McDonald's (MCD) Could Be 1% Overvalued After Its Restaurant NEXT Push

McDonald's (MCD) is pushing ahead with its Restaurant > NEXT overhaul, asking U.S. drive thru franchisees to commit about $800,000 per location to new technology and operational upgrades as some operators question the payoff. For shareholders, McDonald's recent announcement comes after a tougher period for the stock. The share price is down about 22% year to date and the 1-year total shareholder return has declined roughly 19%, while 3- and 5-year total shareholder returns remain positive but modest. Spot undervalued consumer brands facing similar reinvestment pressures by scanning our hand picked 29 high quality undervalued stocks alongside McDonald's.