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MCD (McDonald's) 3-Year Sharpe Ratio : 0.17 (As of Jul. 05, 2025)


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What is McDonald's 3-Year Sharpe Ratio?

The 3-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past three years. As of today (2025-07-05), McDonald's's 3-Year Sharpe Ratio is 0.17.

Competitive Comparison of McDonald's's 3-Year Sharpe Ratio

For the Restaurants subindustry, McDonald's's 3-Year Sharpe Ratio, along with its competitors' market caps and 3-Year Sharpe 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's 3-Year Sharpe Ratio Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, McDonald's's 3-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where McDonald's's 3-Year Sharpe Ratio falls into.


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McDonald's 3-Year Sharpe Ratio Calculation

The 3-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset in the last three years. A stock / portfolio's 3-Year Sharpe Ratio can be calculated by dividing the difference between the three-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the investment returns over the past three years.

McDonald's  (NYSE:MCD) 3-Year Sharpe Ratio Explanation

The 3-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past three years. It is calculated as the annualized result of the average three-year monthly excess returns divided by its standard deviation in the three-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

McDonald's 3-Year Sharpe Ratio Related Terms

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McDonald's Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Restaurants » McDonald's Corp (NYSE:MCD) » Definitions » 3-Year Sharpe Ratio
Comparable Companies
SBUX CMG YUM DRI YUMC DPZ TXRH LKNCY WING CAVA LSE:CPG TSX:QSP.UN TSX:QSR HKSE:06862 TSE:7550 BROS EAT HKSE:01364 TSE:3350 SHAK
Traded in Other Exchanges
MCD:Mexico 1MCD:Italy MDOd:UK 0R16:UK MDO0:Germany MDO:Germany MDO:Germany MDO:Germany MDO:Germany MCDS:Canada MCDC34:Brazil MCD:Austria MCD:Argentina
Address
110 North Carpenter Street, Chicago, IL, USA, 60607
Website
https://corporate.mcdonalds.com
McDonald's is the largest restaurant owner-operator in the world, with 2024 system sales of $131 billion across more than 43,000 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.
Executives
Joseph M. Erlinger officer: President, McDonald's USA MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Manuel Jm Steijaert officer: EVP - Chief Customer Officer 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Marion K. Gross officer: EVP-Chief Supply Chain Officer MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Jonathan Banner officer: EVP - Chief Impact Officer MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Edith Morgan Flatley officer: EVP - Global CMO MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Christopher J Kempczinski director, officer: President and CEO THREE LAKES DRIVE, NORTHFIELD IL 60093
Desiree Ralls-morrison officer: EVP, Chief Legal Off. and Sec. C/O BOSTON SCIENTIFIC CORPORATION, 300 BOSTON SCIENTIFIC WAY, MARLBOROUGH MA 01752
Ian Frederick Borden officer: EVP & CFO MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Catherine A. Hoovel officer: SVP - Corporate Controller MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Heidi B Capozzi officer: EVP - Chief People Officer C/O THE BOEING COMPANY, 100 RIVERSIDE PLAZA, CHICAGO IL 60606-1596
Brian S Rice officer: EVP-Global Chief Info. Officer 7000 CARDINAL PLACE, DUBLIN OH 43017
Enrique Jr Hernandez director, other: Non-Exec Chairman of the Board INTER-CON SECURITY SYSTEMS, INC., 210 SOUTH DELACEY AVENUE, PASADENA CA 91105
Jo Sempels officer: President, IDL MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Catherine M. Engelbert director 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Rogers John W Jr director ARIEL CAPITAL MANAGEMENT, INC., 200 EAST RANDOLPH DRIVE, SUITE 2900, CHICAGO IL 60601