December 06, 2025 a 07:43 am
MCD: Fundamental Ratio Analysis - McDonald's Corporation
The McDonald's Corporation, a leader in the restaurant industry, demonstrates consistent operational performance across its 40,031 outlets globally. Despite challenges in the fast-food sector, McDonald's has maintained operational resilience and the stock has shown a stable performance. The company's diverse menu and international presence continue to support its strong market position.
Fundamental Rating
McDonald's Corporation holds a B- rating based on several financial metrics. The overall score suggests moderate strength, with variability across individual metrics.
| Category | Score | Visualization |
|---|---|---|
| Discounted Cash Flow | 5 | |
| Return on Equity | 1 | |
| Return on Assets | 5 | |
| Debt to Equity | 1 | |
| Price to Earnings | 2 | |
| Price to Book | 1 |
Historical Rating
The historical performance of McDonald's shows a consistent overall score, with minor fluctuations in individual financial metrics.
| Date | Overall | DCF | ROE | ROA | Debt/Equity | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2025-12-05 | 3 | 5 | 1 | 5 | 1 | 2 | 1 |
| --/--/---- | 0 (N/A) | 5 | 1 | 5 | 1 | 2 | 1 |
Analyst Price Targets
Analysts suggest a bullish outlook for McDonald's, with price targets reflecting anticipated growth potential.
| High | Low | Median | Consensus |
|---|---|---|---|
| $362 | $295 | $325 | $325.22 |
Analyst Sentiment
Analyst sentiment largely favors McDonald's with a majority of 'Buy' recommendations, indicating confidence in the company's market position and future prospects.
| Recommendation | Count | Bar |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 35 | |
| Hold | 25 | |
| Sell | 1 | |
| Strong Sell | 0 |
Conclusion
McDonald's Corporation stands strong as a key player in the restaurant industry, driven by an expansive global footprint and a diverse product offering. The stock's performance is supported by a solid financial structure and favorable analyst ratings. However, potential risks include market saturation and fluctuating economic conditions. Long-term growth is promising, though contingent upon strategic adaptation to evolving consumer preferences.