McDonald’s Corporation (NYSE:MCD) has been winning the game with a 2-year long effort to revamp the way this corporation works. The results have been spectacular but there is certainly a void that needs to be filled by the corporation. McDonald is one of the biggest food chains in the country and currently serves in more than 14,200 outlets domestically. The food chain has also spread its wings overseas and is enjoying a successful business across the globe as well. Therefore, penny stock alerts will help you to invest wisely in the stock market.
However, there is more beneath the surface that what meets the eye. All-day breakfast by the company helped it reap profits in late 2015 and the early 2016. McDonald has a massive global footprint but the sales of the company dropped by 5% in the last quarter of 2016. This is not all; domestic sales have also dropped by 1.3%. It seems that the leverage of the all-day breakfast was not very huge and now a slowdown is quite evident. McDonald’s Corporation (NYSE:MCD) has given paltry returns of 0.94% on year to date. Investors should look for penny stocks to make a higher return. Signup for penny stock alerts. Remember, the Egg McMuffins are not the driving force behind the profits of the firm anymore. However, the firm is still confident about a better 2017.
A change in leadership, a change in company
This confidence comes because of a change in leadership as the company is now headed by Steve Easterbrook. Ever since he took over the company in March of 2015, he has helped in managing the restaurant by compiling a better menu, which is now boasting 200 items. One of the best things that he has done is providing ‘healthier’ options to people. He took initiatives to avoid artificial preservatives and high-fructose corn syrup from the products, making them healthier. McDonald’s is more the ‘American fat enhancing factory’.
Easterbrook has taken the role of a brand manager and is now managing McDonald’s Corporation (NYSE:MCD)’s like Burger King. He has sold most restaurants in Hong Kong, China, and Japan, while retaining a 1/5th share almost everywhere. The revenue stream has increased thereby. However, the stock has traded flat with returns of 0.06% in last one month. Another reason for investors to get penny stock alerts.
Digitization at McDonald’s
However, apart from the changes in revenue stream and brand management efforts, it is something else that has changed McDonald’s from the inside out. Easterbrook has changed the bureaucracy of the company and made it more agile and nimble. It is leveraging the digital revolution to connect with its customers on social media. It is conducting question-answer sessions and even providing customized burgers to the clients.
This is not all; the company is also experimenting with touch-screen self-service kiosks. Digital payments and mobile ordering will also become smoother soon as the McDonald’s Corporation (NYSE:MCD)’s app is undergoing revamp. Restaurant expert John Gordon from Pacific Management Consulting Group suggested that the company joined the digital bandwagon late but now it has at last acknowledged the medium. It is expected that revenue streams will jump. Easterbrook himself said that they need to fight harder and the key to a revolution would be technology. As kiosk ordering and Bluetooth-enabled table service come to the firm, Investors can get penny stock alerts for companies which are in same industry.
Disclosure: We have no position in MCD and have not been compensated for this article.