MCD vs RTX: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and RTX Corporation — 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
RTX Corporation · Industrials
$185.60
-25.2% upside to fair value
Grade D
QuantHub Verdict
MCD has more upside to fair value
(+18.7%).
MCD trades at a lower forward P/E
(22.9x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
MCD |
RTX |
| Current Price |
$278.61 |
$185.60 |
| Fair Value Estimate |
$330.66 |
$138.81 |
| Upside to Fair Value |
+18.7%
|
-25.2%
|
| Market Cap |
$197.9B |
$249.9B |
| Forward P/E |
22.9x
|
34.3x
|
| EV / EBITDA |
16.9x
|
18.3x
|
| Price / Sales |
7.2x
|
2.8x
|
| Price / FCF |
28.1x
|
29.9x
|
| Revenue Growth YoY |
+9.4%
|
+8.7%
|
| Gross Margin |
57.4%
|
20.2%
|
| Operating Margin |
46.0%
|
10.9%
|
| Return on Equity |
-433.9%
|
11.2%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.56%
|
3.34%
|
| 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 …
RTX Corporation is a leading aerospace and defense company with a strong competitive moat driven by scale and an installed base in commercial aerospace via Pratt & Whitney and Collins Aerospace, and defense through Raytheon. The company benefits from a large multi-year backlog of approximately $270 billion supporting steady cash flow and mid-single-digit organic growth. Despite solid revenue grow…
Accumulation Zones
| Metric |
MCD |
RTX |
| Zone Low |
$248.00 |
$104.11 |
| Zone High |
$281.06 |
$117.99 |
| In Buy Zone? |
Yes
|
No
|