McDonald’s Corporation (MCD)vsPPG Industries Inc (PPG)
MCD
McDonald’s Corporation
$275.75
-2.80%
CONSUMER CYCLICAL · Cap: $195.92B
PPG
PPG Industries Inc
$109.61
+0.62%
BASIC MATERIALS · Cap: $24.28B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 70% more annual revenue ($27.45B vs $16.12B). MCD leads profitability with a 31.6% profit margin vs 9.8%. PPG appears more attractively valued with a PEG of 1.44. PPG earns a higher WallStSmart Score of 60/100 (C+).
MCD
Buy55
out of 100
Grade: C-
PPG
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-80.4%
Fair Value
$157.30
Current Price
$275.75
$118.45 premium
Margin of Safety
+16.0%
Fair Value
$155.95
Current Price
$109.61
$46.34 discount
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
Every $100 of equity generates 21 in profit
Attractively priced relative to earnings
Areas to Watch
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
4.2% earnings growth
Negative free cash flow — burning cash
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 : PPG
The strongest argument for PPG centers on Return on Equity, P/E Ratio. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bear Case : MCD
The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.
Bear Case : PPG
The primary concerns for PPG are EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
MCD profiles as a mature stock while PPG is a value play — different risk/reward profiles.
PPG carries more volatility with a beta of 1.05 — expect wider price swings.
MCD is growing revenue faster at 9.4% — sustainability is the question.
MCD generates stronger free cash flow (1.6B), providing more financial flexibility.
Bottom Line
PPG scores higher overall (60/100 vs 55/100). 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 →PPG Industries Inc
BASIC MATERIALS · SPECIALTY CHEMICALS · USA
PPG Industries, Inc. is an American Fortune 500 company and global supplier of paints, coatings, and specialty materials. With headquarters in Pittsburgh, Pennsylvania, PPG operates in more than 70 countries around the globe.
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