Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

McDonald’s (NYSE: MCD)

Opportunities

Can Machine Learning save McDonald’s?

Value investors are asking; “can machine learning save McDonald’s from shrinking revenues?” To clarify, McDonald’s (NYSE: MCD) spent over $300 million

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The Death Spiral

The Incredibly Shrinking McDonald’s

By my calculations, McDonald’s annual revenue fell by $5.285 billion between December 2013 and December 2017. McDonald’s reported $28.105 billion in revenues on 31 December 2013, and $22.82 billion in revenues on New Year’s Eve 2017.

The implications are obvious McDonald’s is suffering permanent revenue shrinkage that is increasing dramatically. If McDonald’s 2018 financial performance is a repeat of 2017, revenues might drop by 14% or more.

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The Death Spiral

Is McDonald’s the New Sears?

This makes Sears and McDonald’s the opposite of value investments, because you will lose money with them. Stay away from Sears and McDonalds they are great American brands doomed by greedy and perhaps incompetent management.

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Opportunities

The Incredibly Shrinking McDonald’s

McDonald’s is a stock to watch, buy MCD if it drops below $100 a share, because there’s a great dividend and a lot of future income potential here. Investors should pounce if the company can increase its’ quality and harness new technologies.

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Market Commentary

Big Earnings Week Amazon, P&G, Alphabet and Facebook Reporting

What’s even more frightening is that one bad earnings report from either Amazon or Google might trigger a market crash. Those companies are simply that huge and important to investors; that alone should have us asking if those behemoths are now too “big to fail.”

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Grocery Wars

The Robotic Burger Flipper is here

Earlier adopters of Flippy are likely to be 24-hour kitchens; such as those in truck stops, and diners like Denny’s (NYSE: DENN). Next will come military mess halls, hospitals and restaurants in areas with high costs of living.  Any restaurant in an area with labor shortages and operators of kitchens in remote locations will definitely be interested.

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Market Insanity

Is McDonald’s about to replace Cashiers with Kiosks?

Publicity about the possible automation caused McDonald’s share price to increase by $38 a share during the week of June 19 to 23, CNBC reported. Mickey D’s shares went from $142 to $180 in just a few days. They fell back to $154 on Monday June 26, 2017, but were still grossly overpriced.

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Market Insanity

Can Starbucks Survive Expansion?

Starbucks (NASDAQ: SBUX) is planning a massive and ambitious expansion that might threaten the company’s future. The company already operates

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The Death Spiral

Stocks to Dump in 2017

That means there are some equities you should throw out of your portfolio right now. Disturbingly some big names; that were once among the best and brightest in stocks, are now among the deadwood you need to jettison.

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Stocks

Is Denny’s a Contrarian Restaurant Play?

The only people who should buy Denny’s stock are those looking for something to short. Everybody else should stay far away from this diner brand’s shares.

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