McDonald’s Corporation (MCD) is a global fast food company with networks in more than 100 countries.
MCD shares are attractive to investors due to their stable performance, innovation, and strong franchise business model. As one of the “blue-chip stocks”, these shares are often chosen for long-term investment.
It should also be noted that interest in American stocks, including MCD, is increasing in Indonesia due to easy access through digital platforms, increasing financial literacy, and the appeal of stable global companies.
Furthermore, McDonald’s popularity itself as a widely recognized brand also strengthens its appeal among local investors.
Also Read: Top 7 American Blue Chip Stocks with the Largest Dividends
What is McDonald’s Corporation (MCD) Stock and Its Profile
McDonald’s Corporation (MCD) is a global fast food company with stable performance and an innovative business model. Here is a review of its history, performance, and key figures behind its success.
1. A Brief History of McDonald’s
McDonald’s Corporation, with its iconic Golden Arches logo, is one of the largest fast food restaurant chains in the world. The company started as a small restaurant in California in 1954, founded by Ray Kroc.
Thanks to its vision and innovation, McDonald’s has grown into a global chain with more than 36,000 restaurants in over 100 countries.
Its aggressive global expansion and ability to adapt to local markets have made McDonald’s one of the most recognized brands in the world.
2. McDonald’s Business Performance
McDonald’s is famous for its main menu such as burgers, chicken and fish sandwiches, French fries, coffee, desserts, and various beverages.
The company’s business model is dominated by a franchise system, which contributes greatly to its global revenue.
McDonald’s revenue comes from various regions, with the United States as its main market, followed by international regions such as Europe, Asia, and Latin America.
3. Key People at McDonald’s
McDonald’s is led by key management who play a critical role in the company’s growth and innovation:
Chris Kempczinski: President and CEO of McDonald’s Corporation, who leads the company’s global strategy to ensure growth and relevance in competitive markets.
Joe Erlinger: President of McDonald’s USA, responsible for domestic operations, growth strategy, and sustainability initiatives in the United States.
Tiffanie Boyd: Senior Vice President and Chief People Officer of McDonald’s USA, who manages human resources strategy, talent development, and an inclusive work culture.
McDonald’s (MCD) Stock Performance
McDonald’s (MCD) stock is one of the blue-chip stocks that is in demand because of its stability and growth potential. With consistent price movements and regular dividends, this stock is an attractive choice for investors, including beginners.
The following is a review of the latest performance, factors that influence prices, and its attractiveness as an investment instrument.
1. MCD Stock Price Movement
Quoting the id.investing.com page, Stock Price Movement: At the last close, the MCD stock price was at $296.63, with daily movements between $295.09 and $298.55.
In the 52-week range, the stock price moved between $243.53 and $317.90, indicating stable growth but with moderate volatility?
In the third quarter of 2024, McDonald’s recorded revenue of $6,870,000,000, slightly exceeding the estimate of $6,820,000,000.
Earnings per share (EPS) also reached $3.23, higher than the estimate of $3.20, indicating the stability and attractiveness of this stock to investors?
2. Factors Affecting MCD Stock Price
Menu Innovation and Franchise Strategy: McDonald’s continues to introduce new menus that are in line with consumer trends, including healthy options and digital ordering technology.
Sustainability and Customer Satisfaction: Sustainability strategies such as reducing carbon emissions and using environmentally friendly raw materials are added value in the eyes of investors.
Global Performance: Strong revenue from international markets also contributes to the stability of the stock price.
3. Why is MCD Stock Suitable for Beginner Investors?
In addition, McDonald’s also offers regular dividends, with a competitive dividend payout ratio, making it an attractive choice for investors looking for passive income.
MCD stock is considered suitable for beginner investors because of its stability, global visibility of the McDonald’s brand, and long-term growth potential in international markets.
Ultimately, the stability of the stock price and the global brand visibility make McDonald’s an attractive option for beginning investors looking for a low-risk investment with long-term growth potential.
Also Read: Amazon Stock: A Blue-Chip with Unlimited Potential
Tips for Investing in American Stocks
Investing in American stocks, including McDonald’s, requires a well-thought-out strategy to maximize potential returns while managing risk. Here are some tips for investing in American stocks.
1. Portfolio Diversification
Don’t just focus on one stock like McDonald’s. Spread your investment across other sectors or companies such as technology (e.g., Apple or Microsoft) and energy (e.g., ExxonMobil) to reduce risk.
2. Monitor Performance Regularly
Use analytical tools, such as TradingView or Yahoo Finance, to monitor stock movements, read market trends, and understand company financial reports.
3. Long-Term Investment
Focus on long-term profit potential rather than daily speculation. Stocks like McDonald’s, which are stable and provide dividends, are suitable for this strategy.
This strategy will later help in taking advantage of the benefits of the global stock market with measurable risk.
Conclusion
Well, that was an interesting discussion about McDonald’s Stock (MCD): The Right Choice for Investors that you can read in full at the Crypto Academy at INDODAX Academy.
In conclusion, McDonald’s stock (MCD) basically offers various advantages as an investment option.
First, its stock price stability that shows consistent growth with low volatility makes it a safe choice, especially in an uncertain market.
Second, McDonald’s has a strong business model with growing global revenue thanks to franchise expansion and product innovation.
Third, the regular dividends offered provide passive returns for investors, making it an attractive choice for long-term investment.
With a strong brand reputation and solid management, McDonald’s stock is suitable for investors looking for security and sustainable growth potential.
It is also important to note that INDODAX will soon launch a new feature that allows users to invest in stocks listed in the United States (US).
With this feature, you can expand your investment portfolio with more than 50 US stocks, as well as crypto assets, all of which can be managed in one integrated account on the INDODAX platform.
FAQ
1. Does McDonald’s stock provide dividends?
Yes, McDonald’s is known as a company that consistently pays dividends to its shareholders, making it an attractive choice for investors looking for passive income.
2. What affects McDonald’s stock price?
McDonald’s stock price is influenced by business performance, product innovation, global marketing strategy, and general economic conditions.
3. Why is McDonald’s stock suitable for beginner investors?
McDonald’s stock has relatively good price stability, regular dividends, and a well-known brand, making it ideal for beginner investors who want to build a long-term portfolio.