We present a shear-lag stress analysis methodology which accounts for both matrix strain-hardening plasticity and interfacial slip in a single fiber metal matrix composite (MMC) subjected to uniaxial tensile loading and unloading along the fiber direction. The fiber may either be broken or intact. Among other things, the model predicts residual stress and strain distribution after a cycle in the fiber and matrix. The development of the model is motivated by the recent measurement by Hanan et al. [Mater. Sci. Eng. A, in press], of elastic strain evolution with loading in each phase of an Al2O3/Al composite using neutron diffraction. The model also estimates two crucial in situ material parameters using these measurements, which cannot be obtained from bulk tests: the frictional threshold of the interface, and the in situ yield point of the matrix. With these parameters, the predicted elastic strain evolution with loading is in excellent agreement with the experimental data. (C) 2004 Elsevier Ltd. All rights reserved.