McDonald'sMCD +1.39%78 EV-to-FCF is 35.43 as of Jun. 24, 2026, which is 9% below its 10-year median of 39.10. GuruFocus rates MCD with a GF Score™ of 78/100 and a GF Value™ of $325.86 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 277 Restaurants companies, McDonald's ranks worse than 75.81% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, McDonald's's Enterprise Value is $249,413 Mil.
McDonald's's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $7,039 Mil. Therefore, McDonald's's EV-to-FCF for today is 35.43.
The historical rank and industry rank for McDonald's's EV-to-FCF or its related term are showing as below:
MCD'
s EV-to-FCF Range Over the Past 10 Years
Min: 24.15 Med: 39.1 Max: 62.07
Current: 35.43
During the past 13 years, the highest EV-to-FCF of McDonald's was 62.07. The lowest was 24.15. And the median was 39.10.
MCD's EV-to-FCF is ranked worse than 75.81% of 277
companies
in the Restaurants industry
Industry Median: 17.64
vs MCD: 35.43
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
McDonald's's share price for today is $275.44.
McDonald's's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $12.130.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
McDonald's EV-to-FCF Related Terms
McDonald's EV-to-FCF Historical Data
* Premium members only.
The historical data trend for McDonald's's EV-to-FCF 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.
For the Restaurants subindustry, McDonald's's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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-FCF vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, McDonald's's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where McDonald's's EV-to-FCF falls into.
McDonald's's current Enterprise Value is $249,413 Mil.
McDonald's's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $7,039 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 (MCD) has a EV-to-FCF of 35.43 as of Jun. 24, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on McDonald's and its competitors. This is near median its historical median of 39.10. Over the past decade, McDonald's' EV-to-FCF has ranged from 24.15 to 62.07. According to the industry distribution chart, McDonald's ranks #210 out of 277 companies in the Restaurants industry, placing it in the top 75.8%.
Is McDonald's' EV-to-FCF too high?
McDonald's' current EV-to-FCF of 35.43 is near median its 10-year median of 39.10. Over the past 10 years, this metric has ranged from a low of 24.15 to a high of 62.07. The Restaurants industry median EV-to-FCF is 17.64. McDonald's' value of 35.43 is 100.9% above this industry median. Based on the distribution chart, McDonald's ranks #210 out of 277 companies in the Restaurants industry, which is in the bottom quartile relative to peers. Overall, McDonald's has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does McDonald's' EV-to-FCF compare to SBUX and CMG?
According to the Restaurants industry distribution chart, McDonald's ranks #210 out of 277 companies for EV-to-FCF. This places McDonald's in the lower half of its industry. The industry median EV-to-FCF is 17.64. McDonald's' value of 35.43 is 100.9% above this benchmark. Historically, McDonald's' own EV-to-FCF has ranged from 24.15 to 62.07 over the past decade. While the company's 10-year median is 39.10 vs. the industry median of 17.64, McDonald's has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Restaurants company?
The median EV-to-FCF among Restaurants companies is 17.64, based on 277 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. McDonald's's current EV-to-FCF of 35.43 is 100.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on McDonald's and its competitors. For the Restaurants industry, the median EV-to-FCF is 17.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. McDonald's's current EV-to-FCF is 35.43, which is near median its own 10-year median of 39.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is McDonald's stock overvalued right now?
Based on GuruFocus' analysis, McDonald's (MCD) is currently considered Modestly Undervalued. The stock's GF Value™ is $325.86, compared to a current price of $275.44 — trading 15.5% below its estimated fair value. The current EV-to-FCF is 35.43, which is near median its 10-year median of 39.10 and 100.9% above the Restaurants industry median of 17.64. McDonald's' overall GF Score™ is 78/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For McDonald's (MCD), the current EV-to-FCF is 35.43 as of Jun. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is McDonald's (MCD) Overvalued in 2026?
Based on GuruFocus' analysis, McDonald's stock appears to be undervalued.
The current stock price of $275.44 is trading 15.5% below its estimated GF Value™ of $325.86.
GuruFocus considers McDonald's to be Modestly Undervalued.
Key valuation signals for MCD:
EV-to-FCF: 35.43 (near median its 10-year median of 39.10)
GF Value™: $325.86 vs. price of $275.44 (15.5% below fair value)
Industry Position: 100.9% above the Restaurants median (#210 of 277)
No single metric tells the full story. See the MCD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
McDonald's is the world's largest restaurant brand, with nearly $139 billion in systemwide sales across more than 45,000 restaurants and over 100 markets. The quick-service chain built its early reputation on speed, consistency, and affordable hamburgers, and today its global menu spans burgers, chicken, breakfast, and beverages that have helped popularize American fast-food cuisine worldwide. The firm derives the bulk of its revenue from franchise royalties and rent (about 62%), with the remainder stemming from company-operated restaurants across three segments: the United States (39% of systemwide sales), international operated markets (35%), and international developmental/licensed markets (26%).
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