McDonald’s Corporation (MCD)

Executive Summary

McDonald’s Corporation is the largest restaurant company in the world by systemwide sales, with roughly 45,000 restaurants across 100+ countries and a refranchised model that converts a global footprint of consumer transactions into a recurring stream of royalties, rent, and brand fees. The chain produced approximately $26.9B of consolidated revenue and $8.6B of net income in fiscal 2025, with operating margins north of 46% and a return on invested capital that, in our view, justifies a quality multiple even after a punishing eighteen months for the restaurant tape. We at T&T Capital Management view MCD as a textbook defensive compounder trading at a reasonable, not cheap, valuation.

What’s Inside The Full Report

• 15-year financial summary table — revenue, net income, GAAP & adjusted EPS
• Valuation framework — current multiples vs. 5-year historical range
• Peer comparison table — multiples, margins, balance-sheet metrics
• Base case, bull case, bear case price targets with explicit math
• Competitive position and economic moat analysis
• Management and capital allocation track record
• Balance sheet review — leverage, credit ratings, distribution coverage
• Insider activity — recent open-market buys / sells with interpretation
• Strategic acquisitions and divestitures history
• Sell-side consensus and where TTCM differs
• Detailed risk factors specific to the name
• Bull case and forward catalysts to watch
• TTCM rating with explicit ADD / TRIM price triggers