McDonald's (MCD): I'm Trying To Love It, But It's Real Difficult When My Stomach Hurts
OAKBROOK, ILLINOIS - Shares of McDonald's (MCD) have been on a tear of late as Ronald McDonald and company have seemingly righted a McFloundering ship.
Fast Food Stag-Nation
With President Barack Obama out of office the healthy lunch and anti-obesity initiatives championed by First Lady Michelle Obama may not garner the same attention of President Donald Trump's administration. TrendSmasher learned of a rumor that McDonald's is looking to fill the vacuum by working with school districts on the state level to get their products into public schools.
Arkansas, West Virginia and Mississippi, according to many metrics, have the highest obesity rates in the United States and, reportedly, the world's leader in fast food sees a pathway to increased profitability in those states.
"There's definitely an opportunity to be taken advantage of," said Freddy McChunker, Publisher of Chunk-Life Magazine. "We think [McDonald's] can get into that space if they formulate a taxpayer-friendly plan that is agreeable to the incoming Trump administration. We'd like to see it happen because McDonald's is delicious, inexpensive, and incredibly nutritious compared to White Castle and eating mud-cakes."
The School Lunch Crunch
Not everyone is in favor of the plan, including Tyson Foods Inc. (TSN), Pilgrim's Pride Corporation (PPC), Cherry Meat Packers Inc., Central Valley Meat Co. Inc., American Beef Packers Inc. and Jennie-O Turkey Store LLC.Tyson Foods, Pilgrim's Pride, Cherry Meat Packers, Central Valley Meat Co., American Beef Packers, and Jennie-O - the companies that make up the waistband of Big Cafeteria.
"There's some serious concern in the sector," reported Arnold Bismol, CNBC's food analyst. "The biggest players are worried that McDonald's is going after the obese goose that lays the golden eggs. Kids have to eat lunch - they're a captive audience - like little piggies in cages."
McDonald's CEO Steve McEasterbrook appeared uncomfortable at a recent press conference in denying the rumors.
"Sometimes when there's smoke, there's a saturated grease fire," said McEasterbrook. "In this case there's just smoke. I will unequivocally state that McDonald's is not looking to get into the school lunch business."
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The Valley Report