McDonald’s Corporation (MCD)vsPetróleo Brasileiro S.A. - Petrobras (PBR-A)
MCD
McDonald’s Corporation
$275.75
-2.80%
CONSUMER CYCLICAL · Cap: $195.92B
PBR-A
Petróleo Brasileiro S.A. - Petrobras
$18.67
-0.48%
ENERGY · Cap: $131.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Petróleo Brasileiro S.A. - Petrobras generates 1713% more annual revenue ($497.55B vs $27.45B). MCD leads profitability with a 31.6% profit margin vs 22.1%. MCD appears more attractively valued with a PEG of 2.55. PBR-A earns a higher WallStSmart Score of 67/100 (B-).
MCD
Buy55
out of 100
Grade: C-
PBR-A
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-80.4%
Fair Value
$157.30
Current Price
$275.75
$118.45 premium
Intrinsic value data unavailable for PBR-A.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Attractively priced relative to earnings
Reasonable price relative to book value
Large-cap with strong market position
Every $100 of equity generates 28 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 26.9%
Areas to Watch
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
0.5% earnings growth
Expensive relative to growth rate
Distress zone — elevated risk
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 45.3%.
Bull Case : PBR-A
The strongest argument for PBR-A centers on P/E Ratio, Price/Book, Market Cap. Profitability is solid with margins at 22.1% and operating margin at 26.9%.
Bear Case : MCD
The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.
Bear Case : PBR-A
The primary concerns for PBR-A are EPS Growth, PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
MCD profiles as a mature stock while PBR-A 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-A generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
PBR-A scores higher overall (67/100 vs 55/100), backed by strong 22.1% 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 →Petróleo Brasileiro S.A. - Petrobras
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
Want to dig deeper into these stocks?