MCD vs UNH: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and UnitedHealth Group Incorporated — 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
UnitedHealth Group Incorporated · Healthcare
$304.33
+41.3% upside to fair value
Med Conviction
Grade B+
QuantHub Verdict
UNH has more upside to fair value
(+41.3%).
UNH trades at a lower forward P/E
(15.1x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
MCD |
UNH |
| Current Price |
$305.68 |
$304.33 |
| Fair Value Estimate |
$320.00 |
$430.00 |
| Upside to Fair Value |
+4.7%
|
+41.3%
|
| Market Cap |
$218.1B |
$276.2B |
| Forward P/E |
24.5x
|
15.1x
|
| EV / EBITDA |
18.6x
|
14.3x
|
| Price / Sales |
8.1x
|
0.6x
|
| Price / FCF |
30.3x
|
17.2x
|
| Revenue Growth YoY |
+3.7%
|
+11.8%
|
| Gross Margin |
57.4%
|
18.5%
|
| Operating Margin |
46.1%
|
4.2%
|
| Return on Equity |
—
|
12.7%
|
| Dividend Yield |
2.4% |
2.9% |
| FCF Yield |
3.3%
|
5.82%
|
| Analyst Consensus |
Buy
|
Buy
|
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…
UnitedHealth Group is the world's largest diversified healthcare company, combining the dominant US health insurer UnitedHealthcare with the high-margin Optum services platform spanning care delivery, pharmacy benefits, and data analytics. The stock has fallen roughly 49% from its 2024 peak of $596, driven by elevated medical costs, DOJ antitrust scrutiny, CEO transitions (Brian Thompson's murder…
Accumulation Zones
| Metric |
MCD |
UNH |
| Zone Low |
$240.00 |
$280.00 |
| Zone High |
$272.00 |
$340.00 |
| In Buy Zone? |
No
|
Yes
|