- Investors need stocks in their portfolios that perform well in any phase of an economic cycle.
- Few companies provide as reliable an earnings stream and cash flow as McDonald’s.
- While the U.S. market is saturated and we are talking about a giant, there are sufficient avenues for growth for the years ahead.
Opportunities in Delivery & International Expansion
High Marks for Consistency
- Quote: $160.80
- Discount rate: 10% (desired annual return)
- Dividend: $4.04 (2.51%)
- EPS: $6.36 (trailing twelve months)
- EPS average annual growth rate for the next five years: 8.3% (Average analyst estimate from Reuters)
- PE ratio in year 5: 25 (this is about equal to the current PE of 25.28)