How Gas Prices Impact the Restaurant Sector: MCD, CMG, DPZ & More
Schwab Network · Schwab Network
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Show Notes
Jim Sanderson explains the downside restaurants face because of the economic impact of the energy crisis. Margin pressure issues are keeping him from being bullish on many names in the sector. He likes McDonald’s (MCD), believing they will be able to boost traffic, but notes that their international business is a huge part of revenue. Chipotle (CMG) may have a harder time driving traffic growth. Domino’s (DPZ) is a “market leader” and are becoming the “last man standing” in pizza. Tom White offers an options trade on MCD.
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