Proceedings of the International Workshop on Navigating the Digital Business Frontier for Sustainable Financial Innovation (ICDEBA 2024)

<Previous Article In Volume
Next Article In Volume>

A Valuation Study of McDonald’s —— Based on Price-Earnings Ratio and Price-Sales Ratio

Authors
Kemeng Zhou1, *
1International Department Jinling High School, Nanjing, 210000, China
*Corresponding author. Email: sophiazhou@ldy.edu.rs
Corresponding Author
Kemeng Zhou
Available Online 24 February 2025.
DOI
10.2991/978-94-6463-652-9_50How to use a DOI?
Keywords
Profit Analysis; Business Analysis; Relative Valuation
Abstract

The thesis studies the company McDonald’s, starting from a basic aspect of the analysis, containing its founding time, capital structure, major shareholders and a financial summary. It then focuses on its financial analysis, profit analysis and relative valuation. The financial analysis includes the business model of the company, business strategy and an analysis of its business segments. The revenue analysis of McDonald’s adopts the strategy of sub-market research, specifically analyzing its revenue growth points and bottlenecks. As for the relative valuation of the company, this paper adopts the price-earnings ratio (P/E) method, as well as price-sales ratio approach (P/S). In addition, during analysis and calculation, several fast-food companies in the market are selected for comparison. In view of the leading position of McDonald’s through the fast-food industry and the fluctuation of the current market environment, it is very necessary to do valuation analysis of McDonald’s as the valuation of the company has practical application value.

Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Download article (PDF)

<Previous Article In Volume
Next Article In Volume>
Volume Title
Proceedings of the International Workshop on Navigating the Digital Business Frontier for Sustainable Financial Innovation (ICDEBA 2024)
Series
Advances in Economics, Business and Management Research
Publication Date
24 February 2025
ISBN
978-94-6463-652-9
ISSN
2352-5428
DOI
10.2991/978-94-6463-652-9_50How to use a DOI?
Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Kemeng Zhou
PY  - 2025
DA  - 2025/02/24
TI  - A Valuation Study of McDonald’s —— Based on Price-Earnings Ratio and Price-Sales Ratio
BT  - Proceedings of the International Workshop on Navigating the Digital Business Frontier for Sustainable Financial Innovation (ICDEBA 2024)
PB  - Atlantis Press
SP  - 471
EP  - 481
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-652-9_50
DO  - 10.2991/978-94-6463-652-9_50
ID  - Zhou2025
ER  -