McDonald’s Corporation (MCD)vsOmnicom Group Inc (OMC)
MCD
McDonald’s Corporation
$311.70
+1.25%
CONSUMER CYCLICAL · Cap: $219.68B
OMC
Omnicom Group Inc
$75.74
+0.46%
COMMUNICATION SERVICES · Cap: $23.72B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 56% more annual revenue ($26.88B vs $17.27B). MCD leads profitability with a 31.9% profit margin vs -0.3%. MCD appears more attractively valued with a PEG of 2.74. MCD earns a higher WallStSmart Score of 53/100 (C-).
MCD
Buy53
out of 100
Grade: C-
OMC
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-31.1%
Fair Value
$237.84
Current Price
$311.70
$73.86 premium
Intrinsic value data unavailable for OMC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 45.1%
Conservative balance sheet, low leverage
Generating 1.6B in free cash flow
Reasonable price relative to book value
Revenue surging 27.9% year-over-year
Generating 3.0B in free cash flow
Areas to Watch
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
ROE of 0.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Earnings declined 10.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : MCD
The strongest argument for MCD centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 31.9% and operating margin at 45.1%.
Bull Case : OMC
The strongest argument for OMC centers on Price/Book, Revenue Growth, Free Cash Flow. Revenue growth of 27.9% demonstrates continued momentum.
Bear Case : MCD
The primary concerns for MCD are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : OMC
The primary concerns for OMC are Return on Equity, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
MCD profiles as a mature stock while OMC is a growth play — different risk/reward profiles.
OMC carries more volatility with a beta of 0.71 — expect wider price swings.
OMC is growing revenue faster at 27.9% — sustainability is the question.
OMC generates stronger free cash flow (3.0B), providing more financial flexibility.
Bottom Line
MCD scores higher overall (53/100 vs 49/100), backed by strong 31.9% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Visit Website →Omnicom Group Inc
COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA
Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City.
Visit Website →Compare with Other RESTAURANTS Stocks
Want to dig deeper into these stocks?