ADBE vs MCD: Which Is the Better Buy?

Side-by-side comparison of Adobe Inc. and McDonald's Corporation β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-20.
Adobe Inc. Β· Technology
$219.72
+45.0% upside to fair value
Grade B High Quality
VS
McDonald's Corporation Β· Consumer Cyclical
$267.71
+20.6% upside to fair value
Med Conviction Grade C+ High Quality
QuantHub Verdict
ADBE has more upside to fair value (+45.0%). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric ADBE MCD
Current Price $219.72 $267.71
Fair Value Estimate $318.59 $322.85
Upside to Fair Value +45.0% +20.6%
Market Cap $87.3B $190.2B
Forward P/E 12.6x β€”
EV / EBITDA 9.0x 16.4x
Price / Sales 3.5x 6.9x
Price / FCF 8.2x 27.0x
Revenue Growth YoY +12.7% +9.4%
Gross Margin 89.1% 57.4%
Operating Margin 36.1% 46.0%
Return on Equity 62.4% -433.9%
Dividend Yield 0% 2.75%
FCF Yield 12.17% 3.7%
Analyst Consensus Hold Buy
Investment Thesis
ADBE β€” Adobe Inc.
Adobe Inc. is a leading software company specializing in digital media and digital experience solutions, driven primarily by subscription-based revenue models. The company benefits from a high-quality business model characterized by a durable competitive moat, strong margins with a gross margin of 89.1% and operating margin of 36.1%, and robust return on equity at 62.4%. Despite solid revenue gro…
MCD β€” McDonald's Corporation
McDonald's is a global quick-service restaurant franchisor and real-estate platform whose approximately 95% franchised restaurant base generates unusually high-margin, recurring royalty and rent income, supporting a 46.0% operating margin and 31.6% net margin. Business quality is high because its brand, global purchasing scale, nearly 29,000 drive-thrus, digital ecosystem and 210 million 90-day a…
Accumulation Zones
Metric ADBE MCD
Zone Low $238.94 $242.14
Zone High $270.80 $274.42
In Buy Zone? Yes Yes
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