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 2026-09-17.
McDonald's Corporation · Consumer Cyclical
$252.78
+40.7% upside to fair value
Med Conviction
Grade A
High Quality
VS
The Procter & Gamble Company · Consumer Defensive
$147.04
+14.4% upside to fair value
Med Conviction
Grade B+
High Quality
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 |
PG |
| Current Price |
$252.78 |
$147.04 |
| Fair Value Estimate |
$355.71 |
$168.19 |
| Upside to Fair Value |
+40.7%
|
+14.4%
|
| Market Cap |
$179.6B |
$349.5B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
15.5x
|
17.6x
|
| Price / Sales |
6.5x
|
4.0x
|
| Price / FCF |
23.1x
|
22.4x
|
| Revenue Growth YoY |
+3.8%
|
+1.5%
|
| Gross Margin |
57.4%
|
50.2%
|
| Operating Margin |
45.8%
|
22.7%
|
| Return on Equity |
-561.2%
|
29.8%
|
| Dividend Yield |
2.94% |
2.92% |
| FCF Yield |
4.32%
|
4.47%
|
| Analyst Consensus |
Buy
|
Buy
|
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…
Procter & Gamble is a global consumer-staples leader selling daily-use products across beauty, grooming, health care, fabric and home care, and baby, feminine and family care in about 180 countries. Business quality is high because its brands, consumer insight, R&D, marketing scale and global distribution underpin leading category positions, including over 60% in blades and razors and over 35% in…
Accumulation Zones
| Metric |
MCD |
PG |
| Zone Low |
$266.78 |
$126.14 |
| Zone High |
$302.35 |
$142.96 |
| In Buy Zone? |
Yes
|
No
|