MCD vs XOM: Which Is the Better Buy?
Side-by-side comparison of McDonald's Corporation and Exxon Mobil Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-19.
McDonald's Corporation · Consumer Cyclical
$252.78
+40.7% upside to fair value
Med Conviction
Grade A
High Quality
VS
Exxon Mobil Corporation · Energy
$163.18
+10.3% 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 |
XOM |
| Current Price |
$252.78 |
$163.18 |
| Fair Value Estimate |
$355.71 |
$179.98 |
| Upside to Fair Value |
+40.7%
|
+10.3%
|
| Market Cap |
$179.6B |
$676.3B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
15.5x
|
9.9x
|
| Price / Sales |
6.5x
|
1.9x
|
| Price / FCF |
23.1x
|
22.3x
|
| Revenue Growth YoY |
+3.8%
|
+44.1%
|
| Gross Margin |
57.4%
|
25.1%
|
| Operating Margin |
45.8%
|
10.7%
|
| Return on Equity |
-561.2%
|
12.7%
|
| Dividend Yield |
2.94% |
2.52% |
| FCF Yield |
4.32%
|
4.49%
|
| Analyst Consensus |
Buy
|
Hold
|
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…
Exxon Mobil is the largest integrated oil and gas major in the United States, operating across Upstream exploration and production, Downstream refining and fuels marketing, and Chemical manufacturing, with roughly 57,900 employees and a portfolio that spans conventional crude and natural gas, LNG, petrochemicals, and early-stage carbon capture, hydrogen, and biofuels ventures. The business qualit…
Accumulation Zones
| Metric |
MCD |
XOM |
| Zone Low |
$266.78 |
$134.98 |
| Zone High |
$302.35 |
$152.98 |
| In Buy Zone? |
Yes
|
No
|