MCD vs PG: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and The Procter & Gamble Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
McDonald's Corporation · Consumer Cyclical
$278.61
+18.7% upside to fair value
Grade B
High Quality
VS
The Procter & Gamble Company · Consumer Defensive
$150.38
+10.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
MCD has more upside to fair value
(+18.7%).
PG trades at a lower forward P/E
(21.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
MCD |
PG |
| Current Price |
$278.61 |
$150.38 |
| Fair Value Estimate |
$330.66 |
$165.39 |
| Upside to Fair Value |
+18.7%
|
+10.0%
|
| Market Cap |
$197.9B |
$350.2B |
| Forward P/E |
22.9x
|
21.5x
|
| EV / EBITDA |
16.9x
|
15.1x
|
| Price / Sales |
7.2x
|
4.0x
|
| Price / FCF |
28.1x
|
23.3x
|
| Revenue Growth YoY |
+9.4%
|
+7.4%
|
| Gross Margin |
57.4%
|
50.3%
|
| Operating Margin |
46.0%
|
23.2%
|
| Return on Equity |
-433.9%
|
31.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.56%
|
4.29%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
McDonald's Corporation operates a high-margin, asset-light global quick-service restaurant business with a durable competitive moat supported by strong brand recognition and a wide global footprint. The company benefits from consistent mid-single-digit systemwide sales growth and high free cash flow conversion, enabling substantial dividends and share buybacks. Despite a premium valuation with a …
The Procter & Gamble Company is a leading global consumer defensive company specializing in household and personal products with a strong portfolio across fabric care, baby and family care, beauty, health care, and grooming. The business quality is high, supported by a durable competitive moat from strong brands, consistent earnings growth, and prudent capital allocation emphasizing dividends and…
Accumulation Zones
| Metric |
MCD |
PG |
| Zone Low |
$248.00 |
$124.04 |
| Zone High |
$281.06 |
$140.58 |
| In Buy Zone? |
Yes
|
No
|