# For anyone who likes MCD



## Kim (Jan 10, 2011)

Noticed it was down over 3% this morning due to Feb sales reports.


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## jcgd (Oct 30, 2011)

I picked some up for my rrsp.


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## Toronto.gal (Jan 8, 2010)

I need to see a much higher drop to want to average up.


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## dave2012 (Feb 17, 2012)

I've been keeping my eye on McD's. Has always enjoyed a nice smooth ride and would go well with my THI.


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## Homerhomer (Oct 18, 2010)

This one is a core holding for me, but currently too expensive to add any more.


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## Argonaut (Dec 7, 2010)

Would like to see it at 3% yield, which is $93.33 at the current dividend.


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## Jungle (Feb 17, 2010)

Yes that would be a godd price to start a position, even around $90.


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## Sampson (Apr 3, 2009)

Yowsa!

$90 is good? Where was everyone back at $50 and $70 - McD stalled at both points for quite a long time.

I know they are planning multi-billion dollar upgrades, using wood finishing etc, but I don't see THAT much growth going forward - and I'm certainly not willing to add anymore at these levels.

I view this stock as one where you have to be patient. Another buying opportunity will come, maybe in a year, 2, or 10, but I don't think now is the time.


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## riseofamillionaire (Feb 23, 2012)

dave2012 said:


> I've been keeping my eye on McD's. Has always enjoyed a nice smooth ride and would go well with my THI.


A great combo


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## Homerhomer (Oct 18, 2010)

Sampson said:


> Yowsa!
> 
> $90 is good? Where was everyone back at $50 and $70 - McD stalled at both points for quite a long time.
> 
> .


1) Number of poeple in this thread mentioned that they own it, few others didn't say that they don't own it.
2) It would would be difficult for everyone to own every stock that has done well in the past.


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## SW20 MR2 (Dec 18, 2010)

I bought in last year at $73, but it was only 25 shares. It's a long term hold that's sitting in my wife's RRSP account. I'm not too worried about McDs. I like how they are going after the cafe-type market while still keeping the core products. 

They've got a customer for life in our our son. He's 2 years old, knows the logo, and loves the food (not that we go there *that* much). I can't imagine he's the only one his age that likes the place.


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## dave2012 (Feb 17, 2012)

Investing in McDonalds is like investing in Tobacco companies. You know they are bad for people, and you feel a bit guilty about profitting from them 

Maybe the situation in Greece will provide an entry point in the lowish $90's.


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## Sampson (Apr 3, 2009)

Homerhomer said:


> 1) Number of poeple in this thread mentioned that they own it, few others didn't say that they don't own it.
> 2) It would would be difficult for everyone to own every stock that has done well in the past.


My point is not to say "you missed your shot" - it is only to say that there will be opportunities in the future, and a 3% drop from a already high valuation is not enough reason for me to buy in.

Others may disagree and see more growth potential - but 3% from $100 ain't a whole lot.


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## Cal (Jun 17, 2009)

I did my part and helped the March profits at lunch time today!


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## dave2012 (Feb 17, 2012)

We are in the US a lot. Love the $1 menu. Just enough to fill you each for $3, but not enough for you to go 'uuugggh.. McDees'.

Frugal lunch though! (nuggets are better in the US).


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## Toronto.gal (Jan 8, 2010)

dave2012 said:


> Investing in McDonalds is like investing in Tobacco companies. You know they are bad for people, and you feel a bit guilty about profitting from them


I don't feel guilty at all about choices people make for themselves!

They employ many students. 

*Cal:* I do my part at least once/per month.


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## MoneyGal (Apr 24, 2009)

dave2012 said:


> Investing in McDonalds is like investing in Tobacco companies. You know they are bad for people, and you feel a bit guilty about profitting from them


I've heard the same thing said about financial service companies.


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## dave2012 (Feb 17, 2012)

Yeah... I have some SLF and AGF.B. The dividends are pretty nice.

Should have mentioned Rogers and Bell. Boy I own a lot of bad stuff!


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## Jungle (Feb 17, 2010)

Add the banks to that too.


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## Lucy (Mar 10, 2012)

I love McDonald's as a dividend growth aristocrat. Last dividend increase was 15%. Currently $2.80 per share. For the Last 10 years the average dividend growth rate is 26% per year. At a low and conservative growth rate of 15% per year the present dividend should double and grow to $5.68 in 5 years, thereby pulling the share price up accordingly with it perhaps doubling it as well.


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## humble_pie (Jun 7, 2009)

we all love lucy but sweetie we are not going to hire you.

see, there's another lady here that we'd all hire first, if we were not so gosh darn almighty stubborn about wanting to manage our own portfolios.

she's way ahead of you lucy doosie with your boring old ancestor stocks. She can flash in & out of specialized small-caps 7, 8, 9 times in one morning & pick up great coin while doing so.

divs ? schmivs. Who wants em. Esp US divs. Capital gains is where it's at for canadian taxpayers.

the way i hold US stocks is in long-term option strategies so i can avoid US divs w their unpleasant tax consequences & gain far better income as tax-favoured capital gains. Go figure.


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## ddkay (Nov 20, 2010)

Can you really use the last 10 years as a fair benchmark? All EPS is derived from credit growth. In the last 10 years we have had multiple recessions and CB easy money policies deliver next to zero interest rates and excess credit growth spilling over and searching for yield in DEEs. Any other well-managed business with low barriers to entry should look exactly alike:


















The last 10 years is the anomaly IMO...


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## Lucy (Mar 10, 2012)

Well, let's not use the last 10 years. How about since 1979? On average, for the last 32 years MCD had doubles their dividends every 4 years. Eventually the share price must follow. Odds are, 4 years from now they will double again. Two thirds of their revenues come from rental income from stores-they like to own their own buildings. My money is with them. I think they know what they are doing.


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## ddkay (Nov 20, 2010)

I'm not going to argue McD's don't know what they're doing, they're a blue chip with strong brand and top notch management.

I'm just more macro focused right now.


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## sam (Mar 16, 2012)

MCD down 4.5% today, thinking of buying some shares.


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## killuminati (Mar 14, 2011)

MCD seems to be getting more attractive with these drops each day.


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## Homerhomer (Oct 18, 2010)

I would be buying more at these levels if mcd wasn't already one of my largest holdings.


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## Toronto.gal (Jan 8, 2010)

A nice large holding to have HH. :encouragement:

It seems every time I go to MCD [not that often mind you as I prefer Harvey's for burgers], they always have something new in the menu, like the caramel pie, which I tried last weekend for the 1st time, but found it a lil 2 sweet 4 my taste [though I love dulce de leche]. :love-struck:

http://www.huffingtonpost.com/so-good/mcdonalds-caramel-pie_b_1861758.html 

This one is still high for me to want to AU [average up]. 

Edit: and wanna know how I 'foiled the impending sugar onslaught'? i) With a strawberry sundae, LOL, and ii) I gave 1/2 of the pie to my friend. :tongue-new:


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## killuminati (Mar 14, 2011)

Honestly. I am going to own it because I ALWAYS see people at MCDs.

I've traveled to many countries in the world and either day time or night time (after the bar) they are always packed with people. I'm talking the poorest and richest countries in the world across Europe, Asia and South America... Always the same!


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## indexxx (Oct 31, 2011)

Toronto.gal said:


> A nice large holding to have HH. :encouragement:
> 
> It seems every time I go to MCD [not that often mind you as I prefer Harvey's for burgers] :tongue-new:


god yes, Harvey's are the best! Too bad there are not any in Vancouver, only out in Richmond or something- should be a more popular chain; great quality.


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## ddkay (Nov 20, 2010)

When it comes to fast food burger chains I prefer Wendy's french fries over Harveys or McD (McD is WAY too salty), Harvey's for beef burgers, and Wendy's again for chicken burgers. Basically I don't eat at McD ever if I can avoid it.


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## gibor365 (Apr 1, 2011)

killuminati said:


> Honestly. I am going to own it because I ALWAYS see people at MCDs.
> 
> I've traveled to many countries in the world and either day time or night time (after the bar) they are always packed with people. I'm talking the poorest and richest countries in the world across Europe, Asia and South America... Always the same!


This is exactly why from all fsat food chains I bullish only on MCD, In last 2 years I travelled in France, Germany and Switzerland and everywhere only MCD from Paris centre (Trafalgar) to remoted locations in "middle of nowhere" in German Alps and it's packed with people.... while driving in Switzerland I checked on GPS Fast Food restaurants, 8 out of 10 first were MCD 
One time have seen KFC, never - Wendy's


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## Toronto.gal (Jan 8, 2010)

Reason why it was one of the first stocks I bought, AND because they were one of the recession winners.

Take a look at their chart from March/09; impressive indeed.

*ddkay:* I don't go to MCD for burgers; in fact, even at Harvey's I actually have the veggie burger. Love MCD fries, but you're right, they are way 2 salty.


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## ddkay (Nov 20, 2010)

It's true McD have the widest international presence. If you're a tourist and don't trust/feel comfortable eating the local food it's very easy to find a McD and eat that instead.


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## jcgd (Oct 30, 2011)

I personally love McDonald's. It was my first job and I think they do a fantastic job at setting you up with job experience. Probably my favourite job out of the three I've had for more than two years. You learn lots of teamwork skills, see how promotions work, etc.

I think the food is terrible for you but it is my favourite of the big chains. The only thing I despise is their claim that it is fresh and that is clearly not the case. The taste drops off substantially after only a few minutes so it literally needs to be fresh off the grill to taste good. Same with the fries. They are generally soggy and I hate the salt so I request no salt on every trip. I don't even feel bad anymore... the fries taste better without salt and they are fresh from the fryer every time.


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## My Own Advisor (Sep 24, 2012)

My second job jcgd, carrying the Ottawa Citizen was the first one as an 11-year-old. #slavelabour 

I don't own any MCD, but would like to at some point. I think it's still pricy.


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## PuckiTwo (Oct 26, 2011)

gibor said:


> ......I travelled in France, Germany and Switzerland and everywhere only MCD from Paris centre (Trafalgar) to remoted locations in "middle of nowhere" in German Alps and it's packed with people.... while driving in Switzerland I checked on GPS Fast Food restaurants, 8 out of 10 first were MCD
> One time have seen KFC, never - Wendy's


I have also looked lately at MCD - we don't have any foreign investment so far. 
One of the reasons MCD is so successful and stable is that they have an admirable market-oriented marketing and adapt some of their products to each market. Nothing of this one-size fits all which one finds at so many other exporting companies. If you look at their market assessments for German or France they are dead on - they know exactly the needs/wants of French/Germans, streamline their products accordingly. In Asia they are exploring the needs of Indians, Japanese, Chinese, separately, e.g. experimenting with vegetarian food. 
One doesn't have to eat their North American food (though I sometimes do) but as a company to invest in they offer some solid knowledge.


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## Assetologist (Apr 19, 2009)

Great business - well-managed & innovative within the fast food market for a real estate company.
I have a few hundred shares as a taster position and I am impressed so far.
I'll look to add more when the opportunity, inevitably, arises.


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## Snuff_the_Rooster (Oct 26, 2012)

We had a trigger of $86.64 which set on Friday. We declined to take the entry at this time but it is now on our short list. 

We'd be interested closer to $80 depending on the market conditions at that time. I have to admit, I kind of like the food. We respect that we are now at recent lows and that we may voluntarily miss the trade.


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## Snuff_the_Rooster (Oct 26, 2012)

Noticed the other day she broke the 86.64 level. Sitting here at 84.88 with an upgrade today, we're still not in her.

She's not in the ditch yet. I'd still like to see $80 and even then it would just still be reasonable, not 'ditchy'. haha

Again I'll sit out, perfectly willing to miss it.

I do like the high vol selling last week. Definitely worth a look.


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## Jungle (Feb 17, 2010)

Looking at adding positions if we can get more of a drop.. already holding @ $86


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