MCD

$323.48

Public overview and default valuation.

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Valuation Details
Default assumptions: 10Y forecast, 9% market return, 2.5% terminal growth, 2.29% trendline growth.
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$425.99

With 20% Margin of Safety (MoS):

$340.79
5.35% upside
Capital Efficiency
Average Quarterly ROIC
6.82%
Cost of Capital (estimated)7%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.
Fundamental Score
57
NeutralWeighted across 6 signals
DCF Discount
5.4% discount to price
59
FCF Yield
5.9% trailing FCF yield
97
ROIC vs WACC
ROIC 6.8% vs WACC 7.0% (1.0x)
49
Net Debt / FCF
2.9x net debt to FCF
4
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
5.3% 5Y FCF CAGR
51
Strengths: FCF Yield, Buybacks. Concerns: Net Debt / FCF.
Narrative Score
72
Improving
Weighted across 6 recent drivers · Last 30 days+6 vs previous · +1 new driversVs 6-Month Baseline: High (100th pct)
Trend: Improving upConfidence: 100%Updated: 4h ago
Sources: 141 (News 133 · Analyst 8)
Drivers
81 news sentiment+2.2
49 regulatory scrutiny-0.8
Margin pressure+0.6
2 analyst upgrades+0.2
Earnings beat+0.1
Legal risk-0.0
Other Metrics
P/E27.4
Profit Margin32.0%
Owner Earnings$13.70b
One Dollar Premise61.00%
Debt/Equity-20.03
Current Ratio1.15
PEG64.291
Free Cash Flow (in millions)
20052006200720082009201020112012201320142015201620172018201920202021202220232024
$5,944$6,083$6,823$8,053$7,703$8,477$9,880$10,015$9,945$9,314$8,353$7,881$7,405$9,708$10,516$7,906$11,182$9,286$11,969$13,598
How Intrinziq Estimates Fair Value

Intrinziq estimates McDonald's Corporation's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

McDonald's CorporationConsumer Cyclical

McDonald's Corporation operates and franchises McDonald's restaurants in the United States and internationally. Its restaurants offer hamburgers and cheeseburgers, chicken sandwiches and nuggets, wraps, fries, salads, oatmeal, shakes, desserts, sundaes, soft serve cones, bakery items, soft drinks, coffee, and beverages and other beverages, as well as breakfast menu, including biscuit and bagel sandwiches, breakfast burritos, hotcakes, and other sandwiches. As of December 31, 2021, the company operated 40,031 restaurants. McDonald's Corporation was founded in 1940 and is headquartered in Chicago, Illinois.

Last updated: Feb 06, 2026
Data sources: Financial Modeling Prep
This valuation is based on assumptions and publicly available data. It is not financial advice or a recommendation to buy or sell any security. Always do your own research before making investment decisions.