Four fast-food stocks with an appetite for growth

Most of these companies have grown revenue and profits in the face of unrelenting stock market volatility and economic uncertainty

Vikram Barhat 28 August, 2019 | 2:35AM

Fast Food

Despite the ongoing market volatility, it’s hard to miss that fast-food stocks have been on a tear this year. Year to date, some of these stocks have gained as much as 50%, far outpacing the S&P 500, as of August 22.

The increase in appetite for casual and convenient dining and the rise of app-happy urban consumers, are fuelling the growth of the global fast-food market, projected to expand from about US$540 billion in 2016 to more than US$690 billion in 2022, swelling 4.20% annually.

The leading constituents of the fast-food space are well positioned to benefit from emerging trends. That most of these companies have been able to grow their revenue and profits in the face of unrelenting stock market volatility and economic uncertainty is a testament to their resilience and compelling growth prospects, including proactively exploring and expanding to new geographies to tap faster growing, underserved markets. Most of these stocks are fairly valued, so any dip in stock price might be a good entry point for investors.

Domino's Pizza Inc

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
Domino's Pizza Inc393.44 USD0.40
McDonald's Corp199.26 USD-0.05
Starbucks Corp75.78 USD0.87
Yum Brands Inc91.00 USD-0.89

About Author

Vikram Barhat

Vikram Barhat  Vikram Barhat is a Toronto-based financial writer specializing in investing, stock markets, personal finance and other areas of the financial services industry. He also writes for CNBC, BBC, The Globe and Mail, and Toronto Star.

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