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By Susannah Kopecky
Contributor, Stock Traders Daily
Monday was the day of the banks. This week may be
forecast as the week of the fast-food chains. It may
come as a surprise that one share of McDonald’s
Corporation (NYSE:MCD)
stock is currently priced at $55.16, up $1.96 (368%)
from the previous day. It’s been all over the news; as
times get tough for many businesses, business booms for
lower-cost food providers. As major institutions loom on
the edge of bankruptcy, this is one business that
recently announced plans to build 1,000 new restaurants.
McDonald’s hasn’t been the only business to boom in
recent days, however; other stocks doing favorably as
well.
Yum! Brands, Inc.
(NYSE:YUM)
is one stock to keep a particularly keen eye on. The
owner behind such monster chains as Taco Bell, Kentucky
Fried Chicken and Pizza Hut has been seeing a
phenomenally successful showing. Yum! Brands will also
be opening hundreds of new restaurants this year. A
single share of this stock is currently valued at $28.59
(up $1.98 from the previous trading period). According
to a recent analysis by the Market Intelligence Center,
this stock could provide a greater-than 25% annual rate
of return.
Chipotle Mexican Grill, Inc.
(NYSE:CMG)
is an incredibly popular destination as well. The price
of a single share of this stock is $63.83, $2.72 (or
+4.45%) higher than at the previous trading day.
Chipotle continues to expand with new restaurant
openings, and have proven itself as a popular
destination for Mexican food, rivaling similar
restaurants such as Taco Bell (part of Yum! Brands).
Papa John’s International, Inc.
(NASDAQ:PZZA)
has experienced a steady increase in value since a
November 2008 showing of $13.11 per share of stock. Papa
John’s stock is currently valued at $24.42 per share, up
$1.32 (+5.71%) from only one trading day earlier.
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Burger King Holdings, Inc.
(NYSE:BKC)
is currently valued at $23.89 per share of stock, rising
$1.47 (or 6.56%) in one day. Generally rising
incrementally during February and March, this stock has
ebbed and flowed as well, and is currently valued at
less than half that of competitor McDonald’s and about
one-third the value of fellow chain-restaurant Chipotle.
However, with well-above 10,000 nationwide locations, if
the current trend of increased business for chain
restaurants keeps up, this company, too, may continue to
reap the benefits. Unfortunately for investors, popular
fast-food chains Subway and In ‘N Out
remain privately-held.
Like theaters, such as those owned by Regal
Entertainment Group (NYSE:RGC)
and Cinemark Holdings, Inc. (NYSE:CNK),
lower-cost restaurants are seeing surprising positive
trends in the current economic climate.
Thomas Kee, CEO and President of Stock Traders Daily,
noted that during times like these, consumers are
looking for “the most cost-effective means,” which can
also mean putting price above “health concerns…
Fortunately many of these fast food chains have added
healthier items to their menus. In this recession,
hopefully consumers will take advantage of it.”
Even vegetarians are in luck, as many of the most
popular fast-food chains have begun offering salads as
meals.
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