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. | $264.14 | -1.15% | $2.84T | 31.29 |
TSLA Tesla Inc. | $422.24 | -4.75% | $1.59T | 410.62 |
HD Home Depot Inc. | $297.51 | -2.25% | $296.33B | 20.93 |
SBUX Starbucks Corporation | $106.81 | +0.39% | $121.74B | 81.39 |
GM General Motors | $74.86 | -3.72% | $67.50B | 26.60 |
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 has highlighted growing pressure on low income consumers as inflation and rising gas prices squeeze household budgets. The company sees signs that these customers are rethinking discretionary spending, including visits to McDonald's, which could affect its value focused offerings. Investors in NYSE:MCD are watching how these consumer trends could influence demand patterns and pricing decisions. For investors tracking NYSE:MCD, the comments land at a time when the stock has...
A number of stocks traded in opposite directions in the afternoon session after April CPI came in hot at 3.8% year-over-year and Brent oil rose to ~$107, deepening the consumer income squeeze that was already visible in restaurant sales.
MCD's Q1 sales momentum remains strong, but weaker U.S. company-run margins put pricing, costs and ownership mix in focus.
CNBC's "Power Lunch" team discusses whether the market is running out of steam, investment strategy and more Dan Niles, founder of Niles Investment Management.
Benzinga viewers share where they are changing their spending habits with soaring gas prices.
The cost of consuming beef is going to cost you more.
McDonald’s Corporation (NYSE:MCD) is one of the 10 Best Depressed Stocks to Buy in 2026. On May 11, 2026, JPMorgan lowered the firm’s price target on McDonald’s Corporation (NYSE:MCD) to $305 from $325 while maintaining an Overweight rating on the shares following the company’s Q1 report. The firm reduced its same-store sales estimates to reflect […]
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