McDonald's Corporation (MCD) stock analysis
Company overview and business model
Source fact: McDonald's Corporation owns, operates, and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, frozen desserts, sundaes, soft serve cones, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions. The company owns and operates franchised restaurants under various structures, including conventional franchise, developmental license, or affiliate. McDonald's Corporation was founded in 1940 and is based in Chicago, Illinois.
Classification: NYSE · Consumer Cyclical · Restaurants
Revenue and growth
Source fact: Revenue was USD 26.89 billion for the period ending 2025-12-31.
Caverian calculation: Revenue changed +3.7% (FY2025 vs FY2024).
Profitability
Source fact: Net income was USD 8.56 billion in the latest reported period.
Source metric: Reported net margin was 31.9%.
Balance sheet and liquidity
Source fact: Cash and equivalents were USD 774.00 million.
Source fact: Total debt was USD 54.81 billion.
Source metric: Current ratio was 0.95x.
Cash-flow analysis
Source fact: Operating cash flow was USD 10.55 billion.
Source fact: Free cash flow was USD 7.19 billion.
Valuation
Source metrics: Trailing P/E 22.16x; Forward P/E 19.50x; Price to sales 6.97x; EV/EBITDA 16.53x.
Caverian model output: Value score was 40/100.
Competitive position
Classification: Peer context: Restaurants within Consumer Cyclical.
Caverian model output: Quality score was 67/100.
Caverian model output: Growth score was 62/100.
Material risks
Caverian model interpretation: Watch out: short-term cash may not cover short-term bills.
Caverian calculation: Altman Z-score was 4.68 (safe zone).
Caverian calculation: Piotroski F-score was 6/9.
Data sources and freshness
Freshness: This report uses a stored upstream snapshot; statement periods are shown alongside the figures.
Methodology and limitations
Facts reproduce stored upstream fields. Calculations derive only from the displayed stored statements. Model outputs are Caverian interpretations, not investment advice or a buy/sell recommendation.
How Caverian approaches valuation · Sources and product principles