#2 - McDonald’s (NYSE:MCD)
The pandemic proved that McDonald’s (NYSE:MCD) may be less of a defensive stock than imagined. One of the hallmarks of the company’s pre-pandemic business was its breakfast menu. But those sales quickly dried up when workers no longer had morning commutes.
That being said, the company navigated the pandemic quite well. But its business will find itself under pressure as digital and mobile ordering complete with delivery becomes the norm.
As the pandemic showed, McDonald’s is well equipped to handle this pivot. In fact the company has made the three D’s of digital, delivery, and drive-thru the focus of its business going forward. In fact, management reported that 75% of McDonald’s global footprint of stores (approximately 30,000 stores) now offers delivery.
Like so many stocks, McDonald’s saw its profits tumble in the second quarter of 2020. However earnings bounced back quickly. And if the first quarter is any indication, revenue will likely show strong year-over-year gains in 2021.
About McDonald's
McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.
Read More - Current Price
- $270.03
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 20 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $317.74 (17.7% Upside)
