In 1990, McDonald’s was a “safe” company. Today it is very risky:
| 12/31/1990 | 12/31/2005 | 12/21/2018 | |
| 5 Year Revenue Growth | 80% | 34% | -24% |
| 5 Year Debt Growth as % of 5 Year Revenue Growth | 159% | 55% | -415% |
| Debt to Revenues | 98% | 77.6% | 192.6% |
| Price to Sales Ratio | 1.58 | 2.22 | 6.38 |
| PE Ratio | 13.0 | 16.3 | 26.0 |
| Dividends as % of Net Income | 16.6% | 0.0% | 60.8% |
| Interest Exp. As % of Net Income | 0.0% | 0.0% | 18.4% |
| Dividends & Interest as % of Net Income | 16.6% | 0.0% | 79.2% |
| Profit Margin | 12.1% | 13.6% | 24.6% |
| Date | Revenues | Liabilities | Market Cap | Dividends (TTM) | Net Income | Interest Expense (TTM) | Shares Outstanding | PE Ratio |
| 12/31/1990 | $6,640 | $6,485 | $10,459 | $133 | $802 | $0 | 1,436.4 | 13.0 |
| 12/31/1995 | $9,795 | $6,889 | $31,421 | $227 | $1,427 | $0 | 1,399.4 | 22.0 |
| 12/31/2000 | $14,243 | $12,479 | $44,584 | $0 | $1,977 | $0 | 1,304.9 | 22.5 |
| 12/31/2005 | $19,117 | $14,843 | $42,439 | $0 | $2,602 | $0 | 1,263.2 | 16.3 |
| 12/31/2010 | $24,075 | $17,341 | $80,874 | $2,408 | $4,946 | $431 | 1,053.6 | 16.4 |
| 12/31/2015 | $25,413 | $30,851 | $107,129 | $3,230 | $4,529 | $629 | 906.8 | 23.7 |
| 12/21/2018 | $21,202 | $40,846 | $135,256 | $3,165 | $5,208 | $957 | 770.9 | 26.0 |
| Date | Debt to Revenue | Price to Sales | Interest Exp. as % of Net Income | Interest Exp. as % of Revenue | Dividends as % of Net Income | Dividends as % of Revenue | Dividends + Interest Exp. as % of Net Income | Dividends + Interest Exp. as % of Revenue | Net Income as % of Revenue |
| 12/31/1990 | 97.7% | 1.58 | 0.0% | 0.0% | 16.6% | 2.0% | 16.6% | 2.0% | 12.1% |
| 12/31/1995 | 70.3% | 3.21 | 0.0% | 0.0% | 15.9% | 2.3% | 15.9% | 2.3% | 14.6% |
| 12/31/2000 | 87.6% | 3.13 | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 13.9% |
| 12/31/2005 | 77.6% | 2.22 | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 13.6% |
| 12/31/2010 | 72.0% | 3.36 | 8.7% | 1.8% | 48.7% | 10.0% | 57.4% | 11.8% | 20.5% |
| 12/31/2015 | 121.4% | 4.22 | 13.9% | 2.5% | 71.3% | 12.7% | 85.2% | 15.2% | 17.8% |
| 12/21/2018 | 192.6% | 6.38 | 18.4% | 4.5% | 60.8% | 14.9% | 79.2% | 19.4% | 24.6% |
| Date | 5Y Revenue Growth |
5Y Liabilities Growth |
3Y Increase in Liabs as % of Dividends Paid | 3Y Increase in Liabs as % of Divs + Buybacks |
| 12/31/1990 | 79.7% | 127.0% | ||
| 12/31/1995 | 47.5% | 6.2% | ||
| 12/31/2000 | 45.4% | 81.2% | ||
| 12/31/2005 | 34.2% | 18.9% | 1.66 | |
| 12/31/2010 | 25.9% | 16.8% | 0.50 | 0.20 |
| 12/31/2015 | 5.6% | 77.9% | 1.13 | 0.52 |
| 12/21/2018 | -24.2% | 100.4% | 1.74 | 0.52 |