Alibaba Group Holding Limited (BABA) vs McDonald's Corporation (MCD)
A side-by-side comparison of Alibaba Group Holding Limited and McDonald's Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 28, 2026. Differences are shown without an overall score or investment verdict.
BABA
Alibaba Group Holding Limited
$115.19Consumer CyclicalDelayed quote: Jul 28, 2026, 4:02 PM EDT
MCD
McDonald's Corporation
$273.02Consumer CyclicalDelayed quote: Jul 28, 2026, 4:00 PM EDT
Total return — BABA vs MCD
growth of $100 · dividends reinvested · last 12yBABA +29.2%MCD +290.3%MCD compounded faster
BABA MCD
BABA vs MCD: by the numbers
- •BABA is the larger company ($276.10B vs $193.98B market cap).
- •BABA trades at the lower trailing earnings multiple (18.57 vs 22.31 P/E), one valuation lens rather than an overall verdict.
- •MCD converts more revenue to profit (31.62% vs 10.09% net margin).
- •MCD grew revenue faster over the past five years (6.95% vs 6.31% CAGR).
- •MCD pays the higher dividend yield (2.72% vs 0.91%).
Metrics side by side
Valuation
| Metric | BABA | MCD |
|---|---|---|
| P/E ratio | 18.57 | 22.31 |
| Forward P/E | N/A | 20.96 |
| P/S ratio | 1.90 | 7.04 |
| P/B ratio | 1.81 | N/A |
| PEG ratio | N/A | 5.30 |
| EV / EBITDA | 31.68 | 16.64 |
| FCF yield | N/A | 3.64% |
Profitability
| Metric | BABA | MCD |
|---|---|---|
| Gross margin | 39.77% | 57.35% |
| Operating margin | 5.78% | 46.01% |
| Net margin | 10.09% | 31.62% |
| ROE | 9.58% | -478.11% |
| ROIC | 3.17% | 17.44% |
Dividends
| Metric | BABA | MCD |
|---|---|---|
| Dividend yield | 0.91% | 2.72% |
| Payout ratio | 15.89% | 61.25% |
Growth (annualized)
| Metric | BABA | MCD |
|---|---|---|
| Revenue CAGR (5Y) | 6.31% | 6.95% |
| EPS CAGR (5Y) | -4.87% | 13.58% |
| FCF CAGR (5Y) | -62.38% | 5.78% |
| Total return CAGR (5Y) | -8.99% | 4.27% |
Frequently asked
- Which has the lower trailing P/E, BABA or MCD?
- BABA has the lower trailing P/E: BABA trades at 18.57 and MCD at 22.31. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, BABA or MCD?
- Over the past five years, MCD grew revenue faster — BABA at a 6.31% CAGR versus MCD at 6.95%.
- Does BABA or MCD pay a bigger dividend?
- BABA yields 0.91% and MCD yields 2.72% based on trailing dividends and the latest price.
- Is BABA or MCD more profitable?
- MCD runs the higher net margin — BABA at 10.09% versus MCD at 31.62%.
- How have BABA and MCD total returns compared?
- Over the past 10 years, BABA delivered 3.94% and MCD delivered 11.17% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Alibaba Group P/E ratioMcDonald's P/E ratioAlibaba Group dividend yieldMcDonald's dividend yieldAlibaba Group ROEMcDonald's ROEAlibaba Group operating marginMcDonald's operating marginAlibaba Group revenue growthMcDonald's revenue growthAlibaba Group free cash flowMcDonald's free cash flow
Alibaba Group & McDonald's appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified July 28, 2026.