McDonald's Corporation franchises and operates McDonald’s restaurants in the global restaurant industry.
All restaurants are either owned and operated by the company or by franchisees, including conventional franchisees under franchised arrangements…
Analysis
Middle-of-the-road
McDonald's Corporation sits in the middle of our grid: average quality, average price, no obvious signal in either direction. Worth noting: the cash the business generates has lagged behind what the income statement shows.
On valuation, the picture is expensive. The owner-earnings multiple stands at 27.2×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 10% a year, against analyst forecasts of 8%. The price, in other words, assumes less than the experts do.
Growth is moderate; the safety picture is adequate. The company scores 12/20 on our value-creation score: creating some value.
Flags to be aware of: Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.
360° rank · history
1007550250
Jan 202387
56
2023202420252026
All-time high
100
Jun 2024
All-time low
56
Jun 2026
Average rank
88
across all years
Detailed & Historical Ranks
Deep dive into 15 detailed ranks and 3 years of history.
Current202520242023
Price/Sales
1
2
3
3
Price/Earnings
36
44
32
42
Price/Book
3
97
94
95
Dividend Yield
85
80
75
80
Value (overall)
18
60
57
72
Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.