McDonald's (MIL:1MCD) Shiller PE Ratio: (As of Sep. 21, 2026)

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MIL:1MCD McDonald's Corp MIL:1MCD
56 GF Score
Price €218.10
GF Value €284.63
Valuation Modestly Undervalued
! 1 Warning Sign
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What is McDonald's Shiller PE Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


McDonald's  (MIL:1MCD) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


McDonald's Shiller PE Ratio Related Terms


McDonald's Shiller PE Ratio Historical Data

* Premium members only.

The historical data trend for McDonald's's Shiller PE 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 Shiller PE Ratio Chart

McDonald's Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 35.14 33.93 29.31

McDonald's Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Shiller PE 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 28.48 29.07 29.16 28.92 24.91

MIL:1MCD vs SBUX, CMG, YUM: Shiller PE Ratio Comparison

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

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

* The bar in red indicates where McDonald's's Shiller PE Ratio falls into.


MIL:1MCD
56GF Score
McDonald's Corp MIL:1MCD
Shiller PE Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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McDonald's Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

McDonald's's E10 for the quarter that ended in Jun. 2026 is calculated as:

For example, McDonald's's adjusted earnings per share data for the three months ended in Jun. 2026 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=2.8568/333.9520*333.9520
=2.857

Current CPI (Jun. 2026) = 333.9520.

McDonald's Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201609 1.344 241.428 1.859
201612 1.335 241.432 1.847
201703 1.379 243.801 1.889
201706 1.545 244.955 2.106
201709 1.977 246.819 2.675
201712 0.739 246.524 1.001
201803 1.400 249.554 1.873
201806 1.595 251.989 2.113
201809 1.806 252.439 2.388
201812 1.595 251.233 2.120
201903 1.516 254.202 1.992
201906 1.756 256.143 2.290
201909 1.893 256.759 2.462
201912 1.879 256.974 2.442
202003 1.338 258.115 1.732
202006 0.587 257.797 0.760
202009 2.012 260.280 2.581
202012 1.538 260.474 1.972
202103 1.699 264.877 2.143
202106 2.450 271.696 3.011
202109 2.423 274.310 2.950
202112 1.908 278.802 2.285
202203 1.317 287.504 1.530
202206 1.502 296.311 1.693
202209 2.660 296.808 2.993
202212 2.537 296.797 2.854
202303 2.284 301.836 2.527
202306 2.891 305.109 3.164
202309 2.911 307.789 3.159
202312 2.606 306.746 2.837
202403 2.448 312.332 2.618
202406 2.601 314.175 2.765
202409 2.851 315.301 3.020
202412 2.627 315.605 2.780
202503 2.471 319.799 2.581
202506 2.770 322.561 2.868
202509 2.723 324.800 2.800
202512 2.603 324.054 2.683
202603 2.376 330.213 2.402
202606 2.857 333.952 2.857

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

Is McDonald's (MIL:1MCD) Overvalued in 2026?

Based on GuruFocus' analysis, McDonald's stock appears to be undervalued. The current stock price of €218.10 is trading 23.4% below its estimated GF Value™ of €284.63. GuruFocus considers McDonald's to be Modestly Undervalued.

Key valuation signals for MIL:1MCD:

  • Shiller PE Ratio:
  • GF Value™: €284.63 vs. price of €218.10 (23.4% below fair value)
  • GF Score™: 56/100 with 1 warning sign

No single metric tells the full story. See the MIL:1MCD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


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%).
56GF Score

Get the complete analysis for MIL:1MCD

Shiller PE Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€218.10
Price
€284.63
GF Value