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McDonald's Sales Jump 2.2% in August
Excerpt from the InvestorGuide.com Stock of the Day on 9/9/2009

McDonald's is not traditionally known for gourmet-specialty coffees and Angus burgers, but the world's largest fast food chain is working hard to change that perception. The Golden Arches has launched a menu full of new food items this summer in an attempt to increase in sales. McDonald's has gravitated towards more premium offerings while most of its competitors are promoting discount oriented dining options like Burger King's $1 Whopper Junior and Wendy's 99 cents Double Stack burger. The recent economic downturn has amplified the competition as the fast food restaurants battle over market share. How is McDonald's strategy stacking up against the rest of the industry? Did sales improve for the fast food titan?

McDonald's experienced a 2.2% jump in overall sales for the month of August. The Golden Arches relied heavily on the release of its $3.99 Angus Third Pounder and new line of McCafe coffee drinks to drive sales. For the most part, the new product offerings seemed to work. The world's largest fast food restaurant saw sales increase everywhere, but in Asia, the Middle East, and Africa. However, McDonald's United States sales only managed to grow 1.7%. The increasing competition from Burger King and Wendy's seems to be eating into McDonald's new product momentum. There is also a concern that McDonald's higher price points are just not in align with its customers' needs. Unfortunately, menu pricing warfare is not McDonald's only problem. More >


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McDonald's Reports Another Strong Month of Sales
Excerpt from the InvestorGuide.com Stock of the Day on 6/8/2009

During these tough times where every dollar counts, some companies continue to surprise Wall Street quarter after quarter. McDonald's has definitely been one of those companies. The world's largest restaurant company reported that global sales rose 5.1 percent in May. The results surpassed analysts' expectations and proved that the company can deliver in bad times. How is the company able to beat analysts' expectations time after time? Can McDonald's continue on this golden path or will this streak come to an end? More >

McDonald's Reports First Quarter Profit Increase
Excerpt from the InvestorGuide.com Stock of the Day on 4/22/2009

The McDonald's Corporation (MCD: Charts, News, Offers) surprised Wall Street today with a 3.5% increase in first quarter earnings. The fast-food giant announced that its net income improved from last year's $946.1 million to $979.5 million. McDonald's also seems optimistic that the company's recent, strong sales will continue, if not improve, throughout April. What has this hamburger chain so upbeat about the future? How was McDonald's able to drive first quarter profit up? More >

McDonalds Sales Still Strong
Excerpt from the InvestorGuide.com Stock of the Day on 9/9/2008

The restaurant industry has been hit hard lately. The index which tracks the performance of the industry has not changed over the last few months, and the majority of restaurant companies are posting negative same-store sales. It isn't just the tight economic situation that is causing this problem, but restaurants (unlike other businesses such as retail stores) also have to deal with another problem - rising food costs. The combination of food costing more, and people having less money to spend, has caused disaster for the food service industry. McDonalds Corporation, however, despite being the largest restaurant company in the world, doesn't always experience quite the same behavior, and last month was no exception. More >

Will Coffee Invigorate Slow Fast-Food Sales at McDonald's?   1/28/2008

McDonalds Same Store Sales Up 7.2%, Beat Estimates   4/13/2007

McDonald's Q1 Profit Up 42 Percent   4/21/2005

McDonald's Same-Store Sales Rise 6.1%   11/8/2004

McDonald's (MCD) Upgrades

Date
Analyst
Old Rating
New Rating
05/20/2009
Deutsche Bank
Hold
Buy citing valuation
11/17/2008
UBS
Neutral
Buy
08/21/2007
Matrix Research
Hold
Buy
06/10/2007
Deutsche Securities
Hold
Buy
06/09/2007
Deutsche Securities
Hold
Buy
06/08/2007
Deutsche Securities
Hold
Buy

McDonald's (MCD) Downgrades

Date
Analyst
Old Rating
New Rating
08/12/2008
UBS
Buy
Neutral
04/01/2008
S&P Equity Research
Strong Buy
Buy
01/29/2008
Bear Stearns
Outperform
Peer Perform

McDonald's (MCD) New Coverage

Date
Analyst
Rating
07/17/2009
Wedbush Morgan
Outperform
03/13/2009
Baird
Outperform Rating
03/05/2009
Jefferies & Co
Hold
12/05/2008
Citi
Hold
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