McDonald's vs Starbucks (MCD vs SBUX)
McDonald's (MCD) vs Starbucks (SBUX) in plain English: P/E, growth, margins, debt and dividend side by side, key differences and which fits each investor profile.
McDonald's (MCD) and Starbucks (SBUX) compete in restaurants. Here are McDonald's and Starbucks side by side with their real figures as of November 4, 2026: what sets them apart, which fits each kind of investor and the most common questions, without telling you whether to buy McDonald's or Starbucks.
McDonald's vs Starbucks: the figures
| Figure | McDonald's | Starbucks |
|---|---|---|
| Share price | $280.22 (November 4, 2026) | $109.70 (November 4, 2026) |
| Market cap | $198.3 billion | $125.1 billion |
| P/E (TTM) | 22.8x | 49.6x |
| Forward P/E | 20.4x | 29.4x |
| Revenue growth (quarter) | +3.7% | -4.5% |
| Net margin (TTM) | 31.7% | 6.7% |
| Net debt / EBITDA | 3.6x | 3.2x |
| Dividend yield | 2.93% | 2.41% |
| Beta | 0.43 | 1.01 |
McDonald's and Starbucks figures from Yahoo Finance, the same source the Fintols analysis uses, retrieved on November 4, 2026; N/A means that McDonald's or Starbucks figure is not available, and we never estimate it.
3 key differences between McDonald's and Starbucks
- Valuation: Starbucks trades at 49.6x its annual earnings and McDonald's at 22.8x; the market pays more for each dollar of Starbucks profit, usually because it expects more growth.
- Profitability: for every 100 of sales, McDonald's keeps 31.7 as net profit and Starbucks keeps 6.7.
- Volatility: Starbucks stock moves more (beta 1.01) than McDonald's (beta 0.43); the higher the beta, the more it amplifies market swings.
McDonald's or Starbucks: which fits your profile
- If you want growth: McDonald's is growing faster today, so it fits better with investors who put business growth first, usually accepting a higher P/E and a bumpier ride.
- If you want income (dividends): McDonald's pays the higher dividend relative to its price.
- If you prefer caution: Starbucks has less debt relative to its profit, which usually gives more room in a bad year.
- If price is what matters most to you: McDonald's trades on the lower P/E; check first whether that is an opportunity or a sign of a business that grows less.
Neither McDonald's nor Starbucks wins on everything, and owning both is also an option: spreading money across several companies or an index fund reduces what rides on each one.
How McDonald's and Starbucks make money
McDonald's (MCD)
McDonald's has most of its restaurants run by franchisees, who pay it rent and royalties on sales, and that is its main source of profit. The rest comes from sales at company-operated restaurants. It reports three segments: U.S., International Operated Markets, and International Developmental Licensed Markets. Full McDonald's analysis.
Starbucks (SBUX)
Starbucks sells coffee, drinks and food in company-operated and licensed stores. It reports North America, its largest segment; International, where China is a key market; and Channel Development, which earns money from packaged coffee and ready-to-drink beverages sold in grocery stores, largely through its alliance with Nestlé. Full Starbucks analysis.
Frequently asked questions: McDonald's vs Starbucks
Is McDonald's or Starbucks the better stock?
Choosing between McDonald's and Starbucks depends on what you are looking for. McDonald's is growing faster right now, and McDonald's trades on the lower P/E. Fintols does not tell you whether to buy McDonald's or Starbucks: it shows you the differences so you can decide.
Which pays a higher dividend, McDonald's or Starbucks?
As of November 4, 2026, McDonald's yields 2.93% and Starbucks yields 2.41%. Also check how much of their profit McDonald's and Starbucks pay out: if it is more than they earn, it cannot last.
Which is more expensive, McDonald's or Starbucks?
On P/E, Starbucks (49.6x) is more expensive than McDonald's (22.8x) as of November 4, 2026. A higher P/E can be justified if earnings grow faster, so compare it with each company's growth in the table.
Can I own both McDonald's and Starbucks?
Yes. Many people spread their money across several companies, such as McDonald's and Starbucks, or use index funds so they do not depend on just one. If you are starting out, decide how much you want to invest and for how long before buying McDonald's or Starbucks.
More comparisons with McDonald's or Starbucks
More companies like McDonald's and Starbucks: restaurants stocks. Educational content about McDonald's and Starbucks, not investment advice.