Is Jack in the Box the Most Overpriced Stock in America?
JACK demonstrates that fast food is no longer a value investment. Instead it has become a risky speculative play; that income and long-term investors need to avoid like the plague.
Read More
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)
ABB Group the Value in Robotics
With a labor shortage a growing problem in the restaurant industry; and the $15 minimum wage almost a certainty in much of the U.S., there’s a lot of incentive for restaurants to automate. The market for restaurant robotics is there, and ABB is certainly in a good position to fill it.
Read More
McDonald’s, does Fast Food Still Payoff for Investors?
The problem at McDonald’s is that its revenues are in freefall; and have been for some time. Over the two years between June 2014 and June 2016, revenues under the Golden Archers fell by $3.17 billion, or by around 11%. McDonald’s reported revenues of $28.3 billion in June 2014 and $25.13 billion in June 2016.
Read More
Starbucks the Value in the Coffee
America’s favorite coffee shop has reported revenue growth for the last 34 quarters; since September 2011, according to ycharts.
Starbucks reported revenues of $20.52 billion on June 30, 2016; just one year earlier it reported $18.43 billion in revenues. That adds up to $2.09 billion in revenue growth in year at a time when competitors like McDonald’s are struggling to maintain their market share.
Read More
Are Coke and Pepsi still Value Investments?
The soft drink giants may not see any real revenue or sales growth anytime soon, but they will continue to generate a lot of cash for years to come. Nobody is going to lose any money on these stocks anytime soon.
Read More
Are Reports of McDonald’s Turnaround Exaggerated?
Get the picture, folks? McDonald’s lost revenue for every quarter in 2015, including the fourth, in which it started offering the all-day breakfast. Even if selling Egg McMuffins after 11 a.m. is increasing sales, those sales are not generating any additional revenue.
Read More