McDonald's (MCD) - Get Report is a company that knows fast food and can continue to execute well in the industry, TheStreet'sJim Cramer, manager of the Action Alerts PLUS charitable trust portfolio, said on CNBC's "Stop Trading" segment earlier this week.
Analysts at Cowen upgraded McDonald's to outperform from market perform and raised their price target to $180 from $142. The analyst is bullish on McDonald's digital initiatives and says U.S. comp-store sales will be strong.
CEO Steve Easterbrook has created so much value for investors, Cramer said, pointing out that Easterbrook took over as the CEO when McDonald's stock was trading in the $90s. Now, shares are near $155.
"This is a remarkable story," he said of McDonald's and Easterbrook's turnaround efforts.
More analysts will likely continue warming up to McDonald's, he added. They need a safe consumer package and retail play. Fast casual dining is being pressure by cost-conscious consumers, while Amazon and e-commerce are hurting broad sections of retail.
McDonald's uniquely falls outside of those pitfalls, Cramer noted.
Meanwhile, Cramer isn't buying Apple here, and says Facebook and Alphabet look better on a dip.
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Editor's Pick: Originally published June 20.
At the time of publication, Jim Cramer's Action Alerts PLUS had no position in any companies mentioned.