exploitation. [View news story]
Johntheold. Please read the following quote from the New York Times---
"HOUSTON — In a victory for the oil and gas industry, a federal Energy Department study released Wednesday concluded that the national economic benefits of significant natural gas exports far outweighed the potential for higher consumer energy prices. The Obama administration has been cautious to embrace large exports of gas out of concern that consumers who rely on gas for heating and cooking could see their utility prices rise. Higher exports could raise costs to manufacturers that now benefit from a glut of cheap gas, some economists warn, although huge terminal projects would generate thousands of construction jobs and gas could be a lucrative export earner."
Efforts to unionize fast-food workers ramp up this week with organized protests in the works at McDonald's (MCD -0.3%), Taco Bell (YUM +1%), and Wendy's (WEN -0.4%). Though the activity is catching some headlines, unionization efforts seem more likely to fizzle than generate higher costs for restaurant operators. If the Black Friday protests at Wal-Mart are any indication, it may be business as normal despite all the sound and fury. [View news story]
Minimum wage in Ontario, Canada is $10.25/hour for full time workers. $9.60/hour for students. Every Ontario McDonalds I have seen there is busy as are the Tim Hortons and other restaurants. Old Henry Ford had the right idea. Pay workers well and they will be able to buy goods and services and support the economy.
This can't be good news for the stalwart Canadian banking sector: Scotiabank (BNS) becomes the first Canadian lender ever to be recognized as Global Bank of the Year by the FT's The Banker magazine. [View news story]
It is pretty obvious that it's sarcastic. It's like a mass circulation magazine having a cover article on "The Death of Equities". That almost always precedes a strong bull market. I have been and still am long BMO and RY. The Canadians, through a combination of good sense and good regulation have avoided most of the dangerous excesses of the big US banks.
Can The Golden Arches Return To Golden Status? [View article]
I believe in ethical behavior, but when investments are considered, I agree that it's hard to choose which companies are better influences on the earth and its people than the rest. My philosophy is to earn as much money as possible and then donate as I am able to the causes I believe in. As a vegetarian there's very little for me to eat at MCD but I am a long term investor and plan to continue to be.
Is It Worth Holding Cash And Being Patient? [View article]
McDonald's Is Under Attack [View article]
I see good crowds at MCD and Tim Hortons in both Ont. and Quebec.
I suspect that when the minimum wage increases the low end wage earners have more money to eat in their favorite fast food restaurant.
McDonald's, I'm Not Lovin' Its Zero U.S. Sales Growth [View article]
PepsiCo (PEP +3.7%) issues a statement indicating it doesn't see a need to make any large acquisitions after a British newspaper suggested Nelson Peltz might push for a merger between the company and Mondelez International (MDLZ +4.8%). An underlying debate with PepsiCo still exists on if more value for shareholders exists by separating the snacks and beverage sides of the business into two separate companies. [View news story]
Both PEP and MDLZ will do fine on their own and make lots of money--but that's beside the point, isn't it?
If a merger doesn't work out the deal makers can make lots more by taking it apart again.
It's a lot of wheel spinning that doesn't add value.
Why McDonald's Is An Attractive Investment [View article]
Obviously, one has to pay attention and be sure that the company continues to lead and that the industry it is in isn't a declining one.
I note that a majority of mutual fund managers, who presumably are sophisticated operators, and who are paid to beat the market over time, aren't able to do it.
Therefore, you are to be doubly congratulated for your success!
Why McDonald's Is An Attractive Investment [View article]
I think that is pretty much how Warren Buffett got rich.
MCD is the leading company in its industry by a giant margin. Buy it and hold it. You won't be sorry.
Hedgeye says current employment trends show a potential deceleration of employment growth in the casual dining restaurant sector as compared to the broader economy. According to the firm, the data suggests a possible slowing of casual dining sales as a result. [View news story]
I think that the current lower price of gasoline puts more money in the pockets of the people than the small increase in payroll taxes subtracts and allows for a continued level of discretionary spending.
Hedgeye says current employment trends show a potential deceleration of employment growth in the casual dining restaurant sector as compared to the broader economy. According to the firm, the data suggests a possible slowing of casual dining sales as a result. [View news story]
Is there more to McDonald's (MCD -0.7%) move to test selling chicken wings that meets the eye? Hedgeye's Howard Penney notes the traditional business model of the restaurant operator will be under margin pressure with beef prices set to soar to record highs in 2013. [View news story]
Chevron (CVX) and Apache (APA) each agree to acquire 50% interests in the Kitimat liquefied natural gas project and proposed Pacific Trail Pipeline from EOG Resources (EOG) and Encana (ECA), with CVX becoming operator. CVX and APA also will acquire 50% interests in ~644K acres of petroleum and natural gas rights in the Horn River and Liard Basins in British Columbia from EOG and ECA, with APA becoming operator. [View news story]
The restaurant sector is on watch after a profit warning from Darden Restaurants points to weakness, not in Europe or China, but at home in the U.S. While increased promotional activity in the sector is behind part of the slip from Darden, the bigger question is why are sales so weak for big players if consumer confidence is supposedly bouncing back? [View news story]
The mystery to me is how they have been as successful as they have been for so long. Maybe the public is finally getting the message that fatty, heavily salted food is not really very good for one's health.
And-- most diners have the same employees for year after year. They must treat them better! Typical chain restaurants have tremendous turn over of their employees.
The U.S. shale boom has cut natural gas prices, and they could go still lower if the Chinese come through with finds on a similar scale. But Chevron (CVX +0.5%), which is actively fracking in China, doesn’t expect rapid progress in production there, due to a shortage of geological data and insufficient infrastructure to support U.S.-style shale exploitation. [View news story]
Please read the following quote from the New York Times---
"HOUSTON — In a victory for the oil and gas industry, a federal Energy Department study released Wednesday concluded that the national economic benefits of significant natural gas exports far outweighed the potential for higher consumer energy prices.
The Obama administration has been cautious to embrace large exports of gas out of concern that consumers who rely on gas for heating and cooking could see their utility prices rise. Higher exports could raise costs to manufacturers that now benefit from a glut of cheap gas, some economists warn, although huge terminal projects would generate thousands of construction jobs and gas could be a lucrative export earner."
Efforts to unionize fast-food workers ramp up this week with organized protests in the works at McDonald's (MCD -0.3%), Taco Bell (YUM +1%), and Wendy's (WEN -0.4%). Though the activity is catching some headlines, unionization efforts seem more likely to fizzle than generate higher costs for restaurant operators. If the Black Friday protests at Wal-Mart are any indication, it may be business as normal despite all the sound and fury. [View news story]
Old Henry Ford had the right idea. Pay workers well and they will be able to buy goods and services and support the economy.
This can't be good news for the stalwart Canadian banking sector: Scotiabank (BNS) becomes the first Canadian lender ever to be recognized as Global Bank of the Year by the FT's The Banker magazine. [View news story]
It's like a mass circulation magazine having a cover article on "The Death of Equities". That almost always precedes a strong bull market.
I have been and still am long BMO and RY. The Canadians, through a combination of good sense and good regulation have avoided most of the dangerous excesses of the big US banks.
Can The Golden Arches Return To Golden Status? [View article]
I believe in ethical behavior, but when investments are considered, I agree that it's hard to choose which companies are better influences on the earth and its people than the rest.
My philosophy is to earn as much money as possible and then donate as I am able to the causes I believe in.
As a vegetarian there's very little for me to eat at MCD but I am a long term investor and plan to continue to be.