EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, McDonald's's enterprise value is $247,206 Mil.
McDonald's's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 was $13,861 Mil. Therefore, McDonald's's EV-to-EBITDA for today is 17.83.
The historical rank and industry rank for McDonald's's EV-to-EBITDA or its related term are showing as below:
MCD'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 10.06 Med: 15.98 Max: 23.84
Current: 17.83
During the past 13 years, the highest EV-to-EBITDA of McDonald's was 23.84. The lowest was 10.06. And the median was 15.98.
MCD's EV-to-EBITDA is ranked worse than 69.78% of 278
companies
in the Restaurants industry
Industry Median: 12.195
vs MCD: 17.83
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
As of today (2024-04-23), McDonald's's stock price is $275.58.
McDonald's's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 was $11.570. Therefore, McDonald's's PE Ratio for today is 23.82.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio.
McDonald's EV-to-EBITDA Historical Data
The historical data trend for McDonald's's EV-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
McDonald's Annual Data
Trend
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
Dec21
Dec22
Dec23
EV-to-EBITDA
18.05
22.83
20.05
21.91
18.96
McDonald's Quarterly Data
Mar19
Jun19
Sep19
Dec19
Mar20
Jun20
Sep20
Dec20
Mar21
Jun21
Sep21
Dec21
Mar22
Jun22
Sep22
Dec22
Mar23
Jun23
Sep23
Dec23
EV-to-EBITDA
21.91
21.43
20.09
17.43
18.96
Competitive Comparison
For the Restaurants subindustry, McDonald's's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
McDonald's EV-to-EBITDA Distribution
For the Restaurants industry and Consumer Cyclical sector, McDonald's's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where McDonald's's EV-to-EBITDA falls into.
McDonald's EV-to-EBITDA Calculation
McDonald's's EV-to-EBITDA for today is calculated as:
McDonald's's current Enterprise Value is $247,206 Mil.
McDonald's's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $13,861 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
McDonald's (NYSE:MCD) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
McDonald's's share price for today is $275.58.
McDonald's's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $11.570.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio.
Thank you for viewing the detailed overview of McDonald's's EV-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.
McDonald's is the largest restaurant owner-operator in the world, with 2022 system sales of $116 billion across more than 40,000 stores and 115 markets. McDonald's pioneered the franchise model, building its footprint through partnerships with independent restaurant franchisees and master franchise partners around the globe. The firm earns roughly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets.
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