Is McDonald's Stock a Buy?
It's not difficult to come up with several reasons to steer clear of a stake in fast-food chain McDonald's (NYSE: MCD). Many franchisees are voicing frustration with their ever-increasing spending requirements, especially in light of the current push for a $15-per-hour minimum wage in the U.S. Then there's the not-so-small fact that the fast-food business is incredibly competitive and seemingly saturated. In the United States alone, there are nearly 200,000 such restaurants. Throw in the renewed interest in healthier diets, and it just feels as if McDonald's faces one too many challenges.
McDonald's is still a buy, however, because one single, simple edge easily overrides all of its vulnerabilities: being the most recognizable brand name in the industry.
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Source Fool.com
