WallStSmart

McDonald’s Corporation (MCD)vsTradeweb Markets Inc (TW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 1211% more annual revenue ($26.88B vs $2.05B). TW leads profitability with a 39.6% profit margin vs 31.9%. MCD appears more attractively valued with a PEG of 2.74. TW earns a higher WallStSmart Score of 67/100 (B-).

MCD

Buy

53

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 4.7Quality: 5.3
Piotroski: 3/9

TW

Strong Buy

67

out of 100

Grade: B-

Growth: 8.0Profit: 8.5Value: 7.3Quality: 7.8
Piotroski: 5/9Altman Z: 5.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MCDSignificantly Overvalued (-31.1%)

Margin of Safety

-31.1%

Fair Value

$237.84

Current Price

$311.70

$73.86 premium

UndervaluedFair: $237.84Overvalued
TWUndervalued (+34.8%)

Margin of Safety

+34.8%

Fair Value

$176.44

Current Price

$119.95

$56.49 discount

UndervaluedFair: $176.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MCD5 strengths · Avg: 9.6/10
Market CapQuality
$219.68B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
31.9%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
45.1%10/10

Strong operational efficiency at 45.1%

Debt/EquityHealth
-38.1210/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$1.64B8/10

Generating 1.6B in free cash flow

TW4 strengths · Avg: 10.0/10
Profit MarginProfitability
39.6%10/10

Keeps 40 of every $100 in revenue as profit

Operating MarginProfitability
42.4%10/10

Strong operational efficiency at 42.4%

EPS GrowthGrowth
128.8%10/10

Earnings expanding 128.8% YoY

Altman Z-ScoreHealth
5.6410/10

Safe zone — low bankruptcy risk

Areas to Watch

MCD4 concerns · Avg: 3.0/10
P/E RatioValuation
25.8x4/10

Moderate valuation

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
2.742/10

Expensive relative to growth rate

TW2 concerns · Avg: 3.0/10
P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
2.972/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull 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 : TW

The strongest argument for TW centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.6% and operating margin at 42.4%. Revenue growth of 12.5% demonstrates continued momentum.

Bear Case : MCD

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

Bear Case : TW

The primary concerns for TW are P/E Ratio, PEG Ratio.

Key Dynamics to Monitor

TW carries more volatility with a beta of 0.78 — expect wider price swings.

TW is growing revenue faster at 12.5% — sustainability is the question.

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

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TW scores higher overall (67/100 vs 53/100), backed by strong 39.6% margins and 12.5% revenue growth. 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.

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Tradeweb Markets Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Tradeweb Markets Inc. creates and operates electronic marketplaces in the Americas, Europe, the Middle East, Africa, Asia Pacific and internationally.

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