Mcdonalds Stock Cash And Equivalents
| MCD Stock | USD 296.01 0.93 0.32% |
McDonalds fundamentals help investors to digest information that contributes to McDonalds' financial success or failures. It also enables traders to predict the movement of McDonalds Stock. The fundamental analysis module provides a way to measure McDonalds' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to McDonalds stock.
| Last Reported | Projected for Next Year | ||
| Cash And Equivalents | 3 B | 2.5 B |
McDonalds | Cash And Equivalents |
McDonalds Company Cash And Equivalents Analysis
McDonalds' Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Current McDonalds Cash And Equivalents | 2.58 B |
Most of McDonalds' fundamental indicators, such as Cash And Equivalents, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, McDonalds is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
McDonalds Cash And Equivalents Driver Correlations
Understanding the fundamental principles of building solid financial models for McDonalds is extremely important. It helps to project a fair market value of McDonalds Stock properly, considering its historical fundamentals such as Cash And Equivalents. Since McDonalds' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of McDonalds' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of McDonalds' interrelated accounts and indicators.
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McDonalds Cash And Equivalents Historical Pattern
Today, most investors in McDonalds Stock are looking for potential investment opportunities by analyzing not only static indicators but also various McDonalds' growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's cash and equivalents growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of McDonalds cash and equivalents as a starting point in their analysis.
McDonalds Cash And Equivalents |
| Timeline |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
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In accordance with the recently published financial statements, McDonalds has 2.58 B in Cash And Equivalents. This is 234.36% higher than that of the Hotels, Restaurants & Leisure sector and significantly higher than that of the Consumer Discretionary industry. The cash and equivalents for all United States stocks is 4.38% higher than that of the company.
McDonalds Cash And Equivalents Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses McDonalds' direct or indirect competition against its Cash And Equivalents to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of McDonalds could also be used in its relative valuation, which is a method of valuing McDonalds by comparing valuation metrics of similar companies.McDonalds is currently under evaluation in cash and equivalents category among its peers.
McDonalds ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, McDonalds' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to McDonalds' managers, analysts, and investors.Environmental | Governance | Social |
McDonalds Fundamentals
| Return On Asset | 0.14 | ||||
| Profit Margin | 0.32 % | ||||
| Operating Margin | 0.47 % | ||||
| Current Valuation | 264.32 B | ||||
| Shares Outstanding | 716.62 M | ||||
| Shares Owned By Insiders | 0.18 % | ||||
| Shares Owned By Institutions | 73.16 % | ||||
| Number Of Shares Shorted | 8.98 M | ||||
| Price To Earning | 39.39 X | ||||
| Price To Sales | 8.18 X | ||||
| Revenue | 25.49 B | ||||
| Gross Profit | 13.21 B | ||||
| EBITDA | 13.9 B | ||||
| Net Income | 8.47 B | ||||
| Cash And Equivalents | 2.58 B | ||||
| Cash Per Share | 3.86 X | ||||
| Total Debt | 53.09 B | ||||
| Debt To Equity | 4.35 % | ||||
| Current Ratio | 1.65 X | ||||
| Book Value Per Share | (7.22) X | ||||
| Cash Flow From Operations | 9.61 B | ||||
| Short Ratio | 1.93 X | ||||
| Earnings Per Share | 11.40 X | ||||
| Price To Earnings To Growth | 2.67 X | ||||
| Target Price | 321.51 | ||||
| Number Of Employees | 100 K | ||||
| Beta | 0.74 | ||||
| Market Capitalization | 212.13 B | ||||
| Total Asset | 56.15 B | ||||
| Retained Earnings | 63.48 B | ||||
| Working Capital | 1.13 B | ||||
| Current Asset | 9.64 B | ||||
| Current Liabilities | 2.95 B | ||||
| Annual Yield | 0.02 % | ||||
| Five Year Return | 2.30 % | ||||
| Net Asset | 56.15 B | ||||
| Last Dividend Paid | 6.68 |
About McDonalds Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze McDonalds's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of McDonalds using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of McDonalds based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether McDonalds is a strong investment it is important to analyze McDonalds' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact McDonalds' future performance. For an informed investment choice regarding McDonalds Stock, refer to the following important reports:Check out McDonalds Piotroski F Score and McDonalds Altman Z Score analysis. For information on how to trade McDonalds Stock refer to our How to Trade McDonalds Stock guide.You can also try the Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Is Hotels, Restaurants & Leisure space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of McDonalds. If investors know McDonalds will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about McDonalds listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.01) | Dividend Share 6.68 | Earnings Share 11.4 | Revenue Per Share 36.01 | Quarterly Revenue Growth 0.027 |
The market value of McDonalds is measured differently than its book value, which is the value of McDonalds that is recorded on the company's balance sheet. Investors also form their own opinion of McDonalds' value that differs from its market value or its book value, called intrinsic value, which is McDonalds' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because McDonalds' market value can be influenced by many factors that don't directly affect McDonalds' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between McDonalds' value and its price as these two are different measures arrived at by different means. Investors typically determine if McDonalds is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, McDonalds' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.