McDonalds Buy Hold or Sell Recommendation

MCD -- USA Stock  

USD 162.56  1.99  1.21%

Considering 30-days investment horizon, and your above average risk tolerance our recommendation regarding McDonalds Corporation is 'Strong Hold'. Macroaxis provides McDonalds Corporation buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding McDonalds positions. The advice algorithm takes into account all of McDonalds Corporation available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from McDonalds buy-and-hold prospective. Please see also McDonalds Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus.

Time Horizon

Risk Tolerance

Symbol
Execute Advice

McDonalds Current Recommendation

SellBuy
Strong Hold

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

For the selected time horizon McDonalds Corporation has a risk adjusted performance of 0.01, jensen alpha of 0.0, total risk alpha of 0.0 and treynor ratio of 0.0
Macroaxis provides buy or sell recommendations on McDonalds to complement and cross-verify current analyst consensus on McDonalds. Our advice engine determines the firm potential to grow exclusively from the prospective of investors current risk tolerance and investing horizon. To make sure McDonalds is not overpriced, please verify all McDonalds Corporation fundamentals including its Shares Outstanding, Price to Sales, Cash per Share, as well as the relationship between Number of Shares Shorted and EBITDA . Given that McDonalds has Price to Earning of 25.11 times, we recommend you check McDonalds market performance and probability of bankruptcy to make sure the company can sustain itself for the next few years given your last-minute risk tolerance and investing horizon.

McDonalds Thematic Classifications

Macroaxis Index IdeaMacroaxis Index
Macroaxis power theme of selected equities with solid fundamentals
Baby Boomer Prospects IdeaBaby Boomer Prospects
Mega stocks, funds and ETFs that tend to appeal to people considering retirement from the work force
Giant Impact IdeaGiant Impact
Public companies with mega capitalization

Returns Distribution Density

Mean Return0.09Value At Risk1.46
Potential Upside2.50Standard Deviation1.40
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Vanguard Group IncCommon Shares64.9 M10.1 B
Blackrock IncCommon Shares54.4 M8.5 B
State Street CorpCommon Shares38.5 M6 B
Capital World InvestorsCommon Shares19.7 M3.1 B
Fmr LlcCommon Shares18.5 M2.9 B
Bank Of America CorpCommon Shares12.8 M2 B
Capital Research Global InvestorsCommon Shares11.8 M1.8 B

McDonalds Greeks

α
Alpha over DOW
=0.00
β
Beta against DOW=0.00
σ
Overall volatility
=1.43
Ir
Information ratio =0.00

McDonalds Volatility Alert

McDonalds Corporation has low volatility with Treynor Ratio of 0.0, Maximum Drawdown of 5.83 and kurtosis of 3.25. However, we advice all investors to further analyze McDonalds Corporation to make certain all market information is desiminated and is consistent with the current expectations about McDonalds upside potential.
    
 Better Than Average     
    
 Worse Than Average Compare McDonalds to competition

McDonalds Fundamental Vs Peers

FundamentalsMcDonaldsPeer Average
Return On Equity521.40 % (15.17) %
Return On Asset16.02 % (15.64) %
Profit Margin24.02 % (5.50) %
Operating Margin44.16 % (10.91) %
Current Valuation159.12 B152.14 B
Shares Outstanding785.18 M1.43 B
Shares Owned by Insiders0.10 % 6.91 %
Shares Owned by Institutions69.66 % 18.37 %
Number of Shares Shorted6.69 M3.24 M
Price to Earning25.11 times40.69 times
Price to Book159.27 times14.44 times
Price to Sales5.86 times17.81 times
Revenue22.28 B9.85 B
Gross Profit10.62 B21.75 B
EBITDA9.84 B1.41 B
Net Income5.35 B517.71 M
Cash and Equivalents2.47 B3.89 B
Cash per Share3.14 times5.17 times
Total Debt30.89 B7.36 B
Debt to Equity4.35 % 0.72 %
Current Ratio1.74 times3.30 times
Book Value Per Share6.01 times13.64 times
Cash Flow from Operations5.12 B1.25 B
Short Ratio1.83 times2.09 times
Earnings Per Share6.62 times2.30 times
Price to Earnings To Growth2.43 times1.22 times
Number of Employees235 K10.67 K
Beta0.690.34
Market Capitalization130.56 B29.78 B
Total Asset37.94 B126.86 B
Retained Earnings44.59 B38.24 B
Working Capital6.69 B3.58 B
Current Asset9.64 B36.8 B
   Acquisition by Roger Stone of 260 shares of McDonalds subject to Rule 16b-3 [view details]

McDonalds Alerts

Trading Alerts and Improvement Suggestions
McDonalds has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial commitments
About 70.0% of the company shares are owned by institutional investors
On June 1, 2018 McDonalds paid $ 1.01 per share dividend to its current shareholders
Latest headline from seekingalpha.com: McDonalds Excellent Long-Term Compounding Candidate

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Please see also McDonalds Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus. Please also try Premium Stories module to follow macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.