McDonald’s Corporation (MCD) vs The TJX Companies Inc (TJX)

A side-by-side look at how these two compare on valuation, profitability and shareholder returns.

McDonald’s vs The TJX Companies at a glance

Both companies operate in the Consumer Discretionary sector, so these figures are broadly like-for-like.

MetricMCDTJX
Market cap$189.21B$151.33B
Price$265.00$135.12
P/E ratio (TTM)25.3630.72
P/B ratio (MRQ)016.56
P/S ratio (TTM)8.082.8
Revenue growth (1Y)3.72%7.12%
Return on equity (TTM)-478.38%53.92%
Return on invested capital (TTM)25.05%21.27%
Gross margin (TTM)57.35%24.17%
Net margin (TTM)31.62%9.40%
Dividend yield (TTM)2.81%1.42%

How they differ

McDonald’s is the larger company at $189.21B versus $151.33B — about 1.3x the size.

On trailing earnings, McDonald’s is the cheaper of the two at 25.36 against 30.72 for The TJX Companies.

On sales, The TJX Companies is the cheaper of the two at 2.8 against 8.08 for McDonald’s.

The TJX Companies leads on revenue growth over the past year, 7.12% against 3.72%.

McDonald’s leads on return on invested capital, 25.05% against 21.27%.

McDonald’s leads on gross margin, 57.35% against 24.17%.

McDonald’s offers the higher yield at 2.81% against 1.42%.

Go deeper

Ratios describe the past. Whether either is worth owning depends on what you pay today.

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