McDonald’s Corporation (MCD)vsRestaurant Brands International Inc (QSR)
MCD
McDonald’s Corporation
$248.24
-0.10%
CONSUMER CYCLICAL · Cap: $178.70B
QSR
Restaurant Brands International Inc
$72.88
-0.56%
CONSUMER CYCLICAL · Cap: $35.86B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 186% more annual revenue ($27.70B vs $9.70B). MCD leads profitability with a 31.7% profit margin vs 13.1%. QSR appears more attractively valued with a PEG of 1.24. QSR earns a higher WallStSmart Score of 68/100 (B-).
MCD
Buy53
out of 100
Grade: C-
QSR
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-59.5%
Fair Value
$155.74
Current Price
$248.24
$92.50 premium
Margin of Safety
+25.0%
Fair Value
$94.22
Current Price
$72.88
$21.34 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 46.5%
Conservative balance sheet, low leverage
Large-cap with strong market position
Generating 2.0B in free cash flow
Every $100 of equity generates 33 in profit
Earnings expanding 151.2% YoY
Strong operational efficiency at 27.7%
Areas to Watch
Expensive relative to growth rate
3.7% revenue growth
ROE of 0.0% — below average capital efficiency
Weak financial health signals
4.6% revenue growth
Distress zone — elevated risk
Elevated debt levels
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 31.7% and operating margin at 46.5%.
Bull Case : QSR
The strongest argument for QSR centers on Return on Equity, EPS Growth, Operating Margin. PEG of 1.24 suggests the stock is reasonably priced for its growth.
Bear Case : MCD
The primary concerns for MCD are PEG Ratio, Revenue Growth, Return on Equity.
Bear Case : QSR
The primary concerns for QSR are Revenue Growth, Altman Z-Score, Debt/Equity. Debt-to-equity of 4.07 is elevated, increasing financial risk.
Key Dynamics to Monitor
QSR carries more volatility with a beta of 0.53 — expect wider price swings.
QSR is growing revenue faster at 4.6% — sustainability is the question.
MCD generates stronger free cash flow (2.0B), providing more financial flexibility.
Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
QSR scores higher overall (68/100 vs 53/100). 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 →Restaurant Brands International Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Restaurant Brands International Inc. owns, operates and franchises quick-service restaurants under the Tim Hortons (TH), Burger King (BK) and Popeyes (PLK) brands. The company is headquartered in Toronto, Canada.
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