Compare StocksABT vs MCD

Abbott Laboratories (ABT) vs McDonald's Corporation (MCD)

ABT
Abbott Laboratories
$89.46
VS
MCD
McDonald's Corporation
$286.64

Rewards

ABT
  • Abbott Laboratories scores 74/100 on the Economic Moat Score (Wide Moat), with margin stability as the strongest competitive dimension.
  • Dividend yield of 2.82% with a consistent or growing payout over the past 4 years.
  • Altman Z-Score of 5.60 indicates very low bankruptcy risk — the company is firmly in the safe zone.
MCD
  • McDonald's Corporation has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • McDonald's Corporation scores 91/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • Each dollar of retained earnings has created $2.47 of earning power — management is an exceptional capital allocator.

Risks

ABT
    MCD
    • PEG ratio of 2.93 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
    • 10 insider sales totaling $24.1M with no purchases in the past 3 months — insiders are reducing their exposure.

    Key Valuation Metrics

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    ABT
    MCD
    Valuation
    $6.34B
    Free Cash Flow
    $6.30B
    4.07%
    FCF Yield
    3.09%
    25.06
    Trailing P/E
    23.99
    14.75
    Forward P/E
    19.97
    Quality & Moat
    5.53%
    ROIC
    17.46%
    12.38%
    ROE
    N/A
    56.50%
    Gross Margin
    57.41%
    1.33
    PEG Ratio
    2.93
    Balance Sheet Safety
    0.65
    Debt / Equity
    N/A
    N/A
    Interest Coverage
    N/A
    2.29
    Net Debt / EBITDA
    3.70
    2.82%
    Dividend Yield
    2.60%
    ABT: 5Ties: 4MCD: 1
    ABTMCD

    Historical Fundamentals

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    ABT

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    MCD

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    ABT
    $1.89
    created per $1 retained over 3 years
    Value Creator
    Σ Retained
    $14.14B
    Δ Market Cap
    +$26.79B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    MCD
    $2.28
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $10.74B
    Δ Market Cap
    +$24.46B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    ABT
    12.3% Overvalued
    Price is 12.3% above estimated fair value
    Current Price: $89.46
    Fair Value: $79.69
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    MCD
    44.4% Overvalued
    Price is 44.4% above estimated fair value
    Current Price: $286.64
    Fair Value: $198.52
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    ABT

    What growth rate is the market pricing in at $89?

    +12.3%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +12.7%

    The market implies +12.3% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +12.7%, reflecting heavy growth investment.

    MCD

    What growth rate is the market pricing in at $287?

    +13.3%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +17.5%

    The market implies +13.3% Owner Earnings growth, roughly in line with history — reasonably priced.

    Standard FCF implies +17.5%, reflecting ongoing growth investment.

    Economic Moat Score

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    ABT
    74/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat driven primarily by margin stability. ROIC Consistency is the area most vulnerable to competitive pressure.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    MCD
    91/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. Revenue Predictability is the standout factor.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

    Forensic Accounting

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    ABT
    -2.48
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    MCD
    -2.62
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    ABT
    Insiders 0.5%Institutions 72.1%Retail & Other 27.3%
    No. of Institutional Holders3,959
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
    MCD
    Insiders 0.3%Institutions 75.7%Retail & Other 24.1%
    No. of Institutional Holders4,401
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    ABT
    3
    Buys (3M)
    4
    Buys (12M)
    Total value (12M): $4.23M
    STARKS DANIEL J
    Director
    $926,537
    @ $92.65 · 2026-04-27
    BOUDREAU PHILIP P
    Chief Financial Officer
    $201,300
    @ $91.50 · 2026-04-23
    STARKS DANIEL J
    Director
    $1.09M
    @ $108.73 · 2026-02-04
    FORD ROBERT B.
    Chief Executive Officer
    $2.01M
    @ $107.13 · 2026-01-23
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    MCD
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    ABT
    6
    Sells (3M)
    8
    Sells (12M)
    Total value (12M): $1.44M
    MORELAND MARY K
    Officer
    $70,851
    @ $115.58 · 2026-03-02
    MORRONE LOUIS H
    Officer
    $132,224
    @ $115.58 · 2026-03-02
    SHROFF ERIC
    Officer
    $81,946
    @ $115.58 · 2026-03-02
    CUSHMAN ELIZABETH C
    General Counsel
    $30,398
    @ $115.58 · 2026-03-02
    SALVADORI DANIEL GESUA SIVE
    Officer
    $102,288
    @ $115.58 · 2026-03-02
    MCCOY JOHN A. JR
    Officer
    $67,614
    @ $115.58 · 2026-03-02
    SHROFF ERIC
    Officer
    $203,043
    @ $128.02 · 2025-11-25
    BOUDREAU PHILIP P
    Chief Financial Officer
    $746,758
    @ $134.55 · 2025-08-08
    BLOUNT SALLY E
    Director
    $337,116
    @ $129.66 · 2025-04-30
    EARNHARDT LISA D
    President
    $12.23M
    @ $133.83 · 2025-03-07
    WAINER ANDREA F
    Officer
    $131,123
    @ $138.17 · 2025-03-03
    MORELAND MARY K
    Officer
    $109,292
    @ $138.17 · 2025-03-03
    MORRONE LOUIS H
    Officer
    $153,507
    @ $138.17 · 2025-03-03
    SHROFF ERIC
    Officer
    $77,652
    @ $138.17 · 2025-03-03
    MCCOY JOHN A. JR
    Officer
    $77,652
    @ $138.17 · 2025-03-03
    FORD ROBERT B.
    Chief Executive Officer
    $37.44M
    @ $131.17 · 2025-02-05
    SALVADORI DANIEL GESUA SIVE
    Officer
    $3.05M
    @ $128.50 · 2025-01-30
    ALLEN HUBERT L.
    Officer
    $24.34M
    @ $128.26 · 2025-01-30
    ALLEN HUBERT L.
    Officer
    $18.42M
    @ $117.04 · 2024-10-21
    FORD ROBERT B.
    Chief Executive Officer
    $16.49M
    @ $116.41 · 2024-09-12
    MCCOY JOHN A. JR
    Officer
    $3,100
    @ $114.81 · 2024-09-04
    FUNCK ROBERT E. JR.
    Officer
    $1.06M
    @ $104.57 · 2024-05-10
    EARNHARDT LISA D
    Officer
    $2.43M
    @ $106.25 · 2024-05-07
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    MCD
    10
    Sells (3M)
    27
    Sells (12M)
    Total value (12M): $44.41M
    ERLINGER JOSEPH M
    Officer
    $100,806
    @ $302.72 · 2026-04-23
    ERLINGER JOSEPH M
    Officer
    $806,182
    @ $307.00 · 2026-04-10
    ERLINGER JOSEPH M
    Officer
    $104,386
    @ $313.47 · 2026-03-23
    BARONI DARIO
    Officer
    $194,262
    @ $323.77 · 2026-03-18
    ERLINGER JOSEPH M
    Officer
    $862,221
    @ $328.34 · 2026-03-10
    BANNER JONATHAN
    Officer
    $2.07M
    @ $333.32 · 2026-02-23
    ERLINGER JOSEPH M
    Officer
    $110,033
    @ $330.43 · 2026-02-23
    KEMPCZINSKI CHRISTOPHER J
    Chief Executive Officer
    $17.47M
    @ $332.44 · 2026-02-13
    FLATLEY EDITH MORGAN
    Officer
    $1.55M
    @ $331.00 · 2026-02-12
    ERLINGER JOSEPH M
    Officer
    $854,106
    @ $325.25 · 2026-02-10
    ERLINGER JOSEPH M
    Officer
    $805,079
    @ $306.58 · 2026-01-12
    RALLS-MORRISON DESIREE ANN
    Officer
    $795,520
    @ $320.00 · 2025-12-16
    FLATLEY EDITH MORGAN
    Officer
    $207,270
    @ $315.00 · 2025-12-12
    STEIJAERT MANUEL JM
    Officer
    $2.01M
    @ $305.50 · 2025-12-01
    BORDEN IAN FREDERICK
    Chief Financial Officer
    $5.31M
    @ $310.00 · 2025-11-21
    ERLINGER JOSEPH M
    Officer
    $977,095
    @ $305.82 · 2025-11-14
    STEIJAERT MANUEL JM
    Officer
    $3.95M
    @ $300.42 · 2025-11-05
    FLATLEY EDITH MORGAN
    Officer
    $315,000
    @ $315.00 · 2025-09-02
    FLATLEY EDITH MORGAN
    Officer
    $1.49M
    @ $315.00 · 2025-08-20
    BANNER JONATHAN
    Officer
    $310,000
    @ $310.00 · 2025-08-19
    RALLS-MORRISON DESIREE ANN
    Officer
    $770,970
    @ $310.00 · 2025-08-06
    FLATLEY EDITH MORGAN
    Officer
    $296,216
    @ $303.50 · 2025-08-01
    ERLINGER JOSEPH M
    Officer
    $281,221
    @ $299.49 · 2025-07-23
    FLATLEY EDITH MORGAN
    Officer
    $300,000
    @ $300.00 · 2025-07-10
    ERLINGER JOSEPH M
    Officer
    $270,920
    @ $288.52 · 2025-06-23
    ERLINGER JOSEPH M
    President
    $295,851
    @ $315.07 · 2025-05-23
    STEIJAERT MANUEL JM
    Officer
    $1.92M
    @ $319.66 · 2025-05-20
    ERLINGER JOSEPH M
    Officer
    $299,072
    @ $318.50 · 2025-04-23
    ERLINGER JOSEPH M
    Officer
    $287,616
    @ $306.30 · 2025-03-24
    BOYD TIFFANIE L
    Officer
    $309,270
    @ $309.27 · 2025-02-27
    STEIJAERT MANUEL JM
    Officer
    $3.23M
    @ $308.71 · 2025-02-24
    ERLINGER JOSEPH M
    Officer
    $286,395
    @ $305.00 · 2025-02-24
    GROSS MARION K
    Officer
    $334,871
    @ $304.71 · 2025-02-21
    BANNER JONATHAN
    Officer
    $456,495
    @ $304.33 · 2025-02-21
    FLATLEY EDITH MORGAN
    Officer
    $962,432
    @ $300.76 · 2025-02-19
    BANNER JONATHAN
    Officer
    $2.83M
    @ $307.41 · 2025-02-13
    KEMPCZINSKI CHRISTOPHER J
    Chief Executive Officer
    $3.26M
    @ $310.05 · 2025-02-11
    ERLINGER JOSEPH M
    Officer
    $84,225
    @ $280.75 · 2025-01-23
    GROSS MARION K
    Officer
    $436,134
    @ $290.95 · 2025-01-02
    RALLS-MORRISON DESIREE ANN
    Officer
    $1.98M
    @ $289.89 · 2024-12-31
    ERLINGER JOSEPH M
    Officer
    $319,919
    @ $291.10 · 2024-12-23
    ERLINGER JOSEPH M
    Officer
    $321,458
    @ $292.50 · 2024-11-25
    GROSS MARION K
    Officer
    $441,470
    @ $294.51 · 2024-11-01
    ERLINGER JOSEPH M
    Officer
    $321,326
    @ $292.38 · 2024-10-23
    FLATLEY EDITH MORGAN
    Officer
    $727,260
    @ $310.00 · 2024-10-14
    KEMPCZINSKI CHRISTOPHER J
    Chief Executive Officer
    $2.83M
    @ $305.00 · 2024-09-27
    KEMPCZINSKI CHRISTOPHER J
    Chief Executive Officer
    $5.51M
    @ $300.02 · 2024-09-24
    BORDEN IAN FREDERICK
    Chief Financial Officer
    $1.78M
    @ $300.04 · 2024-09-23
    ERLINGER JOSEPH M
    Officer
    $328,128
    @ $298.57 · 2024-09-23
    KEMPCZINSKI CHRISTOPHER J
    Chief Executive Officer
    $1.18M
    @ $300.00 · 2024-09-16
    BORDEN IAN FREDERICK
    Chief Financial Officer
    $397,500
    @ $300.00 · 2024-09-16
    GROSS MARION K
    Officer
    $428,967
    @ $286.36 · 2024-09-03
    ERLINGER JOSEPH M
    Officer
    $316,993
    @ $288.70 · 2024-08-23
    ERLINGER JOSEPH M
    Officer
    $285,740
    @ $260.00 · 2024-07-23
    GROSS MARION K
    Officer
    $371,893
    @ $248.26 · 2024-07-03
    ERLINGER JOSEPH M
    Officer
    $285,480
    @ $260.00 · 2024-06-21
    ERLINGER JOSEPH M
    Officer
    $291,378
    @ $265.13 · 2024-05-23
    BANNER JONATHAN
    Officer
    $220,016
    @ $275.02 · 2024-05-10
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

    Learn more →
    ABT
    FearGreed
    😨Fear(31/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
    MCD
    FearGreed
    😐Neutral(42/100)

    "Market is pricing this stock without strong emotion in either direction"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    ABT
    Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Fear (31)
    MCD
    Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Neutral (42)
    View ABT Full AnalysisView MCD Full Analysis
    ABT vs MCD: Which Is the Better Buy? | SafetyMargin.io