McDonald's (PFTS:MCD) Dividend Payout Ratio: 0.66 (As of Mar. 2026) — 14% Above Median


What is McDonald's Dividend Payout Ratio?

McDonald's PFTS:MCD 78 Dividend Payout Ratio is 0.66 as of Mar. 2026, which is 14% above its 10-year median of 0.58. GuruFocus rates PFTS:MCD with a GF Score™ of 78/100. The stock has 2 warning signs investors should review. Among 167 Restaurants companies, McDonald's ranks worse than 64.67% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. McDonald's's Dividend Payout Ratio for the months ended in Mar. 2026 was 0.66.

The historical rank and industry rank for McDonald's's Dividend Payout Ratio or its related term are showing as below:


During the past 13 years, the highest Dividend Payout Ratio of McDonald's was 0.83. The lowest was 0.52. And the median was 0.58.

PFTS:MCD's Dividend Payout Ratio is not ranked *
in the Restaurants industry.
Industry Median: 0.39
* Ranked among companies with meaningful Dividend Payout Ratio only.

As of today (2026-06-28), the Dividend Yield % of McDonald's is 0.00%.

During the past 13 years, the highest Trailing Annual Dividend Yield of McDonald's was 3.21%. The lowest was 1.94%. And the median was 2.27%.

McDonald's's Dividends per Share for the months ended in Mar. 2026 was $1.86.

During the past 12 months, McDonald's's average Dividends Per Share Growth Rate was 5.50% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 8.20% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 7.80% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 7.90% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of McDonald's was 41.80% per year. The lowest was 5.00% per year. And the median was 10.10% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

McDonald's (PFTS:MCD) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

McDonald's Dividend Payout Ratio Related Terms

McDonald's Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for McDonald's's Dividend Payout Ratio 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.

McDonald's Dividend Payout Ratio Chart

McDonald's Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Dividend Payout Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.56 0.52 0.58 0.59

McDonald's Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Dividend Payout Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.66 0.56 0.55 0.60 0.66

PFTS:MCD vs SBUX, CMG, YUM: Dividend Payout Ratio Comparison

For the Restaurants subindustry, McDonald's's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio 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 Dividend Payout Ratio vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, McDonald's's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where McDonald's's Dividend Payout Ratio falls into.


McDonald's Dividend Payout Ratio Calculation

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.

McDonald's's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Dividend Payout Ratio=Dividends per Share (A: Dec. 2025 )/ EPS without NRI (A: Dec. 2025 )
=7.17/ 12.2
=0.59

McDonald's's Dividend Payout Ratio for the quarter that ended in Mar. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Mar. 2026 )/ EPS without NRI (Q: Mar. 2026 )
=1.86/ 2.83
=0.66

* 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.

Frequently Asked Questions Learn more about Dividend Payout Ratio →
What does a Dividend Payout Ratio of 0.66 mean?
McDonald's (PFTS:MCD) has a Dividend Payout Ratio of 0.66 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on McDonald's and its competitors. This is 14% above median its historical median of 0.58. Over the past decade, McDonald's' Dividend Payout Ratio has ranged from 0.52 to 0.83. According to the industry distribution chart, McDonald's ranks #108 out of 167 companies in the Restaurants industry, placing it in the top 64.7%.
Is McDonald's' Dividend Payout Ratio too high?
McDonald's' current Dividend Payout Ratio of 0.66 is 14% above median its 10-year median of 0.58. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 0.83. The Restaurants industry median Dividend Payout Ratio is 0.39. McDonald's' value of 0.66 is 69.2% above this industry median. Based on the distribution chart, McDonald's ranks #108 out of 167 companies in the Restaurants industry, which is below the industry midpoint. Overall, McDonald's has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does McDonald's' Dividend Payout Ratio compare to SBUX and CMG?
According to the Restaurants industry distribution chart, McDonald's ranks #108 out of 167 companies for Dividend Payout Ratio. This places McDonald's in the lower half of its industry. The industry median Dividend Payout Ratio is 0.39. McDonald's' value of 0.66 is 69.2% above this benchmark. Historically, McDonald's' own Dividend Payout Ratio has ranged from 0.52 to 0.83 over the past decade. While the company's 10-year median is 0.58 vs. the industry median of 0.39, 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 Dividend Payout Ratio for a Restaurants company?
The median Dividend Payout Ratio among Restaurants companies is 0.39, based on 167 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. McDonald's's current Dividend Payout Ratio of 0.66 is 69.2% 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 Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on McDonald's and its competitors. For the Restaurants industry, the median Dividend Payout Ratio is 0.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. McDonald's's current Dividend Payout Ratio is 0.66, which is 14% above median its own 10-year median of 0.58. 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?
McDonald's (PFTS:MCD) has a current Dividend Payout Ratio of 0.66. The current Dividend Payout Ratio is 0.66, which is 14% above median its 10-year median of 0.58 and 69.2% above the Restaurants industry median of 0.39. 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 Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For McDonald's (PFTS:MCD), the current Dividend Payout Ratio is 0.66 as of Mar. 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.

McDonald's Business Description

Address 110 North Carpenter Street, Chicago, IL, USA, 60607
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%).