# McDonald's Corporation (MCD) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Hotels, Restaurants & Leisure. Price $255.69, market value $180.9 billion.

## Valuation
- **P/E (trailing): 20.8×** (5-yr avg 25.4×, 3-yr avg 24.7×). McDonald's Corporation trades at 20.8× trailing earnings, close to its own five-year average of 25.4×. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 18.3×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 3.72**. A PEG of 3.72 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 6.5×**. Each dollar of revenue is priced at 6.5×.
- **EV / EBITDA: 16.6×**. Enterprise value is 16.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 4.3%** (5-yr avg 3.4%). Free cash flow equals 4.3% of the market value, above its five-year average of 3.4%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 4.8%**. The inverse of the P/E: 4.8% of the price is earned each year.

## Profitability
- **Operating margin: 46.2%**. 46.2% of revenue is left after running the business, an exceptional level.
- **Net margin: 31.9%**. 31.9% of each dollar of sales reaches the bottom line.
- **Return on equity: -478.1%**. Return on equity is negative because earnings are negative.
- **Return on invested capital: 26.5%**. Return on all capital, debt included, is 26.5%: comfortably above what that capital costs.
- **Return on assets: 14.8%**. Each dollar of assets produces 14.8% of profit.

## Growth
- **Revenue growth (1 yr): 3.7%** (3-yr 5.1%/yr, 5-yr 7.0%/yr). Revenue grew 3.7% over the last year, against 7.0% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 4.9%** (3-yr 12.8%/yr, 5-yr 13.6%/yr). Earnings per share rose 4.9%, roughly in step with revenue.
- **Free-cash-flow growth (3 yr): 9.4%/yr**. Free cash flow has compounded at 9.4% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Net debt / EBITDA: 3.0×**. It would take 3.0 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 2.91%** ($7.35 per share, trailing). McDonald's Corporation yields 2.91%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 60%** (67% of free cash flow). 60% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 7.3%/yr** (1-yr 5.8%). The dividend has grown 7.3% a year over five years.

## Analyst view
- **Analyst consensus: buy** (31 analysts). 31 analysts cover McDonald's Corporation; the consensus is buy, with an average price target of $315.39 (+23% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -17.8%** (YTD -15.3%, 3-mo -8.6%). The shares are down 17.8% over twelve months including dividends.
- **From 52-week high: -25.2%** (0.1% above the low). Trading 25% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 34**. An RSI of 34 is neutral.
- **Beta (1 yr): -0.01** (volatility 19%). Beta of -0.01 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=MCD · Page: https://foliofundamentals.com/stocks/mcd

Not investment advice.