Sunday, July 21, 2013

One investment that worked

When reading through the investor relations part of McDonald's website I came across this a few years back and it has been updated since then.  Imagine 100 shares turning into this sum.  Since the current dividend is $0.77 for each share right now that would make every quarterly dividend $57,257.20 in your pocket.  Not to mention they will likely raise the dividend in the December quarter.  The stock is also around $100 so it is likely worth $800K-$1 million more then it was at the end of 2012.

It is not easy to time these investments or to know which will be the next one to make you rich.  If it were everyone would be doing it.  It may not be as realistic to most when they see it, but it is truly amazing how much success early investors in the golden arches would have had by now.  The best way to build wealth is to diversify and keep adding to high quality companies with wide moats at attractive prices.  This is one of many investments that if were in early, at the right time and price you could be very wealthy after holding several years.  This is one stock I will be comfortable holding onto for a long time to come.

Do you own McDonald's?  Do you think the growth can continue?

Disclosure: Long MCD 

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