DIS vs MCD: Which Is the Better Buy?
Side-by-side comparison of The Walt Disney Company and McDonald's Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
The Walt Disney Company · Communication Services
$101.31
+66.6% upside to fair value
Grade B
VS
McDonald's Corporation · Consumer Cyclical
$305.68
+4.7% upside to fair value
Med Conviction
Grade B
QuantHub Verdict
DIS has more upside to fair value
(+66.6%).
DIS trades at a lower forward P/E
(14.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
DIS |
MCD |
| Current Price |
$101.31 |
$305.68 |
| Fair Value Estimate |
$168.80 |
$320.00 |
| Upside to Fair Value |
+66.6%
|
+4.7%
|
| Market Cap |
$179.5B |
$218.1B |
| Forward P/E |
14.8x
|
24.5x
|
| EV / EBITDA |
11.4x
|
18.6x
|
| Price / Sales |
1.9x
|
8.1x
|
| Price / FCF |
25.4x
|
30.3x
|
| Revenue Growth YoY |
+5.2%
|
+3.7%
|
| Gross Margin |
37.3%
|
57.4%
|
| Operating Margin |
14.2%
|
46.1%
|
| Return on Equity |
11.3%
|
—
|
| Dividend Yield |
0% |
2.4% |
| FCF Yield |
3.93%
|
3.3%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
The Walt Disney Company operates as a diversified entertainment giant with strong competitive advantages from its vast intellectual property portfolio, global theme parks, and growing direct-to-consumer streaming platforms. The company demonstrates medium business quality with a durable moat supported by iconic brands and infrastructure, but faces execution risks in streaming profitability and pa…
McDonald's operates the world's largest quick-service restaurant franchise with over 40,000 locations across 100+ countries, generating $26.9B in FY2025 revenue with roughly 60% from franchised operations. The asset-light franchise model produces 46% operating margins and $7.2B in annual free cash flow. Revenue growth reaccelerated modestly to 3.7% in FY2025 from 1.7% in FY2024, driven by the Int…
Accumulation Zones
| Metric |
DIS |
MCD |
| Zone Low |
$126.60 |
$240.00 |
| Zone High |
$143.48 |
$272.00 |
| In Buy Zone? |
Yes
|
No
|