With most of its restaurants nearly empty during the pandemic, McDonald’s stock initially fell by almost 40%. In 2014, Yum had just $2.8 billion of net debt, accounting for 42% of net revenue; by 2020, that figure had swelled to $10 billion, or 178% of net revenue. The company, which had essentially no debt in 2016, ended 2019 with $18 billion in net debt. The cigarette merchant now holds $1.31 of net debt per dollar of annual revenue, up from 58 cents in 2010. Big Blue’s debt, including customer financing, has grown from 17% of net revenue to 70%, with $52 billion in net debt currently outstanding.

Source: Forbes May 21, 2020 10:30 UTC