McDonald's

McDonald's ROCE

The Return on Capital Employed (ROCE) of McDonald's (MCD) as of Nov 2, 2026 is -691.96 %. In the previous year, Return on Capital Employed (ROCE) was -308.45 % — a change of 124.33% (lower).

ROCE

-691.96 %

YoY

124.33%

Last updated:

In 2025, McDonald's's return on capital employed (ROCE) was -691.96 %, a 124.33% increase from the -308.45 % ROCE in the previous year.

The McDonald's ROCE history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

ROCE
Date
ROCE
Jan 1, 2018
-140.97 USD
Jan 1, 2019
-110.47 USD
Jan 1, 2020
-93.60 USD
Jan 1, 2021
-224.16 USD
Jan 1, 2022
-156.09 USD
Jan 1, 2023
-247.44 USD
Jan 1, 2024
-308.45 USD
Jan 1, 2025
-691.96 USD
The McDonald's ROCE history
YEARROCEYoY
-691.96 %+124.33%
-308.45 %+24.66%
-247.44 %+58.52%
-156.09 %-30.37%
-224.16 %+139.49%
-93.60 %-15.27%
-110.47 %-21.64%
-140.97 %-51.77%
-292.31 %-16.80%
-351.34 %-448.50%
100.81 %+63.01%
61.85 %—

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McDonald's Stock analysis

What does McDonald's do? Discover the fascinating world of McDonald's, one of the most well-known fast food chains on the planet! Since its founding in 1940, McDonald's has become a global brand. Every year, millions of customers visit McDonald's to enjoy their delicious products. The history of McDonald's: McDonald's Corporation was founded in 1955 when Ray Kroc acquired the concept of two brothers, Richard and Maurice McDonald. The brothers had developed a system for food preparation for their drive-in restaurants in California. The idea was to organize the preparation in a way that would allow the food to be quickly and efficiently prepared for the customer. The two brothers produced hamburgers, french fries, and milkshakes that they wanted to bring to the market quickly. Kroc began expanding the company by recruiting various franchisees who could use the business model for their own restaurants. Within a few years, the company rapidly expanded, first in the United States, then in Europe and Asia. Today, there are nearly 40,000 McDonald's restaurants in over 100 countries worldwide. The business model of McDonald's: McDonald's business model is based on a franchise system. This means that entrepreneurs usually need to acquire a license to operate a McDonald's restaurant. McDonald's provides the concept and processes for the business, including the knowledge of food and how it is prepared and served. The company also provides a set of guidelines for restaurant setup and requires its franchisees to maintain a certain quality and customer service. The system allows for reduced operating costs for the restaurants, which in turn allows for higher profit margins for franchisees. The different divisions of McDonald's: McDonald's offers a variety of products, from hamburgers and french fries to salads and smoothies. The company has also specialized in certain areas, such as breakfast or introducing new menu options like healthier or vegetarian dishes. McDonald's has also introduced its own coffee brand, McCafe, which offers a wide selection of coffee specialties, from cappuccinos to espressos. The menu also includes smoothies, bagels, and other snacks. Another business area of McDonald's is Happy Meals, which are specially designed for children. These boxes include a meal and a surprise in the form of toys or games. McDonald's is also involved in various social and environmental initiatives, such as the reuse of packaging, waste reduction, and the use of sustainable materials in production. The products offered by McDonald's: McDonald's is most famous for its burgers and french fries. The most popular products include the Big Mac, Quarter Pounder, McChicken, and Filet-O-Fish sandwiches. Especially in the United States, there are also various regional offerings, such as the "McRib" which is only available at certain times of the year, or the "Lobster Roll" which is only available in certain coastal regions. For vegetarians and vegans, McDonald's now offers several dishes, such as the McVeggie or McWrap Veggie. There are also local offerings in different countries tailored to local specialties and tastes. Conclusion: McDonald's is a well-known brand and one of the world's largest fast-food chains. The company has built a strong presence in many countries around the world due to its successful franchise system. McDonald's products include a variety of menu options that are constantly adjusted and expanded. McDonald's has also responded to the challenges of the 21st century by adapting to the zeitgeist, including offering vegetarian and vegan dishes. McDonald's is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling McDonald's's Return on Capital Employed (ROCE)

McDonald's's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing McDonald's's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

McDonald's's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in McDonald's’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about McDonald's stock

Return on Capital Employed (ROCE) of McDonald's is -691.96 % in 2025.

Return on Capital Employed (ROCE) of McDonald's changed from -308.45 % to -691.96 %, representing a 124.33% change. The value is lower than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) McDonald's since 2006 – with annual values, charts, and detailed analysis.

ROCE is a profitability measure and stands for Return on Capital Employed or the return on invested capital. The measure shows the ratio of operating profit to the interest-bearing capital employed. The higher the return on capital employed, the more profitable a company operates and the higher the important free cash flow. The free cash flow refers to the portion of profits that is not needed for expanding the company at the end of a period, but is available to shareholders.

A 'good' varies by industry and company stage. On Eulerpool, you can compare Return on Capital Employed (ROCE)'s McDonald's with sector peers and the industry average to assess whether it is attractive.

To evaluate Return on Capital Employed (ROCE)'s, it is essential to compare it with peers in the same industry and sector. On Eulerpool, you can find direct industry comparisons for Return on Capital Employed (ROCE).

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Profitability — McDonald's

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