McDonald’s Corporation (MCD), The Wendy’s Company (WEN), Burger King Worldwide Inc (BKW): The Best Fast-Food Bet for Your Portfolio

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Having nearly half of its locations overseas, the company has a respected international presence. Same-store increases were 0.8% in Europe and 2.7% in Asia, beating McDonald’s Corporation (NYSE:MCD). The company might be struggling in the Americas, but could evolve as a major threat for its peers in the emerging markets.

Bottom line

McDonald’s Corporation (NYSE:MCD) is still in reasonably decent shape but its vulnerability to macroeconomic headwinds is becoming a concern. I would not keep it in my portfolio until the company’s innovation and re-franchising strategies start to show higher earnings.

Higher investments are a risk for The Wendy’s Company (NASDAQ:WEN) since there is a chance that the company could not turn them into future profits. Although the company needs them, its results are unpredictable, especially in the emerging markets where the focus should be. I would sell the stock.

Although I do not find Burger King Worldwide Inc (NYSE:BKW)’s remodeling plan very appealing as it is relatively new and unproven, the company has strong brand recognition and presence overseas. If its efforts remain consistent, it is a stock worth keeping as it will profit from the emerging markets growth.

The article The Best Fast-Food Bet for Your Portfolio originally appeared on Fool.com and is written by Damian Illia.

Damian is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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