Daily Market Beat

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The Might of Mickey D’s

In Today’s Issue…

 King of the Mountain (ED)

 The One We’ve Been Waiting For (TF)

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 Why I’m Lovin’ It (Eric Dickson)

No surprise here – McDonalds (MCD) beat earnings estimates for the fourth time in five quarters. It’s also their 9th consecutive quarter of earnings gains.

In their latest report, earnings per share grew 12.4% over the same quarter last year, coming in at $1.45 per share, above the $1.43 median estimates.

I have said this a thousand times and I’ll say it again; if there is one stock you’ll want to put into a long-term retirement account, one that you reinvest your dividends in – it’s MCD.

At $2.80 per share, it’s one of the more lucrative dividend yields on any investment.

Additionally, when it comes to principal, shares have historically gained an average of 15% per year over the last 10 years.

What that comes out to is a $5.54 average (over 10 year period starting 1/2/01 thru today’s opening price) gain per year in principal, and then with their current $2.80 dividend, you can see the attractiveness on buying, reinvesting dividends and holding this position.

Not to mention that since 2000 their dividend has increased 225%!

Again – not surprising seeing how they have a history with this…

One thing the company likes to boast about is their history is stock splits and increasing their dividend. From their investor website:

“Since going public in 1965, McDonald's has paid twelve stock splits. In fact, an investment of $2,250 in 100 shares at that time, had grown to 74,360 shares worth over $5.7 million as of year-end market close on December 31, 2010…

McDonald's has raised its dividend each and every year since paying its first dividend in 1976. Given the substantial increase to the Company's dividend over the last several years, McDonald's Board of Directors has decided that beginning in 2008, dividends declared will be paid on a quarterly basis.”

Not too shabby eh?

There isn’t much to argue here, it’s plain as day that this stock is a long-term winner.

Their business model is sound, their growth in emerging markets has helped them offset domestic slumps, and their dining experience has attractive cash starved consumers in good and bad times.

Have a look at their 10-year chart if you’re still not convinced about owning this stock:

http://untappedwealthonline.com/sites/untappedwealthonline.com/files/ima...

Even at their opening price today $91.22, it’s still an attractive play, because it won’t be too long before this steady winner climbs past $100.

I’m Loving It – are you? Email me with your thoughts on MCD

Major IPO News (Tim Fields)
Simply put, IPOs or Initial Public Offerings, are one of the best investments available. Like all stocks, the key to unlocking their incredible profit potential is finding the right one…
Which is where I come in, your guide to everything IPO.
Today, I'm going to show you what an "Oversubscribed IPO" is and how and "Oversubscribed IPO" can be something you really should take a closer look at.
The single most important fundamental when it comes to IPOs is…
Demand.
Without it, I don't care what kind of company you're looking at- point is, without demand, you're looking at a disaster in the making.
Demand with IPOs is a bit different than other investments, as demand on an existing equity simply means volume.
Demand on an IPO means that there’s investors looking to cash in on a newly formed public company, and the more demand you have for an IPO, the higher the price will be.
An Oversubscribed IPO is an IPO that has yet to trade, but has a following of investors wishing to buy in, that exceeds the amount of shares being issued.
Think of it as simple supply and demand situation…
An Oversubscribed IPO is no more different than silver, gold or oil right now, as once the momentum pushes demand past supply, the price skyrockets.
So now that you should have a basic understanding of what an Oversubscribed IPO is, I want to explain what it means to you, the IPO Investor, and how you can profit from it.
Face it, getting in on a hot IPO as just a "regular investor" without loads of connections or cash is pretty much impossible, but like all private clubs, there is a backdoor.
Using this particular method, I have personally been able to pick up gains for our clients exceeding 2000%.
The key to entering into a hot IPO or an Oversubscribed IPO for that matter, without being a part of the "private placement", is to place your order for the IPO on trading day, even before the market even opens.
But how do you know what day and what price to get in at?
Well, that’s where I come in…
I specialize in IPOs and my clients have made huge gains using my method and the results have been staggering.
Here are a few IPOs I recommended to my clients:
• New Oriental Education (EDU): Ran 300%
• Riverbed Tech (RVBD): Took off 170%
• Starent Networks: Blasted 100%
• Cavium (CAVM): Shot 100%

And that’s just the beginning…
In fact in just 2 short weeks an IPO will be debuting on the market that has the potential to run way past 100%, possibly even 250% within the first few days of trading.
Why?
Well, it’s a MAJOR company that will most certainly be oversold by next week.
The demand behind this company is astounding and folks, you’ll get your opportunity this weekend to lock in your reservation to this IPO.
Sunday I will be sending you an email that shows you exactly what the company is and what you need to do to not only get shares but how to get them easily and before the market even opens.
This could be the easiest 250% you’ve ever made.
Keep a lookout this Sunday for an email from me, Tim Fields.

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Quote of the day

“Men make history and not the other way around. In periods where there is no leadership, society stands still. Progress occurs
when courageous, skillful leaders seize the opportunity
to change things for the better.”

--Harry S. Truman--