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

BIT:1MCD • US5801351017

Current stock price

269.35 EUR
+1.95 (+0.73%)
Last:

This 1MCD.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. 1MCD.MI Profitability Analysis

1.1 Basic Checks

  • 1MCD had positive earnings in the past year.
  • In the past year 1MCD had a positive cash flow from operations.
  • In the past 5 years 1MCD has always been profitable.
  • In the past 5 years 1MCD always reported a positive cash flow from operatings.
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 2025 2B 4B 6B 8B 10B

1.2 Ratios

  • 1MCD has a better Return On Assets (14.39%) than 92.86% of its industry peers.
  • 1MCD has a better Return On Invested Capital (17.76%) than 87.50% of its industry peers.
  • 1MCD had an Average Return On Invested Capital over the past 3 years of 18.24%. This is significantly above the industry average of 11.34%.
Industry RankSector Rank
ROA 14.39%
ROE N/A
ROIC 17.76%
ROA(3y)14.79%
ROA(5y)14.13%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.24%
ROIC(5y)17.58%
1MCD.MI Yearly ROA, ROE, ROIC1MCD.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 -100 -200 -300 -400

1.3 Margins

  • Looking at the Profit Margin, with a value of 31.85%, 1MCD belongs to the top of the industry, outperforming 98.21% of the companies in the same industry.
  • 1MCD's Profit Margin has improved in the last couple of years.
  • 1MCD's Operating Margin of 46.11% is amongst the best of the industry. 1MCD outperforms 98.21% of its industry peers.
  • 1MCD's Operating Margin has improved in the last couple of years.
  • Looking at the Gross Margin, with a value of 57.41%, 1MCD is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
  • In the last couple of years the Gross Margin of 1MCD has grown nicely.
Industry RankSector Rank
OM 46.11%
PM (TTM) 31.85%
GM 57.41%
OM growth 3Y1.1%
OM growth 5Y4.21%
PM growth 3Y6.13%
PM growth 5Y5.28%
GM growth 3Y0.26%
GM growth 5Y2.49%
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 2025 10 20 30 40 50

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4

2. 1MCD.MI Health Analysis

2.1 Basic Checks

  • 1MCD has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • The number of shares outstanding for 1MCD has been reduced compared to 1 year ago.
  • Compared to 5 years ago, 1MCD has less shares outstanding
  • Compared to 1 year ago, 1MCD has an improved debt to assets ratio.
1MCD.MI Yearly Shares Outstanding1MCD.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 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 2025 10B 20B 30B 40B 50B

2.2 Solvency

  • The Debt to FCF ratio of 1MCD is 5.56, which is a neutral value as it means it would take 1MCD, 5.56 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 5.56, 1MCD is in the better half of the industry, outperforming 60.71% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 5.56
Altman-Z N/A
ROIC/WACC2.17
WACC8.19%
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 2025 0 10B 20B 30B 40B

2.3 Liquidity

  • A Current Ratio of 0.95 indicates that 1MCD may have some problems paying its short term obligations.
  • 1MCD has a Current ratio of 0.95. This is comparable to the rest of the industry: 1MCD outperforms 55.36% of its industry peers.
  • A Quick Ratio of 0.95 indicates that 1MCD may have some problems paying its short term obligations.
  • 1MCD has a Quick ratio of 0.95. This is in the better half of the industry: 1MCD outperforms 60.71% of its industry peers.
Industry RankSector Rank
Current Ratio 0.95
Quick Ratio 0.95
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 2025 2B 4B 6B

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4

3. 1MCD.MI Growth Analysis

3.1 Past

  • 1MCD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.01%.
  • The Earnings Per Share has been growing by 15.06% on average over the past years. This is quite good.
  • Looking at the last year, 1MCD shows a small growth in Revenue. The Revenue has grown by 3.73% in the last year.
  • 1MCD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.96% yearly.
EPS 1Y (TTM)4.01%
EPS 3Y6.5%
EPS 5Y15.06%
EPS Q2Q%10.25%
Revenue 1Y (TTM)3.73%
Revenue growth 3Y5.06%
Revenue growth 5Y6.96%
Sales Q2Q%9.72%

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 8.64% on average per year.
  • Based on estimates for the next years, 1MCD will show a small growth in Revenue. The Revenue will grow by 5.11% on average per year.
EPS Next Y9.74%
EPS Next 2Y9.3%
EPS Next 3Y8.76%
EPS Next 5Y8.64%
Revenue Next Year7.7%
Revenue Next 2Y6.73%
Revenue Next 3Y6.15%
Revenue Next 5Y5.11%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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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2

4. 1MCD.MI Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 25.43 indicates a quite expensive valuation of 1MCD.
  • 1MCD's Price/Earnings ratio is a bit cheaper when compared to the industry. 1MCD is cheaper than 60.71% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 24.75. 1MCD is around the same levels.
  • 1MCD is valuated rather expensively with a Price/Forward Earnings ratio of 23.17.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of 1MCD is on the same level as its industry peers.
  • When comparing the Price/Forward Earnings ratio of 1MCD to the average of the S&P500 Index (22.10), we can say 1MCD is valued inline with the index average.
Industry RankSector Rank
PE 25.43
Fwd PE 23.17
1MCD.MI Price Earnings VS Forward Price Earnings1MCD.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Price/Free Cash Flow ratio, 1MCD is valued a bit more expensive than the industry average as 62.50% of the companies are valued more cheaply.
Industry RankSector Rank
P/FCF 30.67
EV/EBITDA N/A
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 an expensive valuation of the company.
  • The excellent profitability rating of 1MCD may justify a higher PE ratio.
PEG (NY)2.61
PEG (5Y)1.69
EPS Next 2Y9.3%
EPS Next 3Y8.76%

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

6

5. 1MCD.MI Dividend Analysis

5.1 Amount

  • 1MCD has a Yearly Dividend Yield of 2.41%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.31, 1MCD pays a bit more dividend than its industry peers.
  • 1MCD's Dividend Yield is a higher than the S&P500 average which is at 1.89.
Industry RankSector Rank
Dividend Yield 2.41%

5.2 History

  • The dividend of 1MCD is nicely growing with an annual growth rate of 7.33%!
Dividend Growth(5Y)7.33%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • 1MCD pays out 59.73% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of 1MCD is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP59.73%
EPS Next 2Y9.3%
EPS Next 3Y8.76%
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 2025 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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1MCD.MI Fundamentals: All Metrics, Ratios and Statistics

MCDONALD'S CORP

BIT:1MCD (3/25/2026, 7:00:00 PM)

269.35

+1.95 (+0.73%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-11
Earnings (Next)04-23
Inst Owners75.45%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap191.35B
Revenue(TTM)26.89B
Net Income(TTM)8.56B
Analysts74.42
Price Target294.54 (9.35%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.41%
Yearly Dividend6.22
Dividend Growth(5Y)7.33%
DP59.73%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.36%
Min EPS beat(2)-4.16%
Max EPS beat(2)1.44%
EPS beat(4)2
Avg EPS beat(4)-0.71%
Min EPS beat(4)-4.16%
Max EPS beat(4)1.44%
EPS beat(8)2
Avg EPS beat(8)-1.24%
EPS beat(12)6
Avg EPS beat(12)1.92%
EPS beat(16)10
Avg EPS beat(16)2.3%
Revenue beat(2)1
Avg Revenue beat(2)0.12%
Min Revenue beat(2)-1.23%
Max Revenue beat(2)1.46%
Revenue beat(4)2
Avg Revenue beat(4)-0.48%
Min Revenue beat(4)-3.22%
Max Revenue beat(4)1.46%
Revenue beat(8)2
Avg Revenue beat(8)-0.94%
Revenue beat(12)5
Avg Revenue beat(12)-0.11%
Revenue beat(16)8
Avg Revenue beat(16)0.13%
PT rev (1m)0%
PT rev (3m)0.86%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)-2.93%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)0.23%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)1.83%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)2.13%
Valuation
Industry RankSector Rank
PE 25.43
Fwd PE 23.17
P/S 8.2
P/FCF 30.67
P/OCF 20.89
P/B N/A
P/tB N/A
EV/EBITDA N/A
EPS(TTM)10.59
EY3.93%
EPS(NY)11.62
Fwd EY4.32%
FCF(TTM)8.78
FCFY3.26%
OCF(TTM)12.89
OCFY4.79%
SpS32.86
BVpS-2.19
TBVpS-2.19
PEG (NY)2.61
PEG (5Y)1.69
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 14.39%
ROE N/A
ROCE 22.48%
ROIC 17.76%
ROICexc 18.02%
ROICexgc 18.02%
OM 46.11%
PM (TTM) 31.85%
GM 57.41%
FCFM 26.72%
ROA(3y)14.79%
ROA(5y)14.13%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.24%
ROIC(5y)17.58%
ROICexc(3y)19.09%
ROICexc(5y)18.62%
ROICexgc(3y)20.28%
ROICexgc(5y)19.98%
ROCE(3y)23.13%
ROCE(5y)22.28%
ROICexgc growth 3Y-3.89%
ROICexgc growth 5Y4.57%
ROICexc growth 3Y-0.99%
ROICexc growth 5Y6.34%
OM growth 3Y1.1%
OM growth 5Y4.21%
PM growth 3Y6.13%
PM growth 5Y5.28%
GM growth 3Y0.26%
GM growth 5Y2.49%
F-Score6
Asset Turnover0.45
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 5.56
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales 12.52%
Interest Coverage 250
Cash Conversion N/A
Profit Quality 83.91%
Current Ratio 0.95
Quick Ratio 0.95
Altman-Z N/A
F-Score6
WACC8.19%
ROIC/WACC2.17
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)10.82%
Cap/Sales(5y)9.89%
Profit Quality(3y)83.57%
Profit Quality(5y)86.73%
High Growth Momentum
Growth
EPS 1Y (TTM)4.01%
EPS 3Y6.5%
EPS 5Y15.06%
EPS Q2Q%10.25%
EPS Next Y9.74%
EPS Next 2Y9.3%
EPS Next 3Y8.76%
EPS Next 5Y8.64%
Revenue 1Y (TTM)3.73%
Revenue growth 3Y5.06%
Revenue growth 5Y6.96%
Sales Q2Q%9.72%
Revenue Next Year7.7%
Revenue Next 2Y6.73%
Revenue Next 3Y6.15%
Revenue Next 5Y5.11%
EBIT growth 1Y4.59%
EBIT growth 3Y6.22%
EBIT growth 5Y11.46%
EBIT Next Year26.97%
EBIT Next 3Y12.73%
EBIT Next 5Y9.78%
FCF growth 1Y7.67%
FCF growth 3Y9.4%
FCF growth 5Y9.21%
OCF growth 1Y11.66%
OCF growth 3Y12.62%
OCF growth 5Y10.98%

MCDONALD'S CORP / 1MCD.MI Fundamental Analysis FAQ

What is the fundamental rating for 1MCD stock?

ChartMill assigns a fundamental rating of 5 / 10 to 1MCD.MI.


What is the valuation status for 1MCD stock?

ChartMill assigns a valuation rating of 2 / 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 25.43 and the Price/Book (PB) ratio is -123.04.


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 9.74% in the next year.