Exploring NYSE:MCD's dividend characteristics.

Take a closer look at MCDONALD'S CORP (NYSE:MCD), a stock of interest to dividend investors uncovered by our stock screener. NYSE:MCD excels in fundamentals and provides a decent dividend, all while maintaining a reasonable valuation. Let's break it down further.

ChartMill's Evaluation of Dividend

An integral part of ChartMill's stock analysis is the Dividend Rating, which spans from 0 to 10. This rating evaluates diverse dividend factors, including yield, historical data, growth, and sustainability. NYSE:MCD has received a 7 out of 10:

• Compared to an average industry Dividend Yield of 3.00, MCD pays a better dividend. On top of this MCD pays more dividend than 83.82% of the companies listed in the same industry.
• On average, the dividend of MCD grows each year by 8.07%, which is quite nice.
• MCD has paid a dividend for at least 10 years, which is a reliable track record.
• MCD has not decreased their dividend for at least 10 years, which is a reliable track record.
• MCD's earnings are growing more than its dividend. This makes the dividend growth sustainable.

Health Insights: NYSE:MCD

ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NYSE:MCD, the assigned 6 for health provides valuable insights:

• An Altman-Z score of 5.02 indicates that MCD is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 5.02, MCD belongs to the best of the industry, outperforming 91.18% of the companies in the same industry.
• Looking at the Debt to FCF ratio, with a value of 5.18, MCD is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
• The Current ratio of MCD (1.71) is better than 77.21% of its industry peers.
• Looking at the Quick ratio, with a value of 1.70, MCD is in the better half of the industry, outperforming 79.41% of the companies in the same industry.

A Closer Look at Profitability for NYSE:MCD

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:MCD has achieved a 8:

• MCD has a Return On Assets of 16.00%. This is amongst the best in the industry. MCD outperforms 94.12% of its industry peers.
• MCD has a better Return On Invested Capital (19.34%) than 90.44% of its industry peers.
• Measured over the past 3 years, the Average Return On Invested Capital for MCD is above the industry average of 10.74%.
• The last Return On Invested Capital (19.34%) for MCD is above the 3 year average (15.49%), which is a sign of increasing profitability.
• MCD has a better Profit Margin (33.31%) than 98.53% of its industry peers.
• MCD's Profit Margin has improved in the last couple of years.
• Looking at the Operating Margin, with a value of 46.01%, MCD belongs to the top of the industry, outperforming 99.26% of the companies in the same industry.
• MCD's Operating Margin has improved in the last couple of years.
• MCD has a Gross Margin of 57.24%. This is in the better half of the industry: MCD outperforms 64.71% of its industry peers.
• MCD's Gross Margin has improved in the last couple of years.

More Best Dividend stocks can be found in our Best Dividend screener.

Our latest full fundamental report of MCD contains the most current fundamental analsysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.