McDonald's Financial Health
Financial Health criteria checks 2/6
McDonald's has a total shareholder equity of $-5.0B and total debt of $35.8B, which brings its debt-to-equity ratio to -716.1%. Its total assets and total liabilities are $50.4B and $55.4B respectively. McDonald's's EBIT is $11.1B making its interest coverage ratio 9.4. It has cash and short-term investments of $1.6B.
Key information
-716.1%
Debt to equity ratio
US$35.80b
Debt
| Interest coverage ratio | 9.4x |
| Cash | US$1.64b |
| Equity | -US$5.00b |
| Total liabilities | US$55.44b |
| Total assets | US$50.44b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: MDO has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: MDO has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: MDO has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: MDO's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: MDO's debt is well covered by operating cash flow (24.4%).
Interest Coverage: MDO's interest payments on its debt are well covered by EBIT (9.4x coverage).