Strain-mediated multiferroic composite structures are gaining scientific and technological attention because of the promise of low power consumption and greater flexibility in material and geometry choices. In this study, the direct magnetoelectric coupling coefficient (DME) of composite multiferroic cylinders, consisting of two mechanically bonded concentric cylinders, was analytically modeled under the influence of a radially emanating magnetic field. The analysis framework emphasized the effect of demagnetization on the overall performance. The demagnetization effect was thoroughly considered as a function of the imposed mechanical boundary conditions, the geometrical dimensions of the composite cylinder, and the introduction of a thin elastic layer at the interface between the inner piezomagnetic and outer piezoelectric cylinders. The results indicate that the demagnetization effect adversely impacted the DME coefficient. In a trial to compensate for the reduction in peak DME coefficient due to demagnetization, a non-dimensional geometrical analysis was carried out to identify the geometrical attributes corresponding to the maximum DME. It was observed that the peak DME coefficient was nearly unaffected by varying the inner radius of the composite cylinder, while it approached its maximum value when the thickness of the piezoelectric cylinder was almost 60% of the total thickness of the composite cylinder. The latter conclusion was true for all of the considered boundary conditions.