GapvsMcDonald's

GAP and MCD stock compared: price, dividend, valuation and results, from SEC filings.

Gap (GAP) has a market value of $7.4B and McDonald's (MCD) $193B. Over the last year, with dividends, GAP moved -12.8% and MCD -9.1%. The P/E is 5.9 for GAP and 21.5 for MCD. Dividend yield: GAP 3.27%, MCD 2.74%.

At a glance

The main figures of both. A bar only shows which number is larger, not which is better.

  • Market value

    GAP$7.4B

    MCD$193B

    MCD is 26 times GAP

  • Revenue, 12 months

    GAP$15.3B

    MCD$27.8B

    MCD is 1.8 times GAP

  • Net income, 12 months

    GAP$1.2B

    MCD$9.0B

    MCD is 7.2 times GAP

  • Operating margin

    GAP11.0%

    MCD46.9%

    36.0 points apart

  • ROIC

    GAP23.8%

    MCD26.3%

    2.5 points apart

  • P/E

    GAP5.9

    MCD21.5

    MCD is 3.6 times GAP

  • Dividend yield

    GAP3.3%

    MCD2.7%

    0.6 points apart

  • 5-year return

    GAP+3.4%

    MCD+21.9%

    18.5 points apart

A fainter bar means a negative number. The 5-year return includes dividends.

The price over time

Both start at 100 at the beginning of the period, so the lines show how much each changed. With dividends means each dividend buys more shares.

GAP+3.4%

MCD+21.9%

5010015020222023202420252026
Returns by period
PeriodGAPWith dividendsMCDWith dividends
1 year since November 12, 2025-12.8%Price -15.4%-9.1%Price -11.4%
3 years since November 13, 2023+74.4%+20.4% a yearPrice +59.9%+8.6%+2.8% a yearPrice +1.0%
5 years since November 12, 2021+3.4%+0.7% a yearPrice -15.1%+21.9%+4.0% a yearPrice +8.5%
10 years since November 14, 2016-1.3%-0.1% a yearPrice -30.0%+193.5%+11.4% a yearPrice +130.8%

Each cell: the total return with dividends, its yearly rate, and the price change alone. Before taxes and costs. Past returns do not predict future ones.

Every figure

As on each company's page. A description, not a recommendation: no one figure says which is better.

GAPGapMCDMcDonald's

Valuation

GAPMCD
Valuation
Price$21.07$271.97
Market value$7.4B$193B
Enterprise value (EV)$6.4B$232B
P/E5.921.5
P/E, 5-year median14.025.7
P/B1.9–
EV/EBIT3.817.8
Free cash flow yield12.9%3.9%

Results and growth

GAPMCD
Results and growth
Revenue, 12 months$15.3B$27.8B
Net income, 12 months$1.2B$9.0B
Free cash flow, 12 months$957M$7.5B
Earnings per share, 12 months$3.34$12.64
Revenue growth, year on year1.9%3.7%
Revenue growth a year, past+2.2%over 5 years+7.0%over 5 years
EPS growth a year, past–+13.6%over 5 years

Margins and returns on capital

GAPMCD
Margins and returns on capital
Gross margin43.3%–
Operating margin11.0%46.9%
Net margin8.1%32.4%
ROIC23.8%26.3%
ROE33.7%–

Balance sheet

GAPMCD
Balance sheet
Cash$2.5B$1.2B
Total debt$5.7B$54.5B
Net debt / EBITDA-0.52.9
Interest cover18.1×8.0×

Dividends and buybacks

GAPMCD
Dividends and buybacks
Dividend yield3.3%2.7%
Dividend per share, 12 months$0.69$7.44
Dividend growth a year, past–+7.3%over 5 years
Buyback yield2.1%1.1%
Shareholder yield5.4%3.8%

Last 12 months from the latest 10-Q and 10-K. Value, P/E and yields at today's price. A dash means the figure does not exist or did not pass our checks.

Questions: GAP or MCD

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Which is bigger, Gap or McDonald's?

By market value, McDonald's ($193B) is about 26.1 times Gap ($7.4B), at today's prices.

How did GAP and MCD stock do over the last 10 years?

Since November 14, 2016, GAP's price moved -30.0% and MCD's +130.8%. With dividends: GAP -1.3% (-0.1% a year), MCD +193.5% (+11.4% a year). Past returns do not predict future ones.

Which pays the higher dividend, GAP or MCD?

The dividend yield at today's price is 3.27% for Gap and 2.74% for McDonald's. Over the last twelve months they paid $0.69 and $7.44 per share.

What is the P/E of GAP and MCD?

At today's price, the P/E is 5.9 for GAP and 21.5 for MCD. The median of the last five years was 14.0 and 25.7, which shows where each stands against its own past.

Which has the higher profit margins, Gap or McDonald's?

Over the last twelve months, the net margin was 8.1% for Gap and 32.4% for McDonald's, and the operating margin 11.0% and 46.9%. Revenue was $15.3B and $27.8B.

Which is the better investment, Gap or McDonald's?

The page does not answer that and does not suggest buying or selling. It puts the two companies' numbers side by side, from their SEC filings, for you to read and form your own view. The decision depends on your goals and situation.

Other comparisons

With each of the two, and with the largest in its sector.

Related pages

The other pages on US stocks, free to read. On the company pages, the last three fiscal years are open to everyone, five with a free account, and every year with Ploutos Investor.

Descriptive data from SEC filings and market prices.