McDonald’s Corporation (MCD)vsPetroleo Brasileiro Petrobras SA ADR (PBR)
MCD
McDonald’s Corporation
$279.84
+0.01%
CONSUMER CYCLICAL · Cap: $196.36B
PBR
Petroleo Brasileiro Petrobras SA ADR
$17.75
+0.77%
ENERGY · Cap: $117.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Petroleo Brasileiro Petrobras SA ADR generates 1715% more annual revenue ($498.09B vs $27.45B). MCD leads profitability with a 31.6% profit margin vs 21.6%. MCD appears more attractively valued with a PEG of 2.53. PBR earns a higher WallStSmart Score of 66/100 (B-).
MCD
Buy55
out of 100
Grade: C-
PBR
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-85.8%
Fair Value
$150.63
Current Price
$279.84
$129.21 premium
Margin of Safety
+89.6%
Fair Value
$176.60
Current Price
$17.75
$158.85 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 44.3%
Conservative balance sheet, low leverage
Large-cap with strong market position
Generating 1.7B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 32.0%
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Keeps 22 of every $100 in revenue as profit
Areas to Watch
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
0.4% revenue growth
Expensive relative to growth rate
Earnings declined 7.2%
Comparative Analysis Report
WallStSmart ResearchBull 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 44.3%.
Bull Case : PBR
The strongest argument for PBR centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 21.6% and operating margin at 32.0%.
Bear Case : MCD
The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.
Bear Case : PBR
The primary concerns for PBR are Revenue Growth, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
MCD profiles as a mature stock while PBR is a value play — different risk/reward profiles.
MCD carries more volatility with a beta of 0.44 — expect wider price swings.
MCD is growing revenue faster at 9.4% — sustainability is the question.
PBR generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
PBR scores higher overall (66/100 vs 55/100), backed by strong 21.6% margins. Both earn "Strong 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 →Petroleo Brasileiro Petrobras SA ADR
ENERGY · OIL & GAS INTEGRATED · USA
Petrleo Brasileiro SA - Petrobras produces and sells oil and gas in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.
Visit Website →Compare with Other RESTAURANTS Stocks
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