McDonald’s Corporation (MCD)vsYum China Holdings Inc (YUMC)
MCD
McDonald’s Corporation
$279.84
-1.84%
CONSUMER CYCLICAL · Cap: $203.29B
YUMC
Yum China Holdings Inc
$42.88
+0.07%
CONSUMER CYCLICAL · Cap: $15.46B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 127% more annual revenue ($27.45B vs $12.09B). MCD leads profitability with a 31.6% profit margin vs 7.8%. YUMC appears more attractively valued with a PEG of 1.16. YUMC earns a higher WallStSmart Score of 65/100 (C+).
MCD
Buy56
out of 100
Grade: C
YUMC
Buy65
out of 100
Grade: C+
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 44.3%
Conservative balance sheet, low leverage
Generating 1.7B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
7.8% margin — thin
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 31.6% and operating margin at 44.3%.
Bull Case : YUMC
The strongest argument for YUMC centers on P/E Ratio, Price/Book. PEG of 1.16 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 : YUMC
The primary concerns for YUMC are Profit Margin.
Key Dynamics to Monitor
MCD profiles as a mature stock while YUMC is a value play — different risk/reward profiles.
MCD carries more volatility with a beta of 0.41 — expect wider price swings.
YUMC is growing revenue faster at 9.7% — sustainability is the question.
MCD generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
YUMC scores higher overall (65/100 vs 56/100). 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 →Yum China Holdings Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum China Holdings, Inc. owns, operates and franchises restaurants in China. The company is headquartered in Shanghai, China.
Visit Website →Compare with Other RESTAURANTS Stocks
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