Current Ratio
since 2005
Calculation
McDonald’s Corp., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 0.95 | = | 4,163) | ÷ | 4,361) |
| Dec 31, 2024 | 1.19 | = | 4,599) | ÷ | 3,861) |
| Dec 31, 2023 | 1.16 | = | 7,986) | ÷ | 6,859) |
| Dec 31, 2022 | 1.43 | = | 5,424) | ÷ | 3,802) |
| Dec 31, 2021 | 1.78 | = | 7,149) | ÷ | 4,020) |
| Dec 31, 2020 | 1.01 | = | 6,243) | ÷ | 6,181) |
| Dec 31, 2019 | 0.98 | = | 3,558) | ÷ | 3,621) |
| Dec 31, 2018 | 1.36 | = | 4,053) | ÷ | 2,974) |
| Dec 31, 2017 | 1.84 | = | 5,327) | ÷ | 2,891) |
| Dec 31, 2016 | 1.40 | = | 4,849) | ÷ | 3,468) |
| Dec 31, 2015 | 3.27 | = | 9,643) | ÷ | 2,950) |
| Dec 31, 2014 | 1.52 | = | 4,186) | ÷ | 2,748) |
| Dec 31, 2013 | 1.59 | = | 5,050) | ÷ | 3,170) |
| Dec 31, 2012 | 1.45 | = | 4,922) | ÷ | 3,403) |
| Dec 31, 2011 | 1.25 | = | 4,403) | ÷ | 3,509) |
| Dec 31, 2010 | 1.49 | = | 4,369) | ÷ | 2,925) |
| Dec 31, 2009 | 1.14 | = | 3,416) | ÷ | 2,989) |
| Dec 31, 2008 | 1.39 | = | 3,518) | ÷ | 2,538) |
| Dec 31, 2007 | 0.80 | = | 3,582) | ÷ | 4,499) |
| Dec 31, 2006 | 1.21 | = | 3,625) | ÷ | 3,008) |
| Dec 31, 2005 | 1.45 | = | 5,850) | ÷ | 4,036) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The current ratio exhibited considerable fluctuation between 2005 and 2025. Initially, the ratio decreased from 1.45 in 2005 to a low of 0.80 in 2007, before experiencing a period of moderate recovery. Subsequent years showed further volatility, peaking at 3.27 in 2015, followed by a decline and stabilization around the 1.15-1.45 range in recent years.
- Initial Decline (2005-2007)
- The current ratio experienced a notable decrease during this period, falling from 1.45 to 0.80. This suggests a weakening in the company’s ability to cover its short-term liabilities with its short-term assets. The decrease in current assets, coupled with initially increasing current liabilities, contributed to this trend.
- Recovery and Volatility (2008-2014)
- From 2008 through 2014, the current ratio demonstrated a recovery, reaching 1.59 in 2013. However, this period was characterized by fluctuations, indicating inconsistent short-term liquidity management. The ratio generally remained above 1.14, suggesting the company generally maintained sufficient current assets to cover current liabilities, though with varying degrees of comfort.
- Peak and Subsequent Decline (2015-2016)
- The ratio reached a high of 3.27 in 2015, a significant increase from prior years. This was driven by a substantial increase in current assets relative to current liabilities. However, this peak was short-lived, with the ratio declining to 1.40 in 2016, indicating a reduction in short-term liquidity.
- Recent Trends (2017-2025)
- Between 2017 and 2025, the current ratio fluctuated between approximately 0.95 and 1.84. A dip to 0.98 was observed in 2019, followed by a rise to 1.78 in 2021. The most recent values, 1.16 in 2022, 1.19 in 2023, and 0.95 in 2025, suggest a recent trend towards a lower, but still generally acceptable, level of short-term liquidity. The ratio has remained below 1.20 for the last three years.
Overall, the company’s current ratio has demonstrated a pattern of cyclical changes over the analyzed period. While periods of strong liquidity were observed, the ratio has also experienced declines, indicating potential vulnerabilities in short-term financial position at certain times. The recent trend suggests a potential shift towards a more conservative liquidity stance.
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Comparison to Competitors
McDonald’s Corp., current ratio, long-term trends, comparison to competitors
| McDonald’s Corp. | Airbnb Inc. | Booking Holdings Inc. | Chipotle Mexican Grill Inc. | DoorDash, Inc. | Starbucks Corp. | |
|---|---|---|---|---|---|---|
| Dec 31, 2025 | 0.95 | 1.38 | 1.33 | 1.23 | 1.41 | 0.72 |
| Dec 31, 2024 | 1.19 | 1.69 | 1.31 | 1.52 | 1.66 | 0.75 |
| Dec 31, 2023 | 1.16 | 1.66 | 1.28 | 1.57 | 1.64 | 0.78 |
| Dec 31, 2022 | 1.43 | 1.86 | 1.86 | 1.28 | 1.86 | 0.77 |
| Dec 31, 2021 | 1.78 | 1.95 | 2.10 | 1.58 | 2.59 | 1.20 |
| Dec 31, 2020 | 1.01 | 1.73 | 3.56 | 1.73 | 3.94 | 1.06 |
| Dec 31, 2019 | 0.98 | — | 1.83 | 1.61 | — | 0.92 |
| Dec 31, 2018 | 1.36 | — | 2.36 | 1.81 | — | 2.20 |
| Dec 31, 2017 | 1.84 | — | 2.58 | 1.94 | — | 1.25 |
| Dec 31, 2016 | 1.40 | — | 1.89 | 1.85 | — | 1.05 |
| Dec 31, 2015 | 3.27 | — | 2.47 | 2.91 | — | 1.19 |
| Dec 31, 2014 | 1.52 | — | 3.82 | 3.58 | — | 1.37 |
| Dec 31, 2013 | 1.59 | — | 5.41 | 3.34 | — | 1.02 |
| Dec 31, 2012 | 1.45 | — | 3.89 | 2.93 | — | 1.90 |
| Dec 31, 2011 | 1.25 | — | 2.77 | 3.18 | — | 1.83 |
| Dec 31, 2010 | 1.49 | — | 4.15 | 3.30 | — | 1.55 |
| Dec 31, 2009 | 1.14 | — | 2.50 | 2.91 | — | 1.29 |
| Dec 31, 2008 | 1.39 | — | 1.14 | 2.75 | — | 0.80 |
| Dec 31, 2007 | 0.80 | — | 0.88 | 2.75 | — | 0.79 |
| Dec 31, 2006 | 1.21 | — | 5.00 | 2.92 | — | 0.79 |
| Dec 31, 2005 | 1.45 | — | 3.15 | 0.42 | — | 0.99 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Consumer Services)
McDonald’s Corp., current ratio, long-term trends, comparison to sector (consumer services)
| McDonald’s Corp. | Consumer Services | |
|---|---|---|
| Dec 31, 2025 | 0.95 | 1.20 |
| Dec 31, 2024 | 1.19 | 1.31 |
| Dec 31, 2023 | 1.16 | 1.28 |
| Dec 31, 2022 | 1.43 | 1.49 |
| Dec 31, 2021 | 1.78 | 1.77 |
| Dec 31, 2020 | 1.01 | 1.73 |
| Dec 31, 2019 | 0.98 | 1.27 |
| Dec 31, 2018 | 1.36 | 2.04 |
| Dec 31, 2017 | 1.84 | 1.85 |
| Dec 31, 2016 | 1.40 | 1.39 |
| Dec 31, 2015 | 3.27 | 2.21 |
| Dec 31, 2014 | 1.52 | 1.96 |
| Dec 31, 2013 | 1.59 | 1.84 |
| Dec 31, 2012 | 1.45 | 2.11 |
| Dec 31, 2011 | 1.25 | 1.72 |
| Dec 31, 2010 | 1.49 | 1.79 |
| Dec 31, 2009 | 1.14 | 1.33 |
| Dec 31, 2008 | 1.39 | 1.14 |
| Dec 31, 2007 | 0.80 | 0.82 |
| Dec 31, 2006 | 1.21 | 1.14 |
| Dec 31, 2005 | 1.45 | 1.36 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Discretionary)
McDonald’s Corp., current ratio, long-term trends, comparison to industry (consumer discretionary)
| McDonald’s Corp. | Consumer Discretionary | |
|---|---|---|
| Dec 31, 2025 | 0.95 | 1.18 |
| Dec 31, 2024 | 1.19 | 1.22 |
| Dec 31, 2023 | 1.16 | 1.20 |
| Dec 31, 2022 | 1.43 | 1.15 |
| Dec 31, 2021 | 1.78 | 1.25 |
| Dec 31, 2020 | 1.01 | 1.19 |
| Dec 31, 2019 | 0.98 | 1.10 |
| Dec 31, 2018 | 1.36 | 1.15 |
| Dec 31, 2017 | 1.84 | 1.15 |
| Dec 31, 2016 | 1.40 | 1.12 |
| Dec 31, 2015 | 3.27 | 1.25 |
| Dec 31, 2014 | 1.52 | 1.11 |
| Dec 31, 2013 | 1.59 | 1.15 |
| Dec 31, 2012 | 1.45 | 1.14 |
| Dec 31, 2011 | 1.25 | 1.31 |
| Dec 31, 2010 | 1.49 | 1.24 |
| Dec 31, 2009 | 1.14 | 1.25 |
| Dec 31, 2008 | 1.39 | 0.96 |
| Dec 31, 2007 | 0.80 | 1.21 |
| Dec 31, 2006 | 1.21 | 1.15 |
| Dec 31, 2005 | 1.45 | 1.10 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).