The following video is from today's MarketFoolery podcast, in which host Chris Hill, along with Charly Travers, Jason Moser, and Joe Magyer discuss the latest business news. Shares of Panera Bread were up more than 8% on Wednesday after quarterly earnings rose 24%. Profit margins and same-store sales were up for Panera. However, comps at Panera locations owned by the company were significantly higher than comps at Panera's franchise locations. In this segment, the guys analyze the importance of same-store sales for restaurant stocks like McDonald's and Chipotle and how the challenge of company-owned versus franchise experiences is different for each.
For investors seeking dividend-paying stocks trading at bargain basement prices, just check out The Motley Fool's free report "2 Dirt Cheap Stocks With HUGE Dividends." You can get analysis of a market leader in payment systems and a high-yielding energy company by accessing this report. It won't be available forever, so simply click here -- it's free.
The article 1 Big Challenge for Restaurant Stocks originally appeared on Fool.com.Chris Hill owns shares of Starbucks. The Motley Fool owns shares of Starbucks, Panera Bread, Chipotle Mexican Grill, and McDonald's. Motley Fool newsletter services have recommended buying shares of Panera Bread, Chipotle Mexican Grill, McDonald's, and Starbucks and writing covered calls on Starbucks. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.