Citigroup Inc. (C)vsMcDonald’s Corporation (MCD)
C
Citigroup Inc.
$125.55
-2.74%
FINANCIAL SERVICES · Cap: $225.82B
MCD
McDonald’s Corporation
$275.75
-2.80%
CONSUMER CYCLICAL · Cap: $195.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Citigroup Inc. generates 187% more annual revenue ($78.73B vs $27.45B). MCD leads profitability with a 31.6% profit margin vs 20.4%. C appears more attractively valued with a PEG of 0.71. C earns a higher WallStSmart Score of 82/100 (A-).
C
Exceptional Buy82
out of 100
Grade: A-
MCD
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for C.
Margin of Safety
-80.4%
Fair Value
$157.30
Current Price
$275.75
$118.45 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Reasonable price relative to book value
Strong operational efficiency at 34.1%
Earnings expanding 56.1% YoY
Keeps 20 of every $100 in revenue as profit
Growing faster than its price suggests
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 45.3%
Conservative balance sheet, low leverage
Large-cap with strong market position
Generating 1.6B in free cash flow
Areas to Watch
ROE of 7.7% — below average capital efficiency
Negative free cash flow — burning cash
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : C
The strongest argument for C centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 20.4% and operating margin at 34.1%. Revenue growth of 16.9% demonstrates continued momentum.
Bull Case : MCD
The strongest argument for MCD centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 31.6% and operating margin at 45.3%.
Bear Case : C
The primary concerns for C are Return on Equity, Free Cash Flow.
Bear Case : MCD
The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
C profiles as a growth stock while MCD is a mature play — different risk/reward profiles.
C carries more volatility with a beta of 1.12 — expect wider price swings.
C is growing revenue faster at 16.9% — sustainability is the question.
MCD generates stronger free cash flow (1.6B), providing more financial flexibility.
Bottom Line
C scores higher overall (82/100 vs 55/100), backed by strong 20.4% margins and 16.9% revenue growth. Both earn "Exceptional Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Citigroup Inc.
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Citigroup Inc. is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomerate Travelers Group in 1998; Travelers was subsequently spun off from the company in 2002. Citigroup owns Citicorp, the holding company for Citibank, as well as several international subsidiaries. Citigroup is incorporated in Delaware.
McDonald’s Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
McDonald's Corporation is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States. They rechristened their business as a hamburger stand, and later turned the company into a franchise, with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona.
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