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McDonald's (MCD) Competitors

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$313.18 -0.89 (-0.28%)
Closing price 08/25/2025 03:59 PM Eastern
Extended Trading
$313.19 +0.01 (+0.00%)
As of 08/25/2025 07:59 PM Eastern
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MCD vs. DPZ, PEP, PZZA, SBUX, TSLA, WEN, CMG, QSR, YUM, and YUMC

Should you be buying McDonald's stock or one of its competitors? The main competitors of McDonald's include Domino's Pizza (DPZ), PepsiCo (PEP), Papa John's International (PZZA), Starbucks (SBUX), Tesla (TSLA), Wendy's (WEN), Chipotle Mexican Grill (CMG), Restaurant Brands International (QSR), Yum! Brands (YUM), and Yum China (YUMC).

McDonald's vs. Its Competitors

Domino's Pizza (NASDAQ:DPZ) and McDonald's (NYSE:MCD) are both large-cap retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, media sentiment, risk, institutional ownership, analyst recommendations, earnings, valuation and profitability.

94.6% of Domino's Pizza shares are held by institutional investors. Comparatively, 70.3% of McDonald's shares are held by institutional investors. 0.8% of Domino's Pizza shares are held by company insiders. Comparatively, 0.3% of McDonald's shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

McDonald's has a net margin of 32.21% compared to Domino's Pizza's net margin of 12.49%. Domino's Pizza's return on equity of -15.09% beat McDonald's' return on equity.

Company Net Margins Return on Equity Return on Assets
Domino's Pizza12.49% -15.09% 33.17%
McDonald's 32.21%-225.52%15.07%

In the previous week, McDonald's had 65 more articles in the media than Domino's Pizza. MarketBeat recorded 88 mentions for McDonald's and 23 mentions for Domino's Pizza. Domino's Pizza's average media sentiment score of 1.20 beat McDonald's' score of 0.85 indicating that Domino's Pizza is being referred to more favorably in the media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Domino's Pizza
17 Very Positive mention(s)
1 Positive mention(s)
4 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive
McDonald's
48 Very Positive mention(s)
8 Positive mention(s)
5 Neutral mention(s)
16 Negative mention(s)
4 Very Negative mention(s)
Positive

Domino's Pizza pays an annual dividend of $6.96 per share and has a dividend yield of 1.5%. McDonald's pays an annual dividend of $7.08 per share and has a dividend yield of 2.3%. Domino's Pizza pays out 40.4% of its earnings in the form of a dividend. McDonald's pays out 60.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Domino's Pizza has increased its dividend for 12 consecutive years and McDonald's has increased its dividend for 49 consecutive years. McDonald's is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Domino's Pizza has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500. Comparatively, McDonald's has a beta of 0.52, indicating that its share price is 48% less volatile than the S&P 500.

McDonald's has higher revenue and earnings than Domino's Pizza. Domino's Pizza is trading at a lower price-to-earnings ratio than McDonald's, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Domino's Pizza$4.78B3.27$584.17M$17.2226.75
McDonald's$26.06B8.58$8.22B$11.6726.84

Domino's Pizza currently has a consensus target price of $489.67, indicating a potential upside of 6.30%. McDonald's has a consensus target price of $326.38, indicating a potential upside of 4.21%. Given Domino's Pizza's stronger consensus rating and higher probable upside, equities analysts plainly believe Domino's Pizza is more favorable than McDonald's.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Domino's Pizza
2 Sell rating(s)
11 Hold rating(s)
14 Buy rating(s)
1 Strong Buy rating(s)
2.50
McDonald's
2 Sell rating(s)
14 Hold rating(s)
13 Buy rating(s)
0 Strong Buy rating(s)
2.38

Summary

Domino's Pizza beats McDonald's on 12 of the 20 factors compared between the two stocks.

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New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding MCD and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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MCD vs. The Competition

MetricMcDonald'sRETAIL IndustryRetail SectorNYSE Exchange
Market Cap$224.12B$11.45B$27.33B$21.29B
Dividend Yield2.26%3.17%172.56%3.54%
P/E Ratio26.8433.5426.8228.91
Price / Sales8.582.0012.6751.05
Price / Cash21.3216.4917.6518.23
Price / Book-59.095.395.144.69
Net Income$8.22B$405.16M$869.87M$995.89M
7 Day Performance0.83%0.45%1.50%2.23%
1 Month Performance5.01%-6.79%-0.96%2.46%
1 Year Performance8.49%-3.14%14.24%10.46%

McDonald's Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
MCD
McDonald's
4.5703 of 5 stars
$313.18
-0.3%
$326.38
+4.2%
+8.2%$224.12B$26.06B26.84150,000Trending News
Analyst Revision
DPZ
Domino's Pizza
3.3006 of 5 stars
$449.69
-0.3%
$489.67
+8.9%
+8.3%$15.26B$4.71B26.1110,700Positive News
PEP
PepsiCo
4.0341 of 5 stars
$149.21
-0.8%
$158.73
+6.4%
-15.7%$204.34B$91.85B27.19319,000Positive News
PZZA
Papa John's International
3.2973 of 5 stars
$46.51
-2.2%
$52.33
+12.5%
+5.0%$1.53B$2.06B20.6611,400Positive News
SBUX
Starbucks
4.6607 of 5 stars
$92.63
+2.2%
$103.65
+11.9%
-8.7%$105.30B$36.18B39.93361,000Trending News
TSLA
Tesla
4.3465 of 5 stars
$335.64
+1.5%
$303.31
-9.6%
+57.3%$1.08T$97.69B193.86125,665Trending News
WEN
Wendy's
4.9705 of 5 stars
$10.66
+0.9%
$13.76
+29.1%
-37.8%$2.03B$2.25B11.0814,500
CMG
Chipotle Mexican Grill
4.8844 of 5 stars
$43.77
-0.6%
$60.22
+37.6%
-20.4%$58.64B$11.31B39.04130,504Positive News
QSR
Restaurant Brands International
4.7158 of 5 stars
$65.66
+0.6%
$75.04
+14.3%
-10.8%$21.53B$8.41B24.8737,600Positive News
YUM
Yum! Brands
3.9965 of 5 stars
$149.95
+1.2%
$161.23
+7.5%
+8.4%$41.61B$7.55B29.5740,000Positive News
Dividend Announcement
YUMC
Yum China
4.9788 of 5 stars
$44.72
-0.1%
$60.00
+34.2%
+41.0%$16.49B$11.30B18.48351,000Positive News

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This page (NYSE:MCD) was last updated on 8/26/2025 by MarketBeat.com Staff
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