McDonald's (NYSE:MCD) is a selection for the real-money Inflation-Protected Income Growth portfolio. In this brief video, portfolio manager Chuck Saletta offers two-and-a-half reasons he's holding on to McDonald's stock despite its small rise since he bought those shares a little more than a year ago.

To summarize, McDonald's sports:

  • A decent balance sheet, with a debt-to-equity ratio around 0.9.
  • A well-covered dividend with a 56% payout ratio and a decent history of increasing that dividend.
  • A market cap that's not too far ahead of the iPIG portfolio's fair-value estimate.

To follow the iPIG portfolio as buy and sell decisions are made, watch Chuck's article feed by clicking here. To join The Motley Fool's free discussion board dedicated to the iPIG portfolio, simply click here.

Chuck Saletta owns shares of McDonald's. The Motley Fool recommends McDonald's. The Motley Fool owns shares of McDonald's. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.