Topic: How To Invest

What is Pat’s commentary for the week of November 26, 2019

Article Excerpt

McDonald’s rattled investors early in November when it suddenly fired its CEO, Stephen Easterbrook, for having a consensual relationship with an employee, contrary to company rules. The company has made great progress under Mr. Easterbrook in the past five years, and this has paid off in substantial gains for our clients. We drew up this Inner Circle Spotlight report on McDonald’s to explain why we think McDonald’s will continue to pay off for you as an investment, and why now is a good time to buy.   McDonald’s new CEO is an ideal replacement During Mr. Easterbrook’s almost-five-year reign, your McDonald’s shares doubled, reflecting the company’s return to stability and its ability to adapt to changing consumer tastes. Part of that success comes from using technology to increase same-store sales and support dividend growth for investors. A main strategic focus for Mr. Easterbrook was the development of his “Velocity Growth Strategy.” It included bringing in store modernizations, updating the menu, and expanding mobile…