MCD vs MS: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and Morgan Stanley — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-16.
McDonald's Corporation · Consumer Cyclical
$252.78
+40.7% upside to fair value
Med Conviction
Grade A
High Quality
VS
Morgan Stanley · Financial Services
$206.27
+15.9% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
MCD has more upside to fair value
(+40.7%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
MCD |
MS |
| Current Price |
$252.78 |
$206.27 |
| Fair Value Estimate |
$355.71 |
$239.00 |
| Upside to Fair Value |
+40.7%
|
+15.9%
|
| Market Cap |
$179.6B |
$325.4B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
15.5x
|
23.5x
|
| Price / Sales |
6.5x
|
2.6x
|
| Price / FCF |
23.1x
|
—
|
| Revenue Growth YoY |
+3.8%
|
+22.4%
|
| Gross Margin |
57.4%
|
59.7%
|
| Operating Margin |
45.8%
|
20.7%
|
| Return on Equity |
-561.2%
|
18.1%
|
| Dividend Yield |
2.94% |
2.01% |
| FCF Yield |
4.32%
|
—
|
| Analyst Consensus |
Buy
|
Hold
|
Investment Thesis
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 loy…
Morgan Stanley is a diversified capital-markets and wealth-management franchise spanning institutional securities, advisor-led and self-directed wealth, workplace services, and investment management. Business quality is solid but inherently cyclical: it combines $8.084 trillion of wealth client assets and $2.004 trillion of investment-management AUM/AUS with a strengthening 15.5% institutional pe…
Accumulation Zones
| Metric |
MCD |
MS |
| Zone Low |
$266.78 |
$179.25 |
| Zone High |
$302.35 |
$203.15 |
| In Buy Zone? |
Yes
|
No
|