A McDonald's franchise looks a steady state because that's the entire point. McDonalds is basically a holding company with a portfolio of some of the most valua

A McDonald's franchise looks a steady state because that's the entire point. McDonalds is basically a holding company with a portfolio of some of the most valuable real estate in the world that uses the burger flipping as a way to constantly grow. However, no McDonalds franchise is a steady state unless its in a tiny town immune to inflation where no one wants to open a competitor (and there's very few of those). If a restaurant's profit falls behind inflation it's no longer as valuable a holding in their portfolio.