McDonald’s also represents 5% of PowerShares Dynamic Food & Beverage Portfolio (NYSEArca: PBJ). The ETF is up more than 6% so far this year, in line with the S&P 500. Other top holdings include Starbucks (NasdaqGS: SBUX) and PepsiCo (NYSE: PEP).
“We remained concerned about a correction in the restaurant industry as food cost pressures become more pronounced and rising gas prices become more of a top-line growth deterrent, but we believe McDonald’s is the best-positioned operator to offset these pressures and offers a safe haven for investors,” Morningstar analyst R.J. Hottovy wrote in a research note Thursday.
PowerShares Dynamic Food & Beverage Portfolio
