Thursday, December 1, 2011

FINAL TRANSACTIONs!

For this week, I am going to talk about a transaction I made during the first week we began this game. Actually, I'm pretty sure I bought share for this company durning the first five minutes along with 5 more. I will be talking about McDonalds, MCD.
Basic Information: McDonalds act as a food retailer worldwide. This company franchises and operates McDonalds restaurants that offer various food items, coffe, soft drinks, coffee, desserts, snacks, and other beverages. Also a full or limited breakfast menu. There are 32,943 restaurants in 117 countries as of June 30, 2011. Because of the population of McDonalds company, and the amount of people go there, is the reason why I bought shares.
I bought 100 shares at $89.24. This is alright considering the 52-week range is $72.14-$95.88. The price I bought it at was towards the top. Its a shame I didn't know this at the time. The price per share now is 85.50 which is only about 30 cents less than the highest price. With that know, I believe I did okay.
McDonalds is a long term investment because it always stays up towards the top. It is one of those companies you never expect to run out of buisness. McDonalds does have a catalyst from time to time, but I didn't consider it a trade because of how well they do.

Competitors:
Yum! brands:
dividends--2.00%
market cap--25.93B

Starbucks:
dividends--1.60%
market cap--32.78B

Market Cap:97.65B

Sector: Consumer Goods
Dividend: 3.00%

Prediction: I predict that the price per share will increase to a higher price of 96.50 per share because it is almost Christmas time and they always come out with holiday foods that are only seasonal. With that, more people will come to get what they can while they can.

My other transaction is Wal Mart Stores Inc.. I accidentally bought 332 shares for this at 58.13 per share. I didn't realize how awful of a mistake this was until now. I looked up the 52 week range and discovered the range was 48.31-59.40. Awful, just awful. In the end, I think it will work out because Wal Mart is a good company and a lot of people will go there for Chrismas shopping. With that said, Wal Mart is a long term investment becuase there are no catalyst involved. Wal Mart offers a dividend of 2.50%. The market cap is 200.05B.