WallStSmart

Edwards Lifesciences Corp (EW)vsMcDonald’s Corporation (MCD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 335% more annual revenue ($27.45B vs $6.30B). MCD leads profitability with a 31.6% profit margin vs 17.4%. EW appears more attractively valued with a PEG of 2.04. EW earns a higher WallStSmart Score of 61/100 (C+).

EW

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 7.5Value: 6.0Quality: 4.8
Piotroski: 2/9

MCD

Buy

55

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 3.3Quality: 5.3
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EWUndervalued (+69.7%)

Margin of Safety

+69.7%

Fair Value

$261.90

Current Price

$79.96

$181.94 discount

UndervaluedFair: $261.90Overvalued
MCDSignificantly Overvalued (-80.4%)

Margin of Safety

-80.4%

Fair Value

$157.30

Current Price

$275.75

$118.45 premium

UndervaluedFair: $157.30Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EW2 strengths · Avg: 9.0/10
Operating MarginProfitability
31.2%10/10

Strong operational efficiency at 31.2%

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

MCD5 strengths · Avg: 9.4/10
Profit MarginProfitability
31.6%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
45.3%10/10

Strong operational efficiency at 45.3%

Debt/EquityHealth
-38.1210/10

Conservative balance sheet, low leverage

Market CapQuality
$195.92B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.64B8/10

Generating 1.6B in free cash flow

Areas to Watch

EW4 concerns · Avg: 2.8/10
PEG RatioValuation
2.044/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
44.7x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-21.10M2/10

Negative free cash flow — burning cash

MCD3 concerns · Avg: 2.7/10
Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.552/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : EW

The strongest argument for EW centers on Operating Margin, Revenue Growth. Profitability is solid with margins at 17.4% and operating margin at 31.2%. Revenue growth of 16.7% demonstrates continued momentum.

Bull 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%.

Bear Case : EW

The primary concerns for EW are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 44.7x leaves little room for execution misses.

Bear Case : MCD

The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

EW profiles as a growth stock while MCD is a mature play — different risk/reward profiles.

EW carries more volatility with a beta of 0.87 — expect wider price swings.

EW is growing revenue faster at 16.7% — sustainability is the question.

MCD generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

EW scores higher overall (61/100 vs 55/100), backed by strong 17.4% margins and 16.7% revenue growth. 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.

Edwards Lifesciences Corp

HEALTHCARE · MEDICAL DEVICES · USA

Edwards Lifesciences is an American medical technology company headquartered in Irvine, California, specializing in artificial heart valves and hemodynamic monitoring.

Visit Website →

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 →

Want to dig deeper into these stocks?