BAC vs MCD: Which Is the Better Buy?
Side-by-side comparison of Bank of America Corporation and McDonald's Corporation โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-22.
Bank of America Corporation ยท Financial Services
$57.96
+15.7% upside to fair value
Med Conviction
Grade B
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 |
BAC |
MCD |
| Current Price |
$57.96 |
$252.78 |
| Fair Value Estimate |
$67.08 |
$355.71 |
| Upside to Fair Value |
+15.7%
|
+40.7%
|
| Market Cap |
$411.3B |
$179.6B |
| Forward P/E |
โ
|
โ
|
| EV / EBITDA |
24.4x
|
15.5x
|
| Price / Sales |
2.1x
|
6.5x
|
| Price / FCF |
4.4x
|
23.1x
|
| Revenue Growth YoY |
+5.8%
|
+3.8%
|
| Gross Margin |
59.3%
|
57.4%
|
| Operating Margin |
22.5%
|
45.8%
|
| Return on Equity |
11.1%
|
-561.2%
|
| Dividend Yield |
2.0% |
2.94% |
| FCF Yield |
22.88%
|
4.32%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
Bank of America Corporation is a diversified U.S. money-center bank operating through Consumer Banking, Global Wealth & Investment Management, Global Banking, and Global Markets, serving roughly 67 million consumer and small business clients through about 4,200 retail financial centers and 16,000 ATMs as of the last detailed disclosure. The franchise quality is solid but not exceptional: TTM net โฆ
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 |
BAC |
MCD |
| Zone Low |
$50.31 |
$266.78 |
| Zone High |
$57.02 |
$302.35 |
| In Buy Zone? |
No
|
Yes
|