McDonald's Corporation
NASDAQ: MCDKey stats
Price chart
About McDonald's Corporation
Hotels, Restaurants & Leisure
Company profile
- IPO date
- Apr 21, 1965
- Website
- www.mcdonalds.com
Consumer Discretionary peers
How MCD compares to other large companies in the same sector.
| Company | Price | Today | Market cap | P/E |
|---|---|---|---|---|
 AMZN Amazon.com Inc. | $238.40 | +2.03% | $2.56T | 32.95 |
 TSLA Tesla Inc. | $348.97 | +0.97% | $1.31T | 345.13 |
 HD Home Depot Inc. | $337.36 | -0.65% | $335.99B | 23.74 |
 SBUX Starbucks Corporation | $96.62 | -0.31% | $110.06B | 80.39 |
 GM General Motors | $76.44 | -0.38% | $69.08B | 25.63 |
Wall Street analyst ratings
DollarScout analysis
Editorial, not advice. See our methodology.
Bull case
McDonald's benefits from an unmatched global brand presence and widespread customer loyalty. The P/E ratio of 25.36 may seem high, but it's fair for a company with steady revenue growth and strong profit margins. McDonald's reinvestment into technology, such as digital kiosks and delivery partnerships, enhances customer convenience and adds to their revenue streams. The robustness of its business model, targeting both value-seeking and premium customers with its broad menu, supports market share growth even in competitive landscapes. Its dividend yield of 2.3555% appeals to income-focused investors, offering regular cash returns that are difficult to find in today's market.
Bear case
Despite its strong industry position, McDonald's faces notable risks that could impact performance. The competitive landscape in fast food is fierce, with competitors like Burger King and Wendy's constantly innovating and capturing market dynamics. The P/E ratio of 25.36 could also raise eyebrows as it implies high growth expectations, which might be challenged by saturation in mature markets. Additionally, McDonald's must navigate rising operational costs, including labor and food ingredients, which could pressure profit margins. As a consumer discretionary stock, its performance heavily depends on economic conditions and consumer spending, which can be volatile.
Who should buy MCD
McDonald's is ideal for long-term dividend investors who seek a reliable income stream and are willing to ride out short-term market fluctuations. It's also suitable for those who want retail exposure without extreme volatility, as indicated by its beta of 0.5137, which suggests lower risk compared to the overall market.
Key risks
- Increasing competition from other fast-food chains and emerging healthy dining options. - Potential rising costs, including wages and raw materials, affecting profit margins. - Dependence on stable macro-economic conditions; any downturn could affect consumer spending. - Execution risks in digital transformation initiatives that may not yield expected returns.
Where to buy MCD
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Recent MCD news
McDonald’s CEO Chris Kempczinski’s on-camera tasting of the new Big Arch burger has gone viral, triggering social media debate, memes, and responses from rival chains. The KPop Demon Hunters meal tie in has sparked strong demand for limited run collectibles, with some items already being flipped on secondary markets. Ticker: NYSE:MCD, recent data show a last close of $305.68, with a 3 year return of 13.4% and a 5 year return of 46.9%. For investors watching NYSE:MCD, these pop culture...
The "burger wars" of the 1980s, which featured fierce marketing campaigns by McDonald's, Burger King, and Wendy's, have a new appearance today with some different players. Burger chains are battling economic challenges today, closing underperforming locations and, in some cases, filing for ...
Have you ever had a fast-food item so good that you kept thinking about it years after it disappeared? It has happened to most of us at some point. This time, many Wendy's Company (WEN) fans have found themselves in exactly that situation. And now, the company is finally responding. Founded ...
SAO PAULO, April 11 (Reuters) - For Chinese ice cream and beverage chain Mixue, which already has more stores than Starbucks or McDonald's, a cheerful snowman mascot on Sao Paulo's most famous avenue signals a new phase of its global expansion. Mixue's first Brazilian location, opening on Saturday, marks the brand's arrival in South America amid a fresh tide of Chinese investment, building on economic ties that have already displaced the U.
IBM agrees to pay $17 million to settle federal allegations related to DEI hiring practices, marking the first resolution under the DOJ's Civil Rights Fraud Initiative.
McDonald's has made value a major message for the chain as consumers have started to see fast food as indulgence, not a cheap dining option. "Fast food meals with prices in the single digits may soon be a thing of the past, especially in the largest U.S. metros, where prices are putting them out of ...
Yahoo Finance's "Market Madness" bracket tournament is rounding out its Final Four pairings, as Alphabet (GOOG, GOOGL) prepares to go head-to-head with Walmart (WMT) to determine who will be competing with Amazon (AMZN) in the finals. Asterozoa Capital CIO Joe Hegener decides who will move on to the finals as large-cap tech titan Alphabet steps up to retail colossus Walmart in this clash of the corporations.
Does Warren Buffett own McDonald’s stock? A look at Berkshire Hathaway’s portfolio and what it reveals about Buffett’s fast food investing strategy.
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