McDonald’s Corporation (MCD)vsRCI Hospitality Holdings Inc (RICK)
MCD
McDonald’s Corporation
$311.70
+1.25%
CONSUMER CYCLICAL · Cap: $219.68B
RICK
RCI Hospitality Holdings Inc
$24.04
-2.75%
CONSUMER CYCLICAL · Cap: $203.10M
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 9521% more annual revenue ($26.88B vs $279.43M). MCD leads profitability with a 31.9% profit margin vs 3.9%. RICK appears more attractively valued with a PEG of 0.71. RICK earns a higher WallStSmart Score of 58/100 (C).
MCD
Buy53
out of 100
Grade: C-
RICK
Buy58
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
+59.4%
Fair Value
$57.56
Current Price
$24.04
$33.52 discount
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
Growing faster than its price suggests
Areas to Watch
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
3.5% earnings growth
Distress zone — elevated risk
Smaller company, higher risk/reward
ROE of 4.1% — below average capital efficiency
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 : RICK
The strongest argument for RICK centers on Price/Book, PEG Ratio. PEG of 0.71 suggests the stock is reasonably priced for its growth.
Bear Case : MCD
The primary concerns for MCD are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : RICK
The primary concerns for RICK are EPS Growth, Altman Z-Score, Market Cap. Thin 3.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
MCD profiles as a mature stock while RICK is a value play — different risk/reward profiles.
RICK carries more volatility with a beta of 0.82 — expect wider price swings.
MCD is growing revenue faster at 9.7% — sustainability is the question.
MCD generates stronger free cash flow (1.6B), providing more financial flexibility.
Bottom Line
RICK scores higher overall (58/100 vs 53/100). 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 →RCI Hospitality Holdings Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
RCI Hospitality Holdings, Inc., is engaged in hospitality and related businesses in the United States. The company is headquartered in Houston, Texas.
Visit Website →Compare with Other RESTAURANTS Stocks
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