Demand for Wings on the Rise



Prices for chicken wings have been on the rise due to a supply
and demand imbalance, and McDonald's (MCD) isn't helping with plans to start
testing "Mighty Wings" in Chicago this week, after a successful run in Atlanta
last year. Sterne Agee's Lynne Collier said she thinks MCD's wings could be a
national hit, but if they're too costly, MCD might go for a limited-time run
like with its popular McRib. She says MCD selling wings could create "sustained
higher pricing" for restaurants like Buffalo Wild Wings (BWLD).

It would also mean more competition for YUM's Pizza Hut, which has the fast-food chicken wing
chain, Wing Street, in a lot of its pizza shops. Lastly, it gives MCD another
differentiator from burger rivals Wendy's (WEN) and Burger King (BKW). MCD up
about 1% on day at $90.70. (annie.gasparro@dowjones.com)


Filed Under :  
Topics : Hospitality_Recreation
Social :
Locations : AtlantaChicago
People : Lynne Collier




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