McDonald's stock: fundamental analysis
Stocks · MCD · Consumer Cyclical
McDonald's Corporation owns, operates, and franchises restaurants under the McDonald's brand in the United States and internationally. Below are its fundamentals, explained in the order worth reading them: business quality, debt, growth and, last, whether the price is reasonable.
- Price: 248.24 USD
- Market cap: 175.7B USD
Data as of September 18, 2026 · Yahoo Finance
Quick read
Business quality
No ROE available: McDonald's has negative equity or the figure is not published, which is common in companies with large buybacks.
Financial health
Net debt/EBITDA of 3.6x: moderate leverage, manageable for stable businesses such as utilities or infrastructure.
Growth
Revenue is growing 3.7% year on year: modest growth. Earnings are up 5.7%.
Valuation
It trades at a P/E of 20.2, in line with the 20.4 median of the consumer cyclical companies we track. On expected earnings the P/E falls to 17.8: the market expects profits to rise.
Dividend
Dividend yield of 3.0% (7.44 USD per share per year) with a payout ratio of 59.7%.
Tools
All metrics
| McDonald's | Sector median | |
|---|---|---|
| Business quality | ||
| ROE | — | 26.4% |
| ROA | 13.3% | 7.0% |
| Gross margin | 57.4% | 50.8% |
| Operating margin | 46.5% | 13.7% |
| Net margin | 31.7% | 8.4% |
| Financial health | ||
| Net debt/EBITDA | 3.6x | 2.5x |
| Debt/equity | — | 0.6x |
| Current ratio | 1.1x | 1.2x |
| Growth | ||
| Revenue growth | 3.7% | 7.4% |
| Earnings growth | 5.7% | 8.0% |
| Valuation | ||
| P/E ratio | 20.2x | 20.4x |
| Forward P/E | 17.8x | 18.7x |
| EV/EBITDA | 15.4x | 15.4x |
| Price/book | — | 7.0x |
| FCF yield | 3.6% | 3.6% |
| Dividend | ||
| Dividend yield | 3.0% | 3.1% |
| Payout ratio | 59.7% | 59.7% |
| Beta (volatility) | 0.4x | 1.0x |
Frequently asked questions
What is McDonald's's P/E ratio?
McDonald's's P/E is 20.2 based on trailing 12-month earnings and 17.8 on expected earnings. The median for its sector among the companies we track is 20.4. Data as of September 18, 2026.
What dividend does McDonald's pay?
Dividend yield of 3.0% (7.44 USD per share per year) with a payout ratio of 59.7%.
Is McDonald's stock expensive?
It trades at a P/E of 20.2, in line with the 20.4 median of the consumer cyclical companies we track. On expected earnings the P/E falls to 17.8: the market expects profits to rise. This is an educational reading based on ratios, not a buy or sell recommendation.
Does McDonald's have a lot of debt?
Net debt/EBITDA of 3.6x: moderate leverage, manageable for stable businesses such as utilities or infrastructure.
What is McDonald's's market cap?
McDonald's has a market cap of 175.7B USD and its shares trade at 248.24 USD, with a 52-week range of 247.65 USD to 341.75 USD (data as of September 18, 2026).
Other companies in the sector
Trailing 12-month metrics. Educational content, not investment advice.