McDonald's (XSWX:MCD) 3-Year Share Buyback Ratio: 1.00% (As of Mar. 2026) — 38% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XSWX:MCD McDonald's Corp XSWX:MCD
74 GF Score
Price CHF219.35
GF Value CHF262.19
! 2 Warning Signs
View Full Analysis

What is McDonald's 3-Year Share Buyback Ratio?

McDonald's XSWX:MCD +1.08% 74 3-Year Share Buyback Ratio is 1.00 as of Mar. 2026, which is 38% below its 10-year median of 1.60. GuruFocus rates XSWX:MCD with a GF Score™ of 74/100 and a GF Value™ of CHF262.19. The stock has 2 warning signs investors should review. Among 234 Restaurants companies, McDonald's ranks better than 84.19% on this metric.

Shares Outstanding (EOP) are shares that have been authorized, issued, and purchased by investors and are held by them.

3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. A positive ratio may indicate share buybacks over the period, while a zero or negative ratio may reflect no repurchases or potential share issuance. McDonald's's current 3-Year Share Buyback Ratio was 1.00%.

The historical rank and industry rank for McDonald's's 3-Year Share Buyback Ratio or its related term are showing as below:

XSWX:MCD' s 3-Year Share Buyback Ratio Range Over the Past 10 Years
Min: -0.2   Med: 1.6   Max: 6.2
Current: 1

During the past 13 years, McDonald's's highest 3-Year Share Buyback Ratio was 6.20%. The lowest was -0.20%. And the median was 1.60%.

XSWX:MCD's 3-Year Share Buyback Ratio is ranked better than
84.19% of 234 companies
in the Restaurants industry
Industry Median: -0.45 vs XSWX:MCD: 1.00

McDonald's (XSWX:MCD) 3-Year Share Buyback Ratio Explanation

A negative number means the company might be issuing new shares. A positive number indicates that the company is buying back shares.


Be Aware

Investors usually like share buybacks. But as pointed by Warren Buffett, only if a company buys back shares at the prices below the stock's intrinsic value, it rewards remaining shareholders. If a company buys its overvalued stocks back, it destroys shareholder value.


McDonald's 3-Year Share Buyback Ratio Related Terms


XSWX:MCD vs SBUX, YUM, CMG: 3-Year Share Buyback Ratio Comparison

For the Restaurants subindustry, McDonald's's 3-Year Share Buyback Ratio, along with its competitors' market caps and 3-Year Share Buyback 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 3-Year Share Buyback Ratio vs Restaurants Industry

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

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


XSWX:MCD
74GF Score
McDonald's Corp XSWX:MCD
3-Year Share Buyback Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

McDonald's 3-Year Share Buyback Ratio Calculation

This is the annualized percentage change in shares outstanding from three years ago to the current year. The annualized percentage change is calculated with expontential compound based on the latest four years of annual data on Shares Outstanding (EOP).

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.

What does a 3-Year Share Buyback Ratio of 1.00 mean?
McDonald's (XSWX:MCD) has a 3-Year Share Buyback Ratio of 1.00 as of Mar. 2026. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for McDonald's and its competitors. This is 38% below median its historical median of 1.60. According to the industry distribution chart, McDonald's ranks #37 out of 234 companies in the Restaurants industry, placing it in the top 15.8%.
Is McDonald's' 3-Year Share Buyback Ratio too high?
McDonald's' current 3-Year Share Buyback Ratio of 1.00 is 38% below median its 10-year median of 1.60. Based on the distribution chart, McDonald's ranks #37 out of 234 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. Overall, McDonald's has a GF Score™ of 74/100, reflecting its overall financial health beyond just this single metric.
How does McDonald's' 3-Year Share Buyback Ratio compare to SBUX and YUM?
According to the Restaurants industry distribution chart, McDonald's ranks #37 out of 234 companies for 3-Year Share Buyback Ratio. This places McDonald's in the top 16% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Share Buyback Ratio for a Restaurants company?
A good 3-Year Share Buyback Ratio depends on the Restaurants industry context. However, 3-Year Share Buyback Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Share Buyback Ratio mean?
A high 3-Year Share Buyback Ratio can signal that a stock is expensive relative to its fundamentals. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for McDonald's and its competitors. McDonald's's current 3-Year Share Buyback Ratio is 1.00, which is 38% below median its own 10-year median of 1.60. 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 (XSWX:MCD) has a current 3-Year Share Buyback Ratio of 1.00. The stock's GF Value™ is CHF262.19, compared to a current price of CHF219.35 — trading 16.3% below its estimated fair value. The current 3-Year Share Buyback Ratio is 1.00, which is 38% below median its 10-year median of 1.60. McDonald's' overall GF Score™ is 74/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Share Buyback Ratio calculated?
3-Year Share Buyback Ratio is calculated from a company's financial statements. For McDonald's (XSWX:MCD), the current 3-Year Share Buyback Ratio is 1.00 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.

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

Based on GuruFocus' analysis, McDonald's stock appears to be undervalued. The current stock price of CHF219.35 is trading 16.3% below its estimated GF Value™ of CHF262.19.

Key valuation signals for XSWX:MCD:

  • 3-Year Share Buyback Ratio: 1.00 (38% below median its 10-year median of 1.60)
  • GF Value™: CHF262.19 vs. price of CHF219.35 (16.3% below fair value)
  • GF Score™: 74/100 with 2 warning signs

No single metric tells the full story. See the XSWX:MCD 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%).
74GF Score

Get the complete analysis for XSWX:MCD

3-Year Share Buyback Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF219.35
Price
CHF262.19
GF Value