4 ms·
> McDonald's stock is up 20% since Oct 7, 2023 > the boycott effort was a temporary scare to the business that didn't have significant impact on sales long ter
by bhouston 2y ago
> McDonald's stock is up 20% since Oct 7, 2023
> the boycott effort was a temporary scare to the business that didn't have significant impact on sales long term.
Are you making stuff up on purpose? I've rarely seen such a poorly argued and fact free reply on hacker news.
1. "McDonald's stock is up 20% since Oct 7, 2023." Why start on October 7? The formal boycott calls only came in January (https://bdsmovement.net/Boycott-McDonalds https://bdsmovement.net/Boycott-McDonalds) and why would a boycott start on October 7th anyways? McDonalds had nothing to do with the attack. Rather it was McDonald's that supported the Israeli invasion of Gaza after that attack. If you start from January 2024 there is no growth in MCD stock. Second, you need to compare to the market. It has dramatically underperformed the rest of the market which is in a boom. Thus it actually is like negative 20% compared to the market from that point onwards.
2. It was so bad that McDonalds acquired the Israeli franchises and it says in the articles it was because of sales misses: https://www.cnbc.com/2024/04/05/israel-boycott-mcdonalds-will-buy-all-225-restaurants-from-franchise.html https://www.cnbc.com/2024/04/05/israel-boycott-mcdonalds-wil... It was a franchisee decision to support the IDF via McDonald's promotions, that likely won't happen any more.
3. "Sales growth slowed a bit... temporary scare to the business that didn't have significant impact on sales long term"? How did you get that? Sales growth is negative this year and continues, McDonald's says so themselves. Their global comparable sales (which looks at same stores, ignoring price increases) have actually been decreasing this past year, especially in International markets:
https://corporate.mcdonalds.com/corpmcd/our-stories/article/Q2-2024-results.html https://corporate.mcdonalds.com/corpmcd/our-stories/article/... https://corporate.mcdonalds.com/corpmcd/our-stories/article/Q2-2024-results.html https://corporate.mcdonalds.com/corpmcd/our-stories/article/...