MCD vs PFE: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and Pfizer Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
McDonald's Corporation · Consumer Cyclical
$305.68
+4.7% upside to fair value
Med Conviction
Grade B
VS
Pfizer Inc. · Healthcare
$26.91
+30.1% upside to fair value
Med Conviction
Grade B+
QuantHub Verdict
PFE has more upside to fair value
(+30.1%).
PFE trades at a lower forward P/E
(9.5x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
MCD |
PFE |
| Current Price |
$305.68 |
$26.91 |
| Fair Value Estimate |
$320.00 |
$35.00 |
| Upside to Fair Value |
+4.7%
|
+30.1%
|
| Market Cap |
$218.1B |
$153.0B |
| Forward P/E |
24.5x
|
9.5x
|
| EV / EBITDA |
18.6x
|
13.8x
|
| Price / Sales |
8.1x
|
2.4x
|
| Price / FCF |
30.3x
|
16.8x
|
| Revenue Growth YoY |
+3.7%
|
-1.6%
|
| Gross Margin |
57.4%
|
70.3%
|
| Operating Margin |
46.1%
|
24.7%
|
| Return on Equity |
—
|
9.0%
|
| Dividend Yield |
2.4% |
6.4% |
| FCF Yield |
3.3%
|
5.9%
|
| Analyst Consensus |
Buy
|
Hold
|
Investment Thesis
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…
Pfizer remains the world's largest traditional pharmaceutical company by non-COVID revenue, generating $62.6B in 2025 sales across oncology, cardiovascular, immunology, and vaccines. The stock trades at a P/S of 2.44x, still well below the 5-year median of 3.10x, driven by post-COVID revenue normalization, a $17-18B patent cliff spanning 2026-2028, and $61.6B in acquisition-related debt from Seag…
Accumulation Zones
| Metric |
MCD |
PFE |
| Zone Low |
$240.00 |
$25.00 |
| Zone High |
$272.00 |
$29.00 |
| In Buy Zone? |
No
|
Yes
|