Discounted Cash Flow

McDonalds Corp.

MCD · Based on 10 years of SEC filings

DCF estimate unavailable — No positive free cash flow in recent history — company has not generated positive FCF

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income
Dividends

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $24.6b $4.7b $-947.6m 19.0% $5.49
2017 $22.8b (-7.3%) $5.2b (10.8%) $-968.5m (-2.2%) 22.8% (19.5%) $6.43 (17.1%)
2018 $21.0b (-7.9%) $5.9b (14.1%) $-1.8b (-84.0%) 28.2% (23.8%) $7.61 (18.4%)
2019 $21.1b (0.2%) $6.0b (1.7%) $-1.3b (25.5%) 28.6% (1.5%) $7.95 (4.5%)
2020 $19.2b (-8.9%) $4.7b (-21.5%) $-504.8m (62.0%) 24.6% (-13.9%) $6.35 (-20.1%)
2021 $23.2b (20.9%) $7.5b (59.5%) $-842.7m (-66.9%) 32.5% (31.9%) $10.11 (59.2%)
2022 $23.2b (-0.2%) $6.2b (-18.1%) $-715.7m (15.1%) 26.6% (-18.0%) $8.39 (-17.0%)
2023 $25.5b (10.0%) $8.5b (37.1%) $-1.1b (-49.6%) 33.2% (24.7%) $11.63 (38.6%)
2024 $25.9b (1.7%) $8.2b (-2.9%) $-1.3b (-17.0%) 31.7% (-4.5%) $11.45 (-1.5%)
2025 $26.9b (3.7%) $8.6b (4.1%) $-1.8b (-44.6%) 31.9% (0.4%) $12.00 (4.8%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model

No positive free cash flow in recent history — company has not generated positive FCF

Once the company meets all DCF eligibility criteria (sufficient history, profitability, growth trends), an estimate will become available automatically. No action is needed.