As millennials and Gen Z-ers inherit an estimated $60 trillion in wealth in the coming decades, these are the brands they may be inclined to spend on.
Investors may feel uncertain about the economy, but that has not stopped consumer spending from growing. According to the Bureau of Economic Analysis, consumer spending continues to trend higher, rising 0.2% in October. Such data may inspire investors to seek companies that can draw customers in nearly any economy, a level of uncertainty that could bode well for Amazon (NASDAQ: AMZN), Tractor Supply (NASDAQ: TSCO), and Chipotle Mexican Grill (NYSE: CMG).
Fast food is a crowded industry, but McDonald's (NYSE: MCD) consistently outpaces its competition by leveraging its iconic brand and expansive global presence. Today, it is the largest publicly traded fast-food chain by market capitalization, worth roughly $210 billion, significantly surpassing its nearest competitor, Chipotle Mexican Grill, which stands at $61 billion. McDonald's uses primarily a franchise business model with 95% of its more than 41,000 locations owned and operated by independent business owners.