WINA vs MCD

For growth investors, Winmark Corporation (WINA) is the stronger pick with 5.

9% revenue growth year-over-year, versus 3. 7% for McDonald's Corporation (MCD). McDonald's Corporation (MCD) offers the better valuation at 23. 7x trailing P/E (21. 5x forward), making it the more compelling value choice. Analysts rate McDonald's Corporation (MCD) a "Buy" — based on 62 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, McDonald's Corporation (MCD) is the cheapest at 23.

7x versus Winmark Corporation at 32. 6x. On forward P/E, McDonald's Corporation is actually cheaper at 21. 5x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: McDonald's Corporation wins at 2. 81x versus Winmark Corporation's 3. 91x.

Over the past 5 years, Winmark Corporation (WINA) delivered a total return of +111.

6%, compared to +34. 3% for McDonald's Corporation (MCD). Over 10 years, the gap is even starker: WINA returned +350. 5% versus MCD's +157. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), McDonald's Corporation (MCD) is the lower-risk stock at 0.

11β versus Winmark Corporation's 0. 79β — meaning WINA is approximately 608% more volatile than MCD relative to the S&P 500.

By revenue growth (latest reported year), Winmark Corporation (WINA) is pulling ahead at 5.

9% versus 3. 7% for McDonald's Corporation (MCD). On earnings-per-share growth, the picture is similar: McDonald's Corporation grew EPS 4. 9% year-over-year, compared to 3. 8% for Winmark Corporation. Over a 3-year CAGR, MCD leads at 5. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Winmark Corporation (WINA) is the more profitable company, earning 48.

4% net margin versus 31. 9% for McDonald's Corporation — meaning it keeps 48. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: WINA leads at 63. 4% versus 46. 1% for MCD. At the gross margin level — before operating expenses — WINA leads at 96. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, McDonald's Corporation (MCD) is the more undervalued stock at a PEG of 2. 81x versus Winmark Corporation's 3. 91x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, McDonald's Corporation (MCD) trades at 21. 5x forward P/E versus 31. 0x for Winmark Corporation — 9. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for MCD: 24. 2% to $352. 25.

All stocks in this comparison pay dividends.

Winmark Corporation (WINA) offers the highest yield at 3. 6%, versus 2. 5% for McDonald's Corporation (MCD).

For long-horizon retirement investors, McDonald's Corporation (MCD) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

11), 2. 5% yield, +157. 7% 10Y return). Both have compounded well over 10 years (MCD: +157. 7%, WINA: +350. 5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: WINA is a small-cap income-oriented stock; MCD is a large-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.