Poisonous food is apparently unappealing to most Americans. It’s important that you know, “The Fly” hasn’t eaten at a CMG in quite some time, and now find the specter of doing so revolting. Some of you idlers still venture off into their locales, due to sloth and vagrancy. Need I remind you that the company — still — hasn’t the slightest idea why people received hospital stay inducing food poisoning, chalking it up to odd aberrations which prompted them to remind employees to wash their hands. I am of the mindset that McDonald’s is out to kill the franchise which they created, dispatching operatives into random CMG’s in order to afflict customers with violent vomit inducing toxins.
The company missed by all measures. The stock is lower by 25 bucks, hitting $298 in the after-hours. Any bounce should be faded. Any idea that this is a salvageable chain should be abandoned. The long term target for CMG should, inexorably, be $00.00.
If you enjoy the content at iBankCoin, please follow us on TwitterReports Q3 (Sep) earnings of $1.46 per share, ex-$0.64/share in data breach costs but including $0.13/share from hurricane impacts, $0.32 worse than the Capital IQ Consensus of $1.65; revenues rose 8.8% year/year to $1.13 bln vs the $1.14 bln Capital IQ Consensus.
Comps +1% vs. +1.4% estimates.
Food costs were 35.0% of revenue, a decrease of 10 basis points as compared to the third quarter of 2016. The benefit of the menu price increases taken in select restaurants during the second quarter of 2017 and decreased paper cost and usage were offset by higher avocado and beef prices, as well as steak making up a higher portion of our product mix compared to the third quarter of 2016. Restaurant level operating margin was 16.1% in the third quarter of 2017, an improvement from 14.1% in the third quarter of 2016. The improvement was driven primarily by decreased marketing and promotion expense and labor efficiencies.
For the full year 2017, management expects: Comparable restaurant sales increases of about 6.5% (down from high single digits); New restaurant openings slightly below the low end of the previously-disclosed range of 195 to 210
For 2018, management expects: 130 to 150 new restaurant openings.
If one understands how “organic farms” can be real small. Basically a family of illegals living next to the field in a ditch or bushes. Crapping in a hole then picking the crop. Used to be that way. Possibly no more.
I have chrohns and eating that poisonous shit takes me out of commission for a week. Fuck their chewy steak. Fuck their oils based rice. Fuck their shitty tomatoes
Not too late to add Round-up to the menu. MON is a forgiving god.
Bill. Ackman.
crap I did not want to buy CMG but now that THE FLY is bearish I have no choice but to buy this with both hands….
Great sound track for the occasion. Sigur Ros is quite possibly the most depressing music in the history of music.
Saboteurs took a not too bad restaurant chain out.
I agree with those who believe big food conglomerates promote their interests, any way they can. Additionally Chipotle faces a business reality- it costs more money to serve fresher food, compared to competitors who microwave or fry frozen food. Mass market Americans may talk a good game, but they are cheap, and won’t pay up for the real deal.
It costs money to hire people who can safely and consistently prepare fresher food. Some CG employees seem like nice people, but at their pay rate CMG will have enough incompetent people to sink the ship.
True story- In downtown LA you might see low income and homeless people selling bags of fruit at stoplights, sometimes conveniently peeled and sliced, ready to eat. I know about this. The fruit is discarded, found in the garbage of fruit distributors in the area. I’ve seen people preparing the fruit for sale, peeling, cutting and bagging it in filthy bathrooms and on the sidewalk under a faucet in an alley that smells of urine and feces.
People have different personal standards. They don’t always leave them behind at work.
Consumers have to pay-up for quality and safety, and most are too cheap.
In a medium market faux upper demo restaurant, you can see the kitchen. See the cooks dropping sealed bags of vegetables and fish into boiling pots, described on the menu in as fresh and filleted in-house by our chef.
Stupid consumers.
Shareholders were ruthlessly dispatched, Mr. Fly. The more that the last fanatics are shaken out of this name, the more I believe that this might be a buy. I just need Montauk Bill to vacate.