Buy McDonald's because the new fresh beef Quarter Pounder will increase sales, Credit Suisse says

Buy McDonald's because the new fresh beef Quarter Pounder will increase sales, Credit Suisse says
Buy McDonald's because the new fresh beef Quarter Pounder will increase sales, Credit Suisse says

Investors should buy McDonald's shares as the restaurant chain's use of higher quality fresh ingredients will drive revenue higher next year, according to Credit Suisse, which reiterated its outperform rating on the company.

The fast-food giant revealed it will use fresh beef instead of frozen patties for its Quarter Pounder burgers in 2018 at most of its U.S. locations.

"We believe this move could be positive for US SSS [same-store sales] trends from both a direct lift to QP sales and a general uptick in brand perception," analyst Jason West wrote in a note to clients Friday. "We note this initiative also opens the door to further expansion in MCD's use of fresh ingredients, which could lead to sales lifts in other products and further improvement in brand perception."

CNBC

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