Mcdonalds Corp (MCD)
Consumer Discretionary · Restaurants · US stock · S&P 500 component
$252.63
▲ +6.38 (2.59%)
Fair valueFair
$261 +3.5% to fair value
$131fair band $222–$317$392
Day's range
$246.47 – $252.79
52-week range
$229.20 – $341.75
Red flags⚠ Negative equity⚠ Negative equity⚠ Negative equity⚠ Negative equity⚠ Negative equity
About Mcdonalds Corp
McDonald's franchises and operates fast food restaurants around the world, selling burgers, chicken items, breakfast food and drinks. Most of its restaurants are run by independent franchisees, who pay the company rent, royalties and fees based on sales, while the company also keeps a smaller number of restaurants under its own management. Because it owns or leases much of the land and buildings, property income forms a major part of its earnings.
Revenue over the last twelve months came to $27.7 billion, and sales grew by 5.1% a year on average across the past three years. Operating margin is 46.2% and return on invested capital is 27%. Net debt to EBITDA is 2.9 times. It pays a dividend with a yield of 2.9%. The X-Ray Score is 53 out of 100.
Price chart
52-wk range $229.20 – $341.75Volume 5,071,355Daily, split-adjusted
Vitals
Market cap$179.6B
52-week range$229.20 – $341.75
Volume (last day)5,071,355
P/E (TTM)15.4
EBIT / EV yield5.9%
Free-cash-flow yield4.3%
Dividend yield2.9%
Revenue (TTM)$27.7B
Net income (TTM)$8.8B
Operating margin46.2%
Return on capital26.6%
Debt incl. leases$39.9B
Cash & securities$822M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$261middle half of models $245 – $275
Fair
+3.5% to fair value
Average of the 13 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Low, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $253
Undervalued < $222Fair $222 – $317Overvalued > $317
P/E multiple
$261
P/S multiple
$245
EV/EBITDA multiple
$264
EV/EBIT multiple
$288
EV/revenue multiple
$238
10-year DCF, EBITDA exit
$265
5-year DCF, EBITDA exit
$275
10-year DCF, revenue exit
$261
5-year DCF, revenue exit
$269
10-year DCF, growth exit
$214
5-year DCF, growth exit
$216
Dividend discount, stable
$320
Dividend discount, multi-stage · not used
$609
Earnings power value
$281
Growth the price implies
9.2%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Average business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Consumer Discretionary peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Fair
51/100
Priced about in line with its sector.
See the numbers →
EBIT / EV yield5.9%
Free-cash-flow yield4.3%
Fair value vs price1.0×
Growth
Weak
45/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)5.1%
EPS growth (3y)12.8%
Growth consistency70%
Profitability
Fair
63/100
Returns on capital are typical for its sector.
See the numbers →
Return on invested capital26.6%
Operating margin46.2%
Financial health
Weak
49/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score6 / 9
Net debt / EBITDA2.9×
Interest cover7.9×
Dividends
Fair
61/100
Dividend is typical for its sector.
See the numbers →
Dividend yield2.9%
Dividends vs free cash flow68%
Dividend growth7.1%
Quarterly results: last 6 quarters
-3.5%
Mar '25
+5.4%
Jun '25
+3.0%
Sep '25
+9.7%
Dec '25
+9.4%
Mar '26
+3.7%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $7.1B, diluted EPS $3.32.
Compare with peers
CMG Chipotle Mexican Grill...64 DPZ Dominos Pizza Inc64 DRI Darden Restaurants Inc54 YUM Yum Brands Inc48Other Restaurants companies by X-Ray Score.
SWOT analysis: Mcdonalds Corp
Strengthsinside the company
- Operating margin of 46.2% is well above the 14.7% median of industry peers, a sign of pricing power or lower costs.
- Earnings per share have compounded at 12.8% a year over three years.
Weaknessesinside the company
- No clear weakness in the figures we track.
Opportunitiesvaluation and setting
- No specific opportunity is visible in our valuation, sector or growth data.
Threatsvaluation and setting
- Our checks raised: Negative equity; Negative equity.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare MCD with peers and sector
Medians of 5 Restaurants peers and of 46 Consumer Discretionary stocks in our universe.
Largest peers (X-Ray Score): SBUX 31, YUM 48, CMG 64, DRI 54, DPZ 64.
| Metric | MCD | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 53 | 54 | 50 |
| Valuation | 50 | 55 | 48 |
| Growth | 45 | 57 | 53 |
| Profitability | 63 | 66 | 52 |
| Financial health | 48 | 36 | 50 |
| Dividends | 61 | 54 | 51 |
Sector leaders: highest X-Ray Score in Consumer Discretionary
MCD ranks #18 of 47 in Consumer Discretionary and #4 of 6 in Restaurants by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for MCD
Each factor is rated by where MCD stands among the 47 Consumer Discretionary stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 4 Good · 8 Average · 6 Bad of 18
Growth: 1 · 1 · 1
Profitability: 2 · 1 · 0
Financial strength: 0 · 2 · 2
Valuation: 0 · 3 · 1
Cash flow: 1 · 1 · 2
| Factor | MCD | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +5.1% | Bad beats 32% | +6.5% | – | – |
| Revenue growth, last year | +3.7% | Average beats 42% | +4.9% | +3.7% | ≈ In line |
| EPS growth, 3 years a year | +12.8% | Good beats 71% | +4.0% | – | – |
| Profitability | |||||
| Operating margin | 46.2% | Good beats 99% | 14.9% | 45.2% | ≈ In line |
| Net margin | 31.7% | Good beats 99% | 11.4% | 31.9% | ≈ In line |
| Return on invested capital | 26.6% | Average beats 58% | 24.6% | – | – |
| Financial strength | |||||
| Net debt / EBITDA | 2.9x | Bad beats 32% | 1.8x | 3.1x | ≈ In line |
| Interest cover | 7.9x | Bad beats 31% | 25.3x | 7.8x | ≈ In line |
| Current ratio | 1.08 | Average beats 43% | 1.10 | 1.19 | ≈ In line |
| Piotroski F-score | 6 / 9 | Average beats 49% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 20.4x | Average beats 52% | 21.1x | 25.6x | ▲ Better |
| Price / sales | 6.5x | Bad beats 10% | 2.1x | 8.4x | ▲ Better |
| EV / EBITDA | 16.5x | Average beats 39% | 15.0x | 21.2x | ▲ Better |
| Free cash flow yield | 4.3% | Average beats 47% | 4.3% | 3.3% | ▲ Better |
| Cash flow | |||||
| Free cash flow margin | 28.0% | Good beats 92% | 10.8% | 26.7% | ≈ In line |
| Cash from operations / net income | 1.29 | Bad beats 33% | 1.37 | 1.20 | ≈ In line |
| Free cash flow growth, 3 years a year | +9.4% | Average beats 47% | +12.1% | – | – |
| Accruals (lower is better) | −4.3% | Bad beats 33% | −5.3% | – | – |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 3 Good · ● 7 Average · ● 5 BadCash quality
Earnings backed by cashBad
Free-cash-flow yieldAverage
Risk models
Altman Z''Good
Piotroski F-ScoreAverage
Growth
EPS growth (3y)Good
Free-cash-flow growth (3y)Average
Revenue growth (3y)Bad
Growth consistencyBad
Balance sheet
Current ratioAverage
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceAverage
EBIT / EV yieldAverage
Profitability
Return on invested capitalAverage
Operating marginGood
Each check is graded against the company's sector, not a fixed number. Checklist score 53/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $23.2B | $23.2B | $25.5B | $25.9B | $26.9B |
| Operating income | $10.4B | $9.4B | $11.6B | $11.7B | $12.4B |
| Net income | $7.5B | $6.2B | $8.5B | $8.2B | $8.6B |
| Operating cash flow | $9.1B | $7.4B | $9.6B | $9.4B | $10.6B |
| Operating margin | 44.6% | 40.4% | 45.7% | 45.2% | 46.1% |
| Free cash flow | $7.1B | $5.5B | $7.3B | $6.7B | $7.2B |
| Diluted EPS | $10.04 | $8.33 | $11.56 | $11.39 | $11.95 |
Fiscal years, from SEC filings.
Technical summary
Daily
Neutral
7 bullish · 1 neutral · 8 bearish
Weekly
Strongly bearish
2 bullish · 1 neutral · 9 bearish
Monthly
Strongly bearish
0 bullish · 1 neutral · 7 bearish
Moving averages (daily)
| SMA 10 | 241.9 | Bullish |
| EMA 10 | 243.5 | Bullish |
| SMA 20 | 237.5 | Bullish |
| EMA 20 | 242.2 | Bullish |
| SMA 50 | 249.8 | Bullish |
| EMA 50 | 248.5 | Bullish |
| SMA 100 | 260.8 | Bearish |
| EMA 100 | 259.1 | Bearish |
| SMA 200 | 281.8 | Bearish |
| EMA 200 | 272.0 | Bearish |
Oscillators (daily)
| RSI (14) | 66.21 | Neutral |
| MACD (12, 26) | -0.24 | Bearish |
| Momentum (12) | 8.68 | Bullish |
| Stochastic %K (14) | 99.32 | Bearish |
| Williams %R (14) | -0.68 | Bearish |
| CCI (20) | 189.5 | Bearish |
Pivot points (classic, last session)
S3 242.1 | S2 244.3 | S1 248.5 | Pivot 250.6 | R1 254.8 | R2 257.0 | R3 261.1 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
7.44 USD
Yield on today's price
2.95%
Frequency
Quarterly
Next ex-dividend date
1 Dec 2026
| Ex-dividend date | Amount per share |
|---|---|
| (upcoming) | 1.9300 |
| 1.8600 | |
| 1.8600 | |
| 1.8600 | |
| 1.8600 | |
| 1.7700 | |
| 1.7700 | |
| 1.7700 | |
| 1.7700 | |
| 1.6700 | |
| 1.6700 | |
| 1.6700 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold MCD
| ETF | Share of the fund |
|---|---|
| XLY Consumer Discretionary Select Sector S... | 4.15% |
| VCR Vanguard Consumer Discretionary | 2.90% |
| FDIS Fidelity MSCI Consumer Discretionary I... | 2.89% |
| DIVO Amplify CWP Enhanced Dividend Income | 2.88% |
| DDM ProShares Ultra Dow30 | 2.42% |
| HDV iShares Core High Dividend | 2.31% |
| UDOW ProShares UltraPro Dow30 | 1.85% |
| GQGU The Advisors’ Inner Circle Fund III | 1.67% |
The eight funds with the largest weight in MCD among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
MCD stock splits
MCD has split its stock 2 times since 1994. The latest was a 2-for-1 split on 8 Mar 1999.
Full MCD stock split history →MCD SEC filings
8-KSEC EDGAR
Regulation FD disclosure
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Director or officer change; Regulation FD disclosure
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Shareholder vote results
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
DEF 14ASEC EDGAR
Proxy statement
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.