McDonald's Stock: Buy, Sell, or Hold?
Fast food is a crowded industry, but McDonald's (NYSE: MCD) consistently outpaces its competition by leveraging its iconic brand and expansive global presence. Today, it is the largest publicly traded fast-food chain by market capitalization, worth roughly $210 billion, significantly surpassing its nearest competitor, Chipotle Mexican Grill, which stands at $61 billion.
However, just because a company has enjoyed enduring success doesn't necessarily make it a good investment today. So, let's dive into McDonald's recent performance, management's guidance, and the company's current valuation to see whether the stock is a buy, sell, or hold now.
McDonald's uses primarily a franchise business model with 95% of its more than 41,000 locations owned and operated by independent business owners. Therefore, McDonald's revenue mainly depends on one-time new franchise fees as well as recurring rent and royalties on a percentage of sales from its franchised restaurants.
Source Fool.com
Chipotle Mexican Grill Inc. Stock
The stock is one of the favorites of our community with 75 Buy predictions and 1 Sell predictions.
With a target price of 2370 € there is potential for a 4797.2% increase which would mean more than doubling the current price of 48.4 € for Chipotle Mexican Grill Inc..
