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Better Buy: McDonald's vs. Chipotle


Sometimes the offspring fares better than the parent. It's been almost 15 years since McDonald's (NYSE: MCD) spun off Chipotle Mexican Grill (NYSE: CMG), a move that catapulted the burrito-wrapping chain into cult status among investors as well as fans of fast-casual dining. 

McDonald's has done well since cutting Chipotle loose. It's nearly a dividend-adjusted 10-bagger since the day that Chipotle went public at $22 in late January of 2005. Chipotle has done considerably better: It's a 57-bagger as of Monday's close. Even if we go by the initial pop in Chipotle stock (closing at $44 on its first day of trading), it's a game-changing 28-bagger for investors who have ridden the ups and downs. 

Both stocks are class acts in an otherwise fickle restaurant industry. Let's size up each quick-service specialist to see which one your portfolio should take a bite out of next. 

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Source Fool.com

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