McDonalds Fundamentals

MCD
 Stock
  

USD 273.04  0.25  0.09%   

McDonalds fundamentals help investors to digest information that contributes to McDonalds' financial success or failures. It also enables traders to predict the movement of McDonalds Stock. The fundamental analysis module provides a way to measure McDonalds' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to McDonalds stock.
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McDonalds Cost of Revenue is projected to decrease significantly based on the last few years of reporting. The past year's Cost of Revenue was at 10.38 Billion. The current year Earning Before Interest and Taxes EBIT is expected to grow to about 10.4 B, whereas Interest Expense is forecasted to decline to about 1.1 B.

McDonalds Shares Owned by Insiders Analysis

McDonalds' Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.
 2019 2020 2021 2022 (projected)
Consolidated Income6.03 B4.73 B7.55 B7.13 B
Direct Expenses7.76 B7.25 B8.31 B11.25 B
Insiders Shares 
 = 
Executives Shares 
Employees 
More About Shares Owned by Insiders | All Equity Analysis

Current McDonalds Shares Owned by Insiders

    
  0.16 %  
Most of McDonalds' fundamental indicators, such as Shares Owned by Insiders, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, McDonalds is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.
Compare to competition

Based on the latest financial disclosure, 0.16% of McDonalds are shares owned by insiders. This is 98.84% lower than that of the Hotels, Restaurants & Leisure sector and 98.27% lower than that of the Consumer Discretionary industry. The shares owned by insiders for all United States stocks is 98.41% higher than that of the company.

McDonalds Fundamental Drivers Relationships

Comparative valuation techniques use various fundamental indicators to help in determining McDonalds's current stock value. Our valuation model uses many indicators to compare McDonalds value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across McDonalds competition to find correlations between indicators driving McDonalds's intrinsic value. More Info.
McDonalds is considered to be number one stock in total asset category among related companies. It is considered to be number one stock in short ratio category among related companies . The ratio of Total Asset to Short Ratio for McDonalds is about  28,213,894,737 . Comparative valuation analysis is a catch-all model that can be used if you cannot value McDonalds by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for McDonalds' Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the McDonalds' earnings, one of the primary drivers of an investment's value.

McDonalds Shares Owned by Institutions Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses McDonalds' direct or indirect competition against its Shares Owned by Institutions to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of McDonalds could also be used in its relative valuation, which is a method of valuing McDonalds by comparing valuation metrics of similar companies.
McDonalds is currently under evaluation in shares owned by institutions category among related companies.

McDonalds Current Valuation Drivers

We derive many important indicators used in calculating different scores of McDonalds from analyzing McDonalds' financial statements. These drivers represent accounts that assess McDonalds' ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of McDonalds' important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee22.09 K28.21 K29.39 K23.59 K37.73 K40.7 K
Revenue Per Employee97.11 K100.12 K102.81 K95.78 K116.11 K94.59 K
Average Assets32.82 B33.32 B46.5 B50.96 B52.39 B49.73 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA10.54 B9.95 B10.38 B8.71 B11.67 B10.24 B
Earnings Before Interest Taxes and Depreciation Amortization USD10.86 B10.28 B10.76 B9.11 B12.18 B12.26 B
Earnings before Tax8.57 B7.82 B8.02 B6.14 B9.13 B9.27 B
Average Equity(2.69 B)(5.91 B)(7.54 B)(8.76 B)(5.83 B)(5.98 B)
Enterprise Value163.16 B166.21 B193.08 B207.49 B244.82 B215.54 B
Free Cash Flow3.86 B4.39 B5.88 B4.65 B7.21 B6.54 B
Invested Capital55.61 B57.72 B87.87 B91.69 B91.69 B82.18 B
Invested Capital Average53.26 B57.19 B84.86 B90.14 B90.7 B80.68 B
Market Capitalization137.21 B136.89 B148.82 B159.89 B200.31 B177.62 B
Tangible Asset Value31.42 B30.48 B44.83 B49.85 B51.07 B47.93 B
Working Capital2.44 B1.08 B(63.1 M)62 M3.13 B3.38 B

McDonalds ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, McDonalds' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to McDonalds' managers, analysts, and investors.
Environment Score
Governance Score
Social Score

McDonalds Fundamentals

About McDonalds Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze McDonalds's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of McDonalds using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of McDonalds based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Last ReportedProjected for 2022
Deferred Revenue738.3 M783.5 M
Cost of Revenue10.4 B11.2 B
Revenues23.2 B26.3 B
Revenue to Assets 0.43  0.61 
Revenue Per Employee116.1 K94.6 K

McDonalds Investors Sentiment

The influence of McDonalds' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in McDonalds. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.
Investor biases related to McDonalds' public news can be used to forecast risks associated with investment in McDonalds. The trend in average sentiment can be used to explain how an investor holding McDonalds can time the market purely based on public headlines and social activities around McDonalds. Please note that most equiteis that are difficult to arbitrage are affected by market sentiment the most.
McDonalds' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for McDonalds' and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average McDonalds' news discussions. The higher the estimated score, the more favorable is the investor's outlook on McDonalds.

McDonalds Implied Volatility

    
  35.07  
McDonalds' implied volatility exposes the market's sentiment of McDonalds stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if McDonalds' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that McDonalds stock will not fluctuate a lot when McDonalds' options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards McDonalds in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, McDonalds' short interest history, or implied volatility extrapolated from McDonalds options trading.

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Macroaxis puts the power of mathematics on your side. We analyze your portfolios and positions such as McDonalds using complex mathematical models and algorithms, but make them easy to understand. There is no real person involved in your portfolio analysis. We perform a number of calculations to compute absolute and relative portfolio volatility, correlation between your assets, value at risk, expected return as well as over 100 different fundamental and technical indicators.

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Additionally, see McDonalds Piotroski F Score and McDonalds Altman Z Score analysis. Note that the McDonalds information on this page should be used as a complementary analysis to other McDonalds' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Technical Analysis module to check basic technical indicators and analysis based on most latest market data.

Complementary Tools for McDonalds Stock analysis

When running McDonalds price analysis, check to measure McDonalds' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy McDonalds is operating at the current time. Most of McDonalds' value examination focuses on studying past and present price action to predict the probability of McDonalds' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move McDonalds' price. Additionally, you may evaluate how the addition of McDonalds to your portfolios can decrease your overall portfolio volatility.
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Is McDonalds' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of McDonalds. If investors know McDonalds will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about McDonalds listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
(0.06) 
Market Capitalization
199.8 B
Quarterly Revenue Growth YOY
(0.05) 
Return On Assets
0.13
The market value of McDonalds is measured differently than its book value, which is the value of McDonalds that is recorded on the company's balance sheet. Investors also form their own opinion of McDonalds' value that differs from its market value or its book value, called intrinsic value, which is McDonalds' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because McDonalds' market value can be influenced by many factors that don't directly affect McDonalds' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between McDonalds' value and its price as these two are different measures arrived at by different means. Investors typically determine McDonalds value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, McDonalds' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.