MCDONALD'S CORP (1MCD.MI) Stock Fundamental Analysis

Europe • Euronext Milan • BIT:1MCD • US5801351017

269.1 EUR
+5.6 (+2.13%)
Last: Feb 2, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

6

1MCD gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 59 industry peers in the Hotels, Restaurants & Leisure industry. While 1MCD has a great profitability rating, there are some minor concerns on its financial health. 1MCD is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year 1MCD was profitable.
  • In the past year 1MCD had a positive cash flow from operations.
  • 1MCD had positive earnings in each of the past 5 years.
  • 1MCD had a positive operating cash flow in each of the past 5 years.
1MCD.MI Yearly Net Income VS EBIT VS OCF VS FCF1MCD.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 13.88%, 1MCD belongs to the top of the industry, outperforming 89.83% of the companies in the same industry.
  • With an excellent Return On Invested Capital value of 17.77%, 1MCD belongs to the best of the industry, outperforming 84.75% of the companies in the same industry.
  • 1MCD had an Average Return On Invested Capital over the past 3 years of 18.38%. This is significantly above the industry average of 13.35%.
Industry RankSector Rank
ROA 13.88%
ROE N/A
ROIC 17.77%
ROA(3y)14.08%
ROA(5y)13.05%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.38%
ROIC(5y)16.68%
1MCD.MI Yearly ROA, ROE, ROIC1MCD.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150 -200

1.3 Margins

  • Looking at the Profit Margin, with a value of 32.04%, 1MCD belongs to the top of the industry, outperforming 98.31% of the companies in the same industry.
  • 1MCD's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 46.12%, 1MCD belongs to the top of the industry, outperforming 98.31% of the companies in the same industry.
  • In the last couple of years the Operating Margin of 1MCD has grown nicely.
  • Looking at the Gross Margin, with a value of 57.43%, 1MCD is in the better half of the industry, outperforming 64.41% of the companies in the same industry.
  • 1MCD's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 46.12%
PM (TTM) 32.04%
GM 57.43%
OM growth 3Y2.46%
OM growth 5Y1.77%
PM growth 3Y-0.79%
PM growth 5Y2.38%
GM growth 3Y1.56%
GM growth 5Y1.64%
1MCD.MI Yearly Profit, Operating, Gross Margins1MCD.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1MCD is creating value.
  • Compared to 1 year ago, 1MCD has less shares outstanding
  • 1MCD has less shares outstanding than it did 5 years ago.
  • 1MCD has about the same debt/assets ratio as last year.
1MCD.MI Yearly Shares Outstanding1MCD.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M
1MCD.MI Yearly Total Debt VS Total Assets1MCD.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.2 Solvency

  • 1MCD has an Altman-Z score of 4.86. This indicates that 1MCD is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 4.86, 1MCD belongs to the top of the industry, outperforming 89.83% of the companies in the same industry.
  • The Debt to FCF ratio of 1MCD is 5.60, which is a neutral value as it means it would take 1MCD, 5.60 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 5.60, 1MCD is in line with its industry, outperforming 59.32% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 5.6
Altman-Z 4.86
ROIC/WACC2.27
WACC7.84%
1MCD.MI Yearly LT Debt VS Equity VS FCF1MCD.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10B 20B 30B 40B

2.3 Liquidity

  • A Current Ratio of 1.00 indicates that 1MCD should not have too much problems paying its short term obligations.
  • 1MCD's Current ratio of 1.00 is in line compared to the rest of the industry. 1MCD outperforms 59.32% of its industry peers.
  • A Quick Ratio of 0.99 indicates that 1MCD may have some problems paying its short term obligations.
  • 1MCD has a better Quick ratio (0.99) than 64.41% of its industry peers.
Industry RankSector Rank
Current Ratio 1
Quick Ratio 0.99
1MCD.MI Yearly Current Assets VS Current Liabilites1MCD.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

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5

3. Growth

3.1 Past

  • The Earnings Per Share has been growing slightly by 0.51% over the past year.
  • Measured over the past years, 1MCD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.20% on average per year.
  • The Revenue has been growing slightly by 1.26% in the past year.
  • Measured over the past years, 1MCD shows a small growth in Revenue. The Revenue has been growing by 3.94% on average per year.
EPS 1Y (TTM)0.51%
EPS 3Y8.12%
EPS 5Y8.2%
EPS Q2Q%-0.31%
Revenue 1Y (TTM)1.26%
Revenue growth 3Y3.73%
Revenue growth 5Y3.94%
Sales Q2Q%2.98%

3.2 Future

  • Based on estimates for the next years, 1MCD will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.60% on average per year.
  • Based on estimates for the next years, 1MCD will show a small growth in Revenue. The Revenue will grow by 5.51% on average per year.
EPS Next Y4.49%
EPS Next 2Y6.77%
EPS Next 3Y7.36%
EPS Next 5Y9.6%
Revenue Next Year2.58%
Revenue Next 2Y4.13%
Revenue Next 3Y4.46%
Revenue Next 5Y5.51%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
1MCD.MI Yearly Revenue VS Estimates1MCD.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 10B 20B 30B 40B
1MCD.MI Yearly EPS VS Estimates1MCD.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 5 10 15 20 25

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3

4. Valuation

4.1 Price/Earnings Ratio

  • 1MCD is valuated quite expensively with a Price/Earnings ratio of 26.67.
  • 1MCD's Price/Earnings ratio is in line with the industry average.
  • Compared to an average S&P500 Price/Earnings ratio of 27.92, 1MCD is valued at the same level.
  • With a Price/Forward Earnings ratio of 23.74, 1MCD is valued on the expensive side.
  • 1MCD's Price/Forward Earnings ratio is in line with the industry average.
  • 1MCD is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 27.78, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 26.67
Fwd PE 23.74
1MCD.MI Price Earnings VS Forward Price Earnings1MCD.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 1MCD's Enterprise Value to EBITDA is on the same level as the industry average.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as 1MCD.
Industry RankSector Rank
P/FCF 30.66
EV/EBITDA 18.54
1MCD.MI Per share data1MCD.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1MCD does not grow enough to justify the current Price/Earnings ratio.
  • The excellent profitability rating of 1MCD may justify a higher PE ratio.
PEG (NY)5.94
PEG (5Y)3.25
EPS Next 2Y6.77%
EPS Next 3Y7.36%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 2.30%, 1MCD has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 1.34, 1MCD pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.83, 1MCD pays a bit more dividend than the S&P500 average.
Industry RankSector Rank
Dividend Yield 2.3%

5.2 History

  • On average, the dividend of 1MCD grows each year by 7.43%, which is quite nice.
Dividend Growth(5Y)7.43%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • 1MCD pays out 60.13% of its income as dividend. This is not a sustainable payout ratio.
  • The dividend of 1MCD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP60.13%
EPS Next 2Y6.77%
EPS Next 3Y7.36%
1MCD.MI Yearly Income VS Free CF VS Dividend1MCD.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B
1MCD.MI Dividend Payout.1MCD.MI Dividend Payout, showing the Payout Ratio.1MCD.MI Dividend Payout.PayoutRetained Earnings

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MCDONALD'S CORP

BIT:1MCD (2/2/2026, 7:00:00 PM)

269.1

+5.6 (+2.13%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)11-05
Earnings (Next)02-11
Inst Owners74.96%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap191.64B
Revenue(TTM)26.27B
Net Income(TTM)8.41B
Analysts71.63
Price Target292.42 (8.67%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.3%
Yearly Dividend5.74
Dividend Growth(5Y)7.43%
DP60.13%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.88%
Min EPS beat(2)-4.16%
Max EPS beat(2)0.41%
EPS beat(4)1
Avg EPS beat(4)-1.35%
Min EPS beat(4)-4.16%
Max EPS beat(4)0.41%
EPS beat(8)2
Avg EPS beat(8)-0.99%
EPS beat(12)6
Avg EPS beat(12)2.17%
EPS beat(16)9
Avg EPS beat(16)1.87%
Revenue beat(2)1
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-1.23%
Max Revenue beat(2)1.06%
Revenue beat(4)1
Avg Revenue beat(4)-1.3%
Min Revenue beat(4)-3.22%
Max Revenue beat(4)1.06%
Revenue beat(8)1
Avg Revenue beat(8)-1.33%
Revenue beat(12)5
Avg Revenue beat(12)0.04%
Revenue beat(16)7
Avg Revenue beat(16)-0.04%
PT rev (1m)0.96%
PT rev (3m)-0.33%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)-1.65%
EPS NY rev (1m)0.1%
EPS NY rev (3m)-1.23%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)-0.53%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.25%
Valuation
Industry RankSector Rank
PE 26.67
Fwd PE 23.74
P/S 8.61
P/FCF 30.66
P/OCF 21.56
P/B N/A
P/tB N/A
EV/EBITDA 18.54
EPS(TTM)10.09
EY3.75%
EPS(NY)11.33
Fwd EY4.21%
FCF(TTM)8.78
FCFY3.26%
OCF(TTM)12.48
OCFY4.64%
SpS31.26
BVpS-2.57
TBVpS-6.51
PEG (NY)5.94
PEG (5Y)3.25
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 13.88%
ROE N/A
ROCE 22.22%
ROIC 17.77%
ROICexc 18.59%
ROICexgc 19.85%
OM 46.12%
PM (TTM) 32.04%
GM 57.43%
FCFM 28.08%
ROA(3y)14.08%
ROA(5y)13.05%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.38%
ROIC(5y)16.68%
ROICexc(3y)19.5%
ROICexc(5y)17.88%
ROICexgc(3y)21.29%
ROICexgc(5y)19.49%
ROCE(3y)23.04%
ROCE(5y)20.89%
ROICexgc growth 3Y2.6%
ROICexgc growth 5Y2.93%
ROICexc growth 3Y2.55%
ROICexc growth 5Y2.53%
OM growth 3Y2.46%
OM growth 5Y1.77%
PM growth 3Y-0.79%
PM growth 5Y2.38%
GM growth 3Y1.56%
GM growth 5Y1.64%
F-Score7
Asset Turnover0.43
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 5.6
Debt/EBITDA 2.76
Cap/Depr 143.06%
Cap/Sales 11.85%
Interest Coverage 250
Cash Conversion 73.39%
Profit Quality 87.63%
Current Ratio 1
Quick Ratio 0.99
Altman-Z 4.86
F-Score7
WACC7.84%
ROIC/WACC2.27
Cap/Depr(3y)117.68%
Cap/Depr(5y)111.18%
Cap/Sales(3y)9.38%
Cap/Sales(5y)9.09%
Profit Quality(3y)85.21%
Profit Quality(5y)89.5%
High Growth Momentum
Growth
EPS 1Y (TTM)0.51%
EPS 3Y8.12%
EPS 5Y8.2%
EPS Q2Q%-0.31%
EPS Next Y4.49%
EPS Next 2Y6.77%
EPS Next 3Y7.36%
EPS Next 5Y9.6%
Revenue 1Y (TTM)1.26%
Revenue growth 3Y3.73%
Revenue growth 5Y3.94%
Sales Q2Q%2.98%
Revenue Next Year2.58%
Revenue Next 2Y4.13%
Revenue Next 3Y4.46%
Revenue Next 5Y5.51%
EBIT growth 1Y2.6%
EBIT growth 3Y6.28%
EBIT growth 5Y5.78%
EBIT Next Year21.78%
EBIT Next 3Y11.45%
EBIT Next 5Y10.59%
FCF growth 1Y2.48%
FCF growth 3Y-2.05%
FCF growth 5Y3.1%
OCF growth 1Y12.47%
OCF growth 3Y1.11%
OCF growth 5Y3.07%

MCDONALD'S CORP / 1MCD.MI FAQ

What is the fundamental rating for 1MCD stock?

ChartMill assigns a fundamental rating of 6 / 10 to 1MCD.MI.


What is the valuation status for 1MCD stock?

ChartMill assigns a valuation rating of 3 / 10 to MCDONALD'S CORP (1MCD.MI). This can be considered as Overvalued.


What is the profitability of 1MCD stock?

MCDONALD'S CORP (1MCD.MI) has a profitability rating of 8 / 10.


What is the valuation of MCDONALD'S CORP based on its PE and PB ratios?

The Price/Earnings (PE) ratio for MCDONALD'S CORP (1MCD.MI) is 26.67 and the Price/Book (PB) ratio is -104.53.


What is the earnings growth outlook for MCDONALD'S CORP?

The Earnings per Share (EPS) of MCDONALD'S CORP (1MCD.MI) is expected to grow by 4.49% in the next year.