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

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

Company Profile

SymbolMCDMGA
Company NameMcDonald's CorporationMagna International Inc.
CountryUnited StatesCanada
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustryHotels, Restaurants & LeisureAutomobile Components
Market Capitalization222.24 billion USD13.04 billion USD
ExchangeNYSENYSE
Listing DateJuly 5, 1966October 5, 1984
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of MCD and MGA 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.

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

Historical Performance at a Glance

SymbolMCDMGA
5-Day Price Return-0.57%4.39%
13-Week Price Return-1.12%30.10%
26-Week Price Return2.17%16.88%
52-Week Price Return7.88%11.19%
Month-to-Date Return3.79%12.95%
Year-to-Date Return7.43%6.82%
10-Day Avg. Volume3.22M0.84M
3-Month Avg. Volume3.47M1.49M
3-Month Volatility15.30%27.40%
Beta0.521.09

Profitability

Return on Equity (TTM)

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.

MGA

10.10%

Automobile Components Industry

Max
22.61%
Q3
12.61%
Median
8.05%
Q1
4.99%
Min
-4.24%

MGA’s Return on Equity of 10.10% is on par with the norm for the Automobile Components industry, indicating its profitability relative to shareholder equity is typical for the sector.

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

Net Profit Margin (TTM)

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.

MGA

2.91%

Automobile Components Industry

Max
14.35%
Q3
7.20%
Median
5.37%
Q1
2.20%
Min
-3.89%

MGA’s Net Profit Margin of 2.91% is aligned with the median group of its peers in the Automobile Components industry. This indicates its ability to convert revenue into profit is typical for the sector.

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

Operating Profit Margin (TTM)

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.

MGA

4.33%

Automobile Components Industry

Max
18.98%
Q3
10.24%
Median
7.27%
Q1
4.13%
Min
0.23%

MGA’s Operating Profit Margin of 4.33% is around the midpoint for the Automobile Components industry, indicating that its efficiency in managing core business operations is typical for the sector.

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

Profitability at a Glance

SymbolMCDMGA
Return on Equity (TTM)95.13%10.10%
Return on Assets (TTM)14.78%3.76%
Net Profit Margin (TTM)32.21%2.91%
Operating Profit Margin (TTM)45.80%4.33%
Gross Profit Margin (TTM)57.00%13.83%

Financial Strength

Current Ratio (MRQ)

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.

MGA

1.16

Automobile Components Industry

Max
4.06
Q3
2.51
Median
1.80
Q1
1.47
Min
0.79

MGA’s Current Ratio of 1.16 falls into the lower quartile for the Automobile Components industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

MCD vs. MGA: A comparison of their Current Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Automobile Components industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

MGA

0.48

Automobile Components Industry

Max
1.25
Q3
0.63
Median
0.37
Q1
0.18
Min
0.00

MGA’s Debt-to-Equity Ratio of 0.48 is typical for the Automobile Components industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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

Interest Coverage Ratio (TTM)

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.

MGA

8.66

Automobile Components Industry

Max
88.53
Q3
38.84
Median
11.36
Q1
5.08
Min
-21.51

MGA’s Interest Coverage Ratio of 8.66 is positioned comfortably within the norm for the Automobile Components industry, indicating a standard and healthy capacity to cover its interest payments.

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

Financial Strength at a Glance

SymbolMCDMGA
Current Ratio (MRQ)1.301.16
Quick Ratio (MRQ)1.030.80
Debt-to-Equity Ratio (MRQ)40.640.48
Interest Coverage Ratio (TTM)9.268.66

Growth

Revenue Growth

MCD vs. MGA: 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

MCD vs. MGA: 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)

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.

MGA

4.35%

Automobile Components Industry

Max
6.03%
Q3
3.38%
Median
2.62%
Q1
1.38%
Min
0.00%

With a Dividend Yield of 4.35%, MGA offers a more attractive income stream than most of its peers in the Automobile Components industry, signaling a strong commitment to shareholder returns.

MCD vs. MGA: A comparison of their Dividend Yield (TTM) against their respective Hotels, Restaurants & Leisure and Automobile Components industry benchmarks.

Dividend Payout Ratio (TTM)

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.

MGA

44.88%

Automobile Components Industry

Max
95.56%
Q3
55.95%
Median
37.10%
Q1
27.90%
Min
0.00%

MGA’s Dividend Payout Ratio of 44.88% is within the typical range for the Automobile Components industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

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

Dividend at a Glance

SymbolMCDMGA
Dividend Yield (TTM)2.24%4.35%
Dividend Payout Ratio (TTM)59.51%44.88%

Valuation

Price-to-Earnings Ratio (TTM)

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.

MGA

10.33

Automobile Components Industry

Max
26.62
Q3
17.42
Median
13.22
Q1
11.14
Min
2.52

In the lower quartile for the Automobile Components industry, MGA’s P/E Ratio of 10.33 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

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

Price-to-Sales Ratio (TTM)

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.

MGA

0.30

Automobile Components Industry

Max
1.81
Q3
0.97
Median
0.71
Q1
0.38
Min
0.08

In the lower quartile for the Automobile Components industry, MGA’s P/S Ratio of 0.30 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 vs. MGA: A comparison of their Price-to-Sales Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Automobile Components industry benchmarks.

Price-to-Book Ratio (MRQ)

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.

MGA

0.85

Automobile Components Industry

Max
2.49
Q3
1.49
Median
0.93
Q1
0.78
Min
0.40

MGA’s P/B Ratio of 0.85 is within the conventional range for the Automobile Components industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

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

Valuation at a Glance

SymbolMCDMGA
Price-to-Earnings Ratio (TTM)26.5910.33
Price-to-Sales Ratio (TTM)8.560.30
Price-to-Book Ratio (MRQ)160.460.85
Price-to-Free Cash Flow Ratio (TTM)32.366.83