McDonald’s Corporation (MCD)vsYum China Holdings Inc (YUMC)
MCD
McDonald’s Corporation
$268.34
+2.11%
CONSUMER CYCLICAL · Cap: $187.27B
YUMC
Yum China Holdings Inc
$47.87
-0.99%
CONSUMER CYCLICAL · Cap: $16.51B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 121% more annual revenue ($27.45B vs $12.44B). MCD leads profitability with a 31.6% profit margin vs 7.8%. YUMC appears more attractively valued with a PEG of 1.21. YUMC earns a higher WallStSmart Score of 66/100 (B-).
MCD
Buy55
out of 100
Grade: C-
YUMC
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-79.3%
Fair Value
$152.31
Current Price
$268.34
$116.03 premium
Intrinsic value data unavailable for YUMC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 44.3%
Conservative balance sheet, low leverage
Large-cap with strong market position
Generating 1.7B in free cash flow
Attractively priced relative to earnings
Earnings expanding 21.4% YoY
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 Profit Margin, Operating Margin, Debt/Equity. 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, EPS Growth. Revenue growth of 12.6% demonstrates continued momentum. PEG of 1.21 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 0.42 — expect wider price swings.
YUMC is growing revenue faster at 12.6% — sustainability is the question.
MCD generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
YUMC scores higher overall (66/100 vs 55/100) and 12.6% 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.
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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