posted by Lisa

What company is related to mcdonalds?

  1. Ms. Sue

    Multinational companies that are also in the fast-food business include Burger King, Pizza Hut, and KFC.

  2. Lisa

    Ok. Between KFC and Mcdonalds, which one would you say is financially better?

    Would it be Mcdonalds, because its nonstop, people go there everyday.

  3. Ms. Sue

    You need to look at their profits, earnings per share, sales, profit margin, etc. to determine which is financially better.

    The financials for KFC might be difficult to find because it is part of YUM! corporation.

  4. Lisa

    How do you determine which one is financially better?

    If the Profit margin is high that indicates its better?

    High sales --better

    earnings per share - higher

    So all of them have to be high?

  5. Ms. Sue

    Yes. All or most of them should be higher.

  6. Lisa

    Except the P/E ratio right? That should be lower.

  7. Ms. Sue

    The P.E. ratio reflects what people are willing to pay for a share of this stock. P.E. ratios tend to be high when potential share holders believe the company will be very successful in the future. Sometimes they're right -- and often they are wrong.

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