kayley boylan accounting-4. 1940: dick and mac mcdonald open mcdonald’s bar-b-que restaurant on...

16
MCDONALD’S Kayley Boylan Accounting-4

Upload: joleen-obrien

Post on 17-Dec-2015

215 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

MCDONALD’S

Kayley BoylanAccounting-4

Page 2: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

History Timeline

1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

1948: McDonald brothers shut down restaurant for 3 months for alterations. Reopens as a self-service drive-in restaurant. Menu is reduced to 9 items: hamburger, cheeseburger, soft drinks, milk, coffee, potato chips, and a slice of pie

1949: French fries replace chips and the triple thick milkshakes are debuted

Page 3: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

1954: Ray Kroc shows interest in McDonald’s

1955: Kroc opens his first McDonald’s in Des Plaines, Illinois on April 15

1958: 100 Million hamburger is sold 1959: 100th restaurant is opened in Fond

Du Lac, Wisconsin 1962: McDonald’s in Denver, Colorado

becomes the first restaurant with inside seating

1963: 500th restaurant opens in Toledo, Ohio

1965: McDonald’s celebrates its 10th anniversary with the first public stock offering at $22.50 per share

Page 4: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

1966: First television commercial is aired 1967: McDonald’s goes international 1968: Big Mac is introduced 1978: 5,000th restaurant is opened in

Kanagawa, Japan 1980: 25th anniversary 1981: The first McDonald’s restaurant in

Spain, Denmark, and the Philippines opens

1990: Moscow location opens 1992: Warsaw, Poland location opens

breaking records of opening day sales 2005: 50th anniversary 2009: McCafe goes international

Page 5: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Fun Facts

There are more than 33,000 restaurants worldwide

McDonald’s has 1.7 million employees McDonald’s are in 119 countries 80% of McDonald’s restaurants are

franchised McDonald’s headquarters is in Oak Brook,

Illinois

Page 6: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Service Information

McDonald’s source of income is food sales

McDonald’s is in the business of fast food service

Products include various food, desert, and beverage items

Page 7: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Overall Stock Information

MCD As of April 2, 2012 the closing price was

$98.36 All time low stock price: $76.01 All time high stock price: $101.74

Page 8: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Dividends

Page 9: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Dividend cont…

Page 10: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Dividend cont………..

MCD is a dividend powerhouse. They have increased their dividend every year since paying their first one in 1976, and I believe this will continue into the future. The current quarterly rate of $0.61 a share equals an annual dividend of $2.44, and the stock currently yields 3.3%.

http://www.thedividendpig.com/?p=1106

Page 11: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

3 Strengths

McDonalds has strong products, it has grown income throughout the recession

There are McDonalds all around the world so it is exposed to different type of people and different currencies

McDonald's has dividend yields that top the 10-year Treasury. The annual dividend payment has gone from 55 cents per share in 2005 to $2.20 this year.

http://www.fool.com/investing/general/2010/08/25/mcdonalds-strengths-weaknesses-opportunities-threa.aspx

Page 12: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

3 Weaknesses

There are so many McDonalds around the United States, expansion will have to happen worldwide

The annual dividend is slowing and will eventually level off

Page 13: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

3 Opportunities

There are opportunities for new restaurants outside the United States such as China and Asia

New menu products can be created “Low interest rates provide cheap capital

for growth. In addition to dollar-denominated debt, McDonald's recently became the first foreign company to issue yuan-denominated bonds in Hong Kong.”

http://www.fool.com/investing/general/2010/08/25/mcdonalds-strengths-weaknesses-opportunities-threa.aspx

Page 14: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

3 Threats

Governments are trying to come up with regulations on fast food

New products are competing with other fast food restaurants and coffee shops

Prices may need to go up and some customers cannot afford to pay

http://www.fool.com/investing/general/2010/08/25/mcdonalds-strengths-weaknesses-opportunities-threa.aspx

Page 15: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Should I buy stock?

I would recommend buying stock in McDonalds because there are always people who are going to eat fast food. Yes, there is a health kick going on in our country right now but people will still be buying things from McDonalds.

Page 16: Kayley Boylan Accounting-4.  1940: Dick and Mac McDonald open McDonald’s Bar-B-Que restaurant on Fourteenth and E streets in San Bernardino, California

Works Cited

http://www.fool.com/investing/general/2010/08/25/mcdonalds-strengths-weaknesses-opportunities-threa.aspx

http://www.thedividendpig.com/?p=1106 McDonalds.com http://www.aboutmcdonalds.com/mcd/

investors.html