McDonald's is known all over the world for their inexpensive, but tasty food. As their sign says, they've served ut billions of burgers, fries, and more. As stock picks go, that's a fairly solid choice. However, they aren't the highest value stock, or the best buy low and sell high stock in the food world. We took a deeper dive into the easy-eats end of the market and brought up some tasty results. Here are ten stocks to consider if you like McDonald's.
10. Fiesta Restaurant Group Inc: FRGI
FRGI has been on a downtrend lately. However, simplywall.st pointed out an interesting trend that may indicate that now is the time to buy low on this particular company. Lately, there's been a lot of insider buying. Because buying from within a company is legal, but those transactions have to be disclosed publicly, you can easily see when the people inside a company believe it's worth picking up their own stock. While that guarantees nothing, it still makes us wonder what they know, and it can indicate a shakeup that favors the savvy investor.
9. Yum China Holdings Inc: YUMC
As an American Fortune 500 company, it would be worth keeping an eye on YUMC regardless of what list it makes. However, as of this writing, the price of stocks is a little down in spite of the overall upward trend. We think it's a good time to buy low-ish before the rates climb any further given the overall growth. With restaurants all over the country, this brand may not be Mcdonald's famous yet, but they are taking over a solid portion of the market.
8. GrubHub Inc: GRUB
Anyone who's been paying attention to social and tech trends can tell you that people are leaving home a lot less than they used to. Thanks to Amazon and the two-day delivery standard, the way people shop has changed. those people are hungry too. GrubHub is one of a small group of businesses who saw (or created) that trend and filled a growing need for more all-inclusive delivery service. Being able to order from dozens of fast food and dining establishments at the touch of a button and pay at your door is a trend that more people are happy to jump on every day. We doubt the overall stock value will go down over time as people continue to demand more and more services in the delivered-now format.
7. Restaurant Brands International Inc: QSR
Here's one intriguing stock that's had some incredible gains lately. For potential investors who are wondering why this Canadian giant has made such impressive headway, you don't need to look any further than the merger that created such impressive stock, to begin with. For those who don't know this already, QSR is the parent company for Burger King, among others. The stock value isn't the only impressive feature here. With a Dividend yield of 2.76% after the last raise, we think adding this stock to any portfolio is a safe bet.
6. Shake Shack Inc: SHAK
One of our favorite underdog stories has to be Shake Shack. This incredible company was once a single hotdog cart. As they say, time changes all things, and for SHAK, those changes have been largely upward valuation with expansion from the beginning (in 2001). We doubt the brilliant mind behind taking a hotdog cart and making a multimillion-dollar company is going to stop innovating and increasing their company value.
5. Nathan's Famous, Inc: NATH
Nathan's Famous is a coney island classic. The original location is still standing, but they've certainly come a long way since then. As another one of our picks that's lower at the moment, but overall climbing in value, we suggest you pick up this hotdog chain whenever they're at a low for the day or week and hold on for a while. The popularity of Nathans is only on the rise, and stocks are going with it.
4. Wingstop Inc: Wing
Wingstop's over time stock value is an impressive upward curvature. We've seen them make a real push in advertising in recent years. You can still pick this tasty and popular stock up for less than half what you'd pay for Mickey D's, but we're not sure that will last. The popularity of wings is still on the rise, and this chain has our attention.
3. Yum! Brands, Inc: YUM
Formerly known as Tricon Global Restaurants, Inc. YUM runs several well known and loved brands in the US. KFC, Pizza Hut, and Taco Bell all belong to this parent company, except in China, where they're run differently. Regardless, these three major fast-food competitors are all available under one umbrella, which makes YUm a great option if you're looking for more or alternate fast food based stocks for any portfolio.
2. Chipotle Mexican Grill, Inc: CMG
Worth more than four times McDonald's stock and growing fairly steadily, Chipotle has done an incredible job of expanding its popularity since they first went public in January of 2006. You'll find your kids dancing to songs about them if local elementary schools are among the more than 40% that use GoNoodle programming these days. When it comes to catching the youth market, Chipotle has it locked down. Plus, its' excellent and highly customizable food keeps people coming back.
1. MOS Food Services, Inc: 8153
Topping our list is the outstanding 8153, also known as Mos Food Services or Mos Burger. This innovative Japanese burger chain is worth more than ten times your McDonalds stock and pays a 0.93% dividend. If you want the most popular and valuable fast food property on earth in your portfolio, we're fairly certain that it's not McDonald's.
Trends come and go, not just within the market. There was a time when VHS was king. Now the machines to play them on aren't even being produced anymore. Bitcoin has cost pennies and made thousands, but the roller coaster is too much for most investors. However, there's one thing that's as sure as the sunrise. People need to eat. Whether it's pork futures, organic produce, or fast food, rounding out a portfolio with some food-based stocks is always a smart plan.
Written by Bill Vix
Read more posts by Bill Vix