Seek Returns logo

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

Updated on

Here’s a clear look at JD and MCD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

JD trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, MCD is a standard domestic listing.

SymbolJDMCD
Company NameJD.com, Inc.McDonald's Corporation
CountryChinaUnited States
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustryBroadline RetailHotels, Restaurants & Leisure
Market Capitalization45.62 billion USD223.42 billion USD
ExchangeNasdaqGSNYSE
Listing DateMay 22, 2014July 5, 1966
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of JD and MCD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

JD vs. MCD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolJDMCD
5-Day Price Return-2.08%1.34%
13-Week Price Return-8.92%-2.54%
26-Week Price Return-21.52%0.99%
52-Week Price Return-46.37%8.88%
Month-to-Date Return-0.33%4.34%
Year-to-Date Return-9.93%8.00%
10-Day Avg. Volume14.11M3.35M
3-Month Avg. Volume15.69M3.50M
3-Month Volatility28.00%15.56%
Beta1.570.51

Profitability

Return on Equity (TTM)

JD

16.63%

Broadline Retail Industry

Max
49.17%
Q3
28.98%
Median
19.22%
Q1
10.86%
Min
-11.14%

JD’s Return on Equity of 16.63% is on par with the norm for the Broadline Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.

MCD

95.13%

Hotels, Restaurants & Leisure Industry

Max
83.01%
Q3
39.51%
Median
17.38%
Q1
5.32%
Min
-45.92%

MCD’s Return on Equity of 95.13% is exceptionally high, placing it well beyond the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

JD vs. MCD: A comparison of their Return on Equity (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Net Profit Margin (TTM)

JD

3.06%

Broadline Retail Industry

Max
19.78%
Q3
11.90%
Median
8.63%
Q1
5.21%
Min
0.82%

Falling into the lower quartile for the Broadline Retail industry, JD’s Net Profit Margin of 3.06% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

MCD

32.21%

Hotels, Restaurants & Leisure Industry

Max
26.45%
Q3
14.67%
Median
8.69%
Q1
3.34%
Min
-11.30%

MCD’s Net Profit Margin of 32.21% is exceptionally high, placing it well beyond the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

JD vs. MCD: A comparison of their Net Profit Margin (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Operating Profit Margin (TTM)

JD

2.52%

Broadline Retail Industry

Max
27.23%
Q3
15.96%
Median
11.13%
Q1
8.31%
Min
1.77%

JD’s Operating Profit Margin of 2.52% is in the lower quartile for the Broadline Retail industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

MCD

45.80%

Hotels, Restaurants & Leisure Industry

Max
38.76%
Q3
21.15%
Median
14.20%
Q1
6.43%
Min
-14.56%

MCD’s Operating Profit Margin of 45.80% is exceptionally high, placing it well above the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

JD vs. MCD: A comparison of their Operating Profit Margin (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Profitability at a Glance

SymbolJDMCD
Return on Equity (TTM)16.63%95.13%
Return on Assets (TTM)5.67%14.78%
Net Profit Margin (TTM)3.06%32.21%
Operating Profit Margin (TTM)2.52%45.80%
Gross Profit Margin (TTM)16.02%57.00%

Financial Strength

Current Ratio (MRQ)

JD

1.22

Broadline Retail Industry

Max
3.54
Q3
2.42
Median
1.49
Q1
1.22
Min
0.67

JD’s Current Ratio of 1.22 aligns with the median group of the Broadline Retail industry, indicating that its short-term liquidity is in line with its sector peers.

MCD

1.30

Hotels, Restaurants & Leisure Industry

Max
2.68
Q3
1.62
Median
1.11
Q1
0.74
Min
0.19

MCD’s Current Ratio of 1.30 aligns with the median group of the Hotels, Restaurants & Leisure industry, indicating that its short-term liquidity is in line with its sector peers.

JD vs. MCD: A comparison of their Current Ratio (MRQ) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Debt-to-Equity Ratio (MRQ)

JD

0.32

Broadline Retail Industry

Max
2.14
Q3
1.34
Median
0.63
Q1
0.27
Min
0.00

JD’s Debt-to-Equity Ratio of 0.32 is typical for the Broadline Retail industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

MCD

40.64

Hotels, Restaurants & Leisure Industry

Max
9.88
Q3
4.54
Median
1.52
Q1
0.27
Min
0.00

With a Debt-to-Equity Ratio of 40.64, MCD operates with exceptionally high leverage compared to the Hotels, Restaurants & Leisure industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

JD vs. MCD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Interest Coverage Ratio (TTM)

JD

6.46

Broadline Retail Industry

Max
37.34
Q3
20.63
Median
11.28
Q1
4.22
Min
-19.29

JD’s Interest Coverage Ratio of 6.46 is positioned comfortably within the norm for the Broadline Retail industry, indicating a standard and healthy capacity to cover its interest payments.

MCD

9.26

Hotels, Restaurants & Leisure Industry

Max
26.88
Q3
11.95
Median
3.87
Q1
1.19
Min
-11.84

MCD’s Interest Coverage Ratio of 9.26 is positioned comfortably within the norm for the Hotels, Restaurants & Leisure industry, indicating a standard and healthy capacity to cover its interest payments.

JD vs. MCD: A comparison of their Interest Coverage Ratio (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Financial Strength at a Glance

SymbolJDMCD
Current Ratio (MRQ)1.221.30
Quick Ratio (MRQ)0.831.03
Debt-to-Equity Ratio (MRQ)0.3240.64
Interest Coverage Ratio (TTM)6.469.26

Growth

Revenue Growth

JD vs. MCD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

JD vs. MCD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

JD

0.00%

Broadline Retail Industry

Max
5.46%
Q3
2.38%
Median
0.43%
Q1
0.00%
Min
0.00%

JD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

MCD

2.24%

Hotels, Restaurants & Leisure Industry

Max
5.88%
Q3
2.37%
Median
0.68%
Q1
0.00%
Min
0.00%

MCD’s Dividend Yield of 2.24% is consistent with its peers in the Hotels, Restaurants & Leisure industry, providing a dividend return that is standard for its sector.

JD vs. MCD: A comparison of their Dividend Yield (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Dividend Payout Ratio (TTM)

JD

0.00%

Broadline Retail Industry

Max
131.17%
Q3
63.48%
Median
29.43%
Q1
0.00%
Min
0.00%

JD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

MCD

59.51%

Hotels, Restaurants & Leisure Industry

Max
127.31%
Q3
56.79%
Median
19.58%
Q1
0.00%
Min
0.00%

MCD’s Dividend Payout Ratio of 59.51% is in the upper quartile for the Hotels, Restaurants & Leisure industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

JD vs. MCD: A comparison of their Dividend Payout Ratio (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Dividend at a Glance

SymbolJDMCD
Dividend Yield (TTM)0.00%2.24%
Dividend Payout Ratio (TTM)0.00%59.51%

Valuation

Price-to-Earnings Ratio (TTM)

JD

8.45

Broadline Retail Industry

Max
66.12
Q3
35.17
Median
16.29
Q1
10.47
Min
5.94

In the lower quartile for the Broadline Retail industry, JD’s P/E Ratio of 8.45 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

MCD

26.59

Hotels, Restaurants & Leisure Industry

Max
59.44
Q3
33.98
Median
22.25
Q1
15.53
Min
7.61

MCD’s P/E Ratio of 26.59 is within the middle range for the Hotels, Restaurants & Leisure industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

JD vs. MCD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Price-to-Sales Ratio (TTM)

JD

0.26

Broadline Retail Industry

Max
5.40
Q3
3.33
Median
2.04
Q1
0.80
Min
0.16

In the lower quartile for the Broadline Retail industry, JD’s P/S Ratio of 0.26 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

MCD

8.56

Hotels, Restaurants & Leisure Industry

Max
7.74
Q3
3.88
Median
2.05
Q1
1.19
Min
0.17

With a P/S Ratio of 8.56, MCD trades at a valuation that eclipses even the highest in the Hotels, Restaurants & Leisure industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

JD vs. MCD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Price-to-Book Ratio (MRQ)

JD

1.64

Broadline Retail Industry

Max
9.06
Q3
5.22
Median
3.48
Q1
1.90
Min
0.74

JD’s P/B Ratio of 1.64 is in the lower quartile for the Broadline Retail industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

MCD

160.46

Hotels, Restaurants & Leisure Industry

Max
20.90
Q3
9.78
Median
4.29
Q1
2.22
Min
0.47

At 160.46, MCD’s P/B Ratio is at an extreme premium to the Hotels, Restaurants & Leisure industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

JD vs. MCD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Broadline Retail and Hotels, Restaurants & Leisure industry benchmarks.

Valuation at a Glance

SymbolJDMCD
Price-to-Earnings Ratio (TTM)8.4526.59
Price-to-Sales Ratio (TTM)0.268.56
Price-to-Book Ratio (MRQ)1.64160.46
Price-to-Free Cash Flow Ratio (TTM)6.6232.36