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AMZN vs. MCD: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at AMZN and MCD, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

AMZN dominates in value with a market cap of 2,135.17 billion USD, eclipsing MCD’s 226.27 billion USD by roughly 9.44×.

AMZN’s beta of 1.31 points to much larger expected swings compared to MCD’s calmer 0.57, suggesting both higher upside and downside potential.

SymbolAMZNMCD
Company NameAmazon.com, Inc.McDonald's Corporation
CountryUSUS
SectorConsumer CyclicalConsumer Cyclical
IndustrySpecialty RetailRestaurants
CEOMr. Andrew R. JassyMr. Christopher J. Kempczinski
Price201.12 USD316.44 USD
Market Cap2,135.17 billion USD226.27 billion USD
Beta1.310.57
ExchangeNASDAQNYSE
IPO DateMay 15, 1997April 21, 1965
ADRNoNo

Performance Comparison

This chart compares the performance of AMZN and MCD over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of AMZN and MCD based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • MCD carries a sub-zero price-to-book ratio of -65.50, indicating negative equity. In contrast, AMZN (P/B 6.97) has positive book value.
SymbolAMZNMCD
Price-to-Earnings Ratio (P/E, TTM)32.3427.72
Forward PEG Ratio (TTM)1.613.62
Price-to-Sales Ratio (P/S, TTM)3.288.80
Price-to-Book Ratio (P/B, TTM)6.97-65.50
Price-to-Free Cash Flow Ratio (P/FCF, TTM)102.6033.75
EV-to-EBITDA (TTM)16.3120.01
EV-to-Sales (TTM)3.3910.81
EV-to-Free Cash Flow (TTM)105.8241.44

Dividend Comparison

AMZN offers a 0% dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while MCD provides a 2.17% dividend yield, giving investors a steady income stream.

SymbolAMZNMCD
Dividend Yield (TTM)0.00%2.17%

Financial Strength Metrics Comparison

This section dives into the financial resilience of AMZN and MCD, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • MCD has negative equity (debt-to-equity ratio -15.28), suggesting asset shortfalls, whereas AMZN at 0.44 preserves healthier equity coverage.
  • MCD carries a debt-to-assets ratio of 0.94, suggesting substantial asset funding via debt, while AMZN at 0.21 opts for a more conservative financing structure.
SymbolAMZNMCD
Current Ratio (TTM)1.051.18
Quick Ratio (TTM)0.841.17
Debt-to-Equity Ratio (TTM)0.44-15.28
Debt-to-Assets Ratio (TTM)0.210.94
Interest Coverage Ratio (TTM)31.137.70