McDonald’s Corporation (MCD)vsOccidental Petroleum Corporation (OXY)
MCD
McDonald’s Corporation
$311.70
+1.25%
CONSUMER CYCLICAL · Cap: $219.68B
OXY
Occidental Petroleum Corporation
$61.85
+0.98%
ENERGY · Cap: $60.74B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 25% more annual revenue ($26.88B vs $21.59B). MCD leads profitability with a 31.9% profit margin vs 10.8%. MCD appears more attractively valued with a PEG of 2.74. OXY earns a higher WallStSmart Score of 53/100 (C-).
MCD
Buy53
out of 100
Grade: C-
OXY
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-31.1%
Fair Value
$237.84
Current Price
$311.70
$73.86 premium
Margin of Safety
-414.6%
Fair Value
$9.18
Current Price
$61.85
$52.67 premium
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
Revenue surging 148.9% year-over-year
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.9B 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 5.9% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
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 : OXY
The strongest argument for OXY centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 148.9% demonstrates continued momentum.
Bear Case : MCD
The primary concerns for MCD are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : OXY
The primary concerns for OXY are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 45.4x leaves little room for execution misses.
Key Dynamics to Monitor
MCD profiles as a mature stock while OXY is a growth play — different risk/reward profiles.
MCD carries more volatility with a beta of 0.50 — expect wider price swings.
OXY is growing revenue faster at 148.9% — sustainability is the question.
OXY generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
MCD scores higher overall (53/100 vs 53/100), backed by strong 31.9% margins. Both earn "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.
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 →Occidental Petroleum Corporation
ENERGY · OIL & GAS E&P · USA
Occidental Petroleum Corporation is an American company engaged in hydrocarbon exploration in the United States, the Middle East, and Colombia as well as petrochemical manufacturing in the United States, Canada, and Chile.
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