Price to Earnings (P/E)
since 2005
Calculation
McDonald’s Corp., P/E, long-term trends, calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 24, 2026 | 27.63 | = | 333.05 | ÷ | 12.05 | 12.05 | = | 8,563 | ÷ | 710,398,642 | |
| Feb 25, 2025 | 27.00 | = | 310.72 | ÷ | 11.51 | 11.51 | = | 8,223 | ÷ | 714,461,139 | |
| Feb 22, 2024 | 25.23 | = | 295.92 | ÷ | 11.73 | 11.73 | = | 8,469 | ÷ | 722,051,488 | |
| Feb 24, 2023 | 31.22 | = | 263.68 | ÷ | 8.44 | 8.44 | = | 6,177 | ÷ | 731,496,951 | |
| Feb 24, 2022 | 24.15 | = | 245.03 | ÷ | 10.15 | 10.15 | = | 7,545 | ÷ | 743,584,718 | |
| Feb 23, 2021 | 33.31 | = | 211.32 | ÷ | 6.34 | 6.34 | = | 4,731 | ÷ | 745,572,145 | |
| Feb 26, 2020 | 25.99 | = | 210.10 | ÷ | 8.08 | 8.08 | = | 6,025 | ÷ | 745,446,655 | |
| Feb 22, 2019 | 23.66 | = | 183.17 | ÷ | 7.74 | 7.74 | = | 5,924 | ÷ | 765,317,332 | |
| Feb 23, 2018 | 24.95 | = | 163.06 | ÷ | 6.54 | 6.54 | = | 5,192 | ÷ | 794,497,880 | |
| Mar 1, 2017 | 22.55 | = | 129.05 | ÷ | 5.72 | 5.72 | = | 4,687 | ÷ | 818,993,182 | |
| Feb 25, 2016 | 23.56 | = | 118.37 | ÷ | 5.02 | 5.02 | = | 4,529 | ÷ | 901,607,888 | |
| Feb 24, 2015 | 19.19 | = | 94.98 | ÷ | 4.95 | 4.95 | = | 4,758 | ÷ | 961,118,669 | |
| Feb 24, 2014 | 17.10 | = | 96.50 | ÷ | 5.64 | 5.64 | = | 5,586 | ÷ | 989,881,374 | |
| Feb 25, 2013 | 17.64 | = | 96.14 | ÷ | 5.45 | 5.45 | = | 5,465 | ÷ | 1,002,791,769 | |
| Feb 24, 2012 | 18.57 | = | 100.32 | ÷ | 5.40 | 5.40 | = | 5,503 | ÷ | 1,018,555,678 | |
| Feb 25, 2011 | 15.70 | = | 74.44 | ÷ | 4.74 | 4.74 | = | 4,946 | ÷ | 1,043,298,941 | |
| Feb 26, 2010 | 15.10 | = | 63.85 | ÷ | 4.23 | 4.23 | = | 4,551 | ÷ | 1,075,960,799 | |
| Feb 25, 2009 | 14.02 | = | 54.29 | ÷ | 3.87 | 3.87 | = | 4,313 | ÷ | 1,113,621,747 | |
| Feb 25, 2008 | 26.95 | = | 56.05 | ÷ | 2.08 | 2.08 | = | 2,395 | ÷ | 1,151,643,390 | |
| Feb 26, 2007 | 15.55 | = | 45.80 | ÷ | 2.94 | 2.94 | = | 3,544 | ÷ | 1,203,480,015 | |
| Feb 27, 2006 | 17.02 | = | 35.25 | ÷ | 2.07 | 2.07 | = | 2,602 | ÷ | 1,256,645,011 |
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$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of McDonald’s Corp. Annual Report.
The price-to-earnings (P/E) ratio, calculated from the provided share price and earnings per share figures, exhibits considerable fluctuation over the observed period from 2006 to 2026. Initial values indicate a relatively moderate valuation, followed by periods of both expansion and contraction.
- Initial Period (2006-2008)
- The P/E ratio began at 17.02 in 2006, decreased to 15.55 in 2007, and then increased substantially to 26.95 in 2008. This increase coincided with a rise in share price, but a smaller increase in earnings per share, suggesting growing investor optimism.
- Global Financial Crisis & Recovery (2009-2011)
- A significant decline to 14.02 occurred in 2009, likely influenced by the global financial crisis. The ratio then experienced a period of modest recovery, rising to 15.10 in 2010 and 15.70 in 2011. Earnings per share increased during this period, partially offsetting the impact of market volatility.
- Moderate Growth (2012-2015)
- From 2012 to 2015, the P/E ratio remained relatively stable, fluctuating between 17.10 and 23.56. Share price and earnings per share both demonstrated growth, resulting in a generally consistent valuation. A slight increase was observed in 2015, potentially indicating renewed investor confidence.
- Increased Volatility (2016-2021)
- The period from 2016 to 2021 saw increased volatility in the P/E ratio. It rose to 23.56 in 2016, then fluctuated around the mid-20s before peaking at 33.31 in 2021. This peak coincided with a period of strong earnings growth, but also a substantial increase in share price. The COVID-19 pandemic likely influenced investor sentiment during this time.
- Recent Years (2022-2026)
- The P/E ratio decreased to 24.15 in 2022, increased to 31.22 in 2023, and then decreased to 25.23 in 2024. The most recent values, 27.00 in 2025 and 27.63 in 2026, suggest a stabilization around the 27 level. While earnings per share continued to grow, the share price increases were more moderate, leading to a more balanced valuation.
Overall, the P/E ratio demonstrates a cyclical pattern, influenced by both company performance and broader economic conditions. The ratio’s fluctuations suggest varying levels of investor optimism and risk appetite over the analyzed timeframe. The recent trend indicates a potential stabilization after a period of significant volatility.
Comparison to Competitors
McDonald’s Corp., P/E, long-term trends, comparison to competitors
| McDonald’s Corp. | Airbnb Inc. | Booking Holdings Inc. | Chipotle Mexican Grill Inc. | DoorDash, Inc. | Starbucks Corp. | |
|---|---|---|---|---|---|---|
| Feb 24, 2026 | 27.63 | 28.11 | 25.03 | 33.86 | 80.56 | 51.93 |
| Feb 25, 2025 | 27.00 | 33.58 | 28.00 | 50.81 | 728.78 | 29.62 |
| Feb 22, 2024 | 25.23 | 20.59 | 31.09 | 58.48 | — | 29.09 |
| Feb 24, 2023 | 31.22 | 44.53 | 29.87 | 49.37 | — | 34.26 |
| Feb 24, 2022 | 24.15 | — | 86.68 | 67.03 | — | 30.95 |
| Feb 23, 2021 | 33.31 | — | 1,696.44 | 122.18 | — | 118.26 |
| Feb 26, 2020 | 25.99 | — | 14.16 | 67.72 | — | 27.63 |
| Feb 22, 2019 | 23.66 | — | 21.46 | 91.33 | — | 18.71 |
| Feb 23, 2018 | 24.95 | — | 38.61 | 42.15 | — | 28.08 |
| Mar 1, 2017 | 22.55 | — | 37.59 | 499.87 | — | 28.81 |
| Feb 25, 2016 | 23.56 | — | 24.03 | 29.06 | — | 32.88 |
| Feb 24, 2015 | 19.19 | — | 26.12 | 47.09 | — | 28.27 |
| Feb 24, 2014 | 17.10 | — | 35.35 | 51.40 | — | 7,312.64 |
| Feb 25, 2013 | 17.64 | — | 24.45 | 35.78 | — | 26.20 |
| Feb 24, 2012 | 18.57 | — | 27.89 | 54.76 | — | 25.14 |
| Feb 25, 2011 | 15.70 | — | 42.86 | 46.04 | — | 24.20 |
| Feb 26, 2010 | 15.10 | — | 21.47 | 26.12 | — | 40.57 |
| Feb 25, 2009 | 14.02 | — | 17.74 | 21.96 | — | 19.66 |
| Feb 25, 2008 | 26.95 | — | 28.12 | 48.84 | — | 25.02 |
| Feb 26, 2007 | 15.55 | — | 27.54 | 50.83 | — | 48.96 |
| Feb 27, 2006 | 17.02 | — | 4.89 | 46.61 | — | 48.21 |
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., P/E, long-term trends, comparison to sector (consumer services)
| McDonald’s Corp. | Consumer Services | |
|---|---|---|
| Feb 24, 2026 | 27.63 | — |
| Feb 25, 2025 | 27.00 | 34.04 |
| Feb 22, 2024 | 25.23 | 30.62 |
| Feb 24, 2023 | 31.22 | 39.20 |
| Feb 24, 2022 | 24.15 | 46.48 |
| Feb 23, 2021 | 33.31 | 569.28 |
| Feb 26, 2020 | 25.99 | 23.50 |
| Feb 22, 2019 | 23.66 | 22.35 |
| Feb 23, 2018 | 24.95 | 29.11 |
| Mar 1, 2017 | 22.55 | 28.83 |
| Feb 25, 2016 | 23.56 | 26.42 |
| Feb 24, 2015 | 19.19 | 24.14 |
| Feb 24, 2014 | 17.10 | 30.71 |
| Feb 25, 2013 | 17.64 | 20.75 |
| Feb 24, 2012 | 18.57 | 21.79 |
| Feb 25, 2011 | 15.70 | 19.91 |
| Feb 26, 2010 | 15.10 | 17.70 |
| Feb 25, 2009 | 14.02 | 14.65 |
| Feb 25, 2008 | 26.95 | 27.08 |
| Feb 26, 2007 | 15.55 | 20.57 |
| Feb 27, 2006 | 17.02 | 21.30 |
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., P/E, long-term trends, comparison to industry (consumer discretionary)
| McDonald’s Corp. | Consumer Discretionary | |
|---|---|---|
| Feb 24, 2026 | 27.63 | — |
| Feb 25, 2025 | 27.00 | 112.42 |
| Feb 22, 2024 | 25.23 | 33.63 |
| Feb 24, 2023 | 31.22 | 46.01 |
| Feb 24, 2022 | 24.15 | 39.27 |
| Feb 23, 2021 | 33.31 | 73.74 |
| Feb 26, 2020 | 25.99 | 39.37 |
| Feb 22, 2019 | 23.66 | 33.13 |
| Feb 23, 2018 | 24.95 | 47.03 |
| Mar 1, 2017 | 22.55 | 29.19 |
| Feb 25, 2016 | 23.56 | 24.70 |
| Feb 24, 2015 | 19.19 | 29.48 |
| Feb 24, 2014 | 17.10 | 26.50 |
| Feb 25, 2013 | 17.64 | 20.90 |
| Feb 24, 2012 | 18.57 | 11.38 |
| Feb 25, 2011 | 15.70 | 17.54 |
| Feb 26, 2010 | 15.10 | 18.66 |
| Feb 25, 2009 | 14.02 | 303.41 |
| Feb 25, 2008 | 26.95 | 24.33 |
| Feb 26, 2007 | 15.55 | 117.34 |
| Feb 27, 2006 | 17.02 | 17.54 |
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).