AMZN vs MCD: Which Is the Better Buy?
Side-by-side comparison of Amazon.com, Inc. and McDonald's Corporation โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-18.
Amazon.com, Inc. ยท Consumer Cyclical
$251.19
+18.5% upside to fair value
Med Conviction
Grade B
High Quality
VS
McDonald's Corporation ยท Consumer Cyclical
$252.78
+40.7% upside to fair value
Med Conviction
Grade A
High Quality
QuantHub Verdict
MCD has more upside to fair value
(+40.7%).
These are model outputs โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
AMZN |
MCD |
| Current Price |
$251.19 |
$252.78 |
| Fair Value Estimate |
$297.67 |
$355.71 |
| Upside to Fair Value |
+18.5%
|
+40.7%
|
| Market Cap |
$2,702.1B |
$179.6B |
| Forward P/E |
โ
|
โ
|
| EV / EBITDA |
11.2x
|
15.5x
|
| Price / Sales |
3.5x
|
6.5x
|
| Price / FCF |
โ
|
23.1x
|
| Revenue Growth YoY |
+19.6%
|
+3.8%
|
| Gross Margin |
50.8%
|
57.4%
|
| Operating Margin |
12.1%
|
45.8%
|
| Return on Equity |
30.5%
|
-561.2%
|
| Dividend Yield |
0% |
2.94% |
| FCF Yield |
โ
|
4.32%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Amazon.com operates a vast global retail enterprise spanning online and physical stores, third-party seller services, advertising, subscription offerings, and Amazon Web Services, the world's largest cloud infrastructure provider. The business quality is high: trailing-twelve-month gross margin of 50.8%, operating margin of 12.1%, and net margin of 17.4% reflect a durable mix shift toward high-maโฆ
McDonald's operates a globally scaled, approximately 95% franchised restaurant system with 46,028 restaurants in more than 100 countries, combining a powerful consumer brand, real-estate-backed franchise economics, supplier scale and digital loyalty reach. Business quality is high despite meaningful leverage: TTM gross, operating and net margins are 57.4%, 45.8% and 31.7%, respectively, while loyโฆ
Accumulation Zones
| Metric |
AMZN |
MCD |
| Zone Low |
$223.25 |
$266.78 |
| Zone High |
$253.02 |
$302.35 |
| In Buy Zone? |
Yes
|
Yes
|