MCD vs WFC: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and Wells Fargo & Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-22.
McDonald's Corporation · Consumer Cyclical
$305.68
+4.7% upside to fair value
Med Conviction
Grade B
VS
Wells Fargo & Company · Financial Services
$81.52
+30.6% upside to fair value
Grade B
QuantHub Verdict
WFC has more upside to fair value
(+30.6%).
WFC trades at a lower forward P/E
(11.9x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
MCD |
WFC |
| Current Price |
$305.68 |
$81.52 |
| Fair Value Estimate |
$320.00 |
$106.49 |
| Upside to Fair Value |
+4.7%
|
+30.6%
|
| Market Cap |
$218.1B |
$250.7B |
| Forward P/E |
24.5x
|
11.9x
|
| EV / EBITDA |
18.6x
|
16.7x
|
| Price / Sales |
8.1x
|
2.0x
|
| Price / FCF |
30.3x
|
-13.2x
|
| Revenue Growth YoY |
+3.7%
|
+7.3%
|
| Gross Margin |
57.4%
|
64.5%
|
| Operating Margin |
46.1%
|
20.5%
|
| Return on Equity |
—
|
12.0%
|
| Dividend Yield |
2.4% |
0% |
| FCF Yield |
3.3%
|
—
|
| 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…
Wells Fargo & Company is a diversified financial services firm operating primarily in consumer banking, commercial banking, corporate and investment banking, and wealth and investment management. The company benefits from a seasoned CEO with extensive industry experience and has made significant progress in regulatory compliance and operational efficiency, including lifting its asset cap in 2025.…
Accumulation Zones
| Metric |
MCD |
WFC |
| Zone Low |
$240.00 |
$79.87 |
| Zone High |
$272.00 |
$90.52 |
| In Buy Zone? |
No
|
Yes
|