WallStSmart

Ark Restaurants Corp (ARKR)vsMcDonald’s Corporation (MCD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 17711% more annual revenue ($27.70B vs $155.54M). MCD leads profitability with a 31.7% profit margin vs -2.0%. MCD earns a higher WallStSmart Score of 53/100 (C-).

ARKR

Avoid

30

out of 100

Grade: F

Growth: 2.0Profit: 2.0Value: 6.7Quality: 3.0
Piotroski: 3/9Altman Z: 1.49

MCD

Buy

53

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 4.0Quality: 6.5
Piotroski: 3/9Altman Z: 2.79
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARKRUndervalued (+60.6%)

Margin of Safety

+60.6%

Fair Value

$17.84

Current Price

$4.83

$13.02 discount

UndervaluedFair: $17.84Overvalued
MCDSignificantly Overvalued (-62.5%)

Margin of Safety

-62.5%

Fair Value

$155.44

Current Price

$252.53

$97.09 premium

UndervaluedFair: $155.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARKR1 strengths · Avg: 10.0/10
Price/BookValuation
0.6x10/10

Reasonable price relative to book value

MCD5 strengths · Avg: 9.4/10
Profit MarginProfitability
31.7%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
46.5%10/10

Strong operational efficiency at 46.5%

Debt/EquityHealth
-53.3610/10

Conservative balance sheet, low leverage

Market CapQuality
$178.70B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.98B8/10

Generating 2.0B in free cash flow

Areas to Watch

ARKR4 concerns · Avg: 2.5/10
Market CapQuality
$17.40M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-19.7%2/10

ROE of -19.7% — below average capital efficiency

Revenue GrowthGrowth
-6.5%2/10

Revenue declined 6.5%

MCD4 concerns · Avg: 3.5/10
PEG RatioValuation
2.184/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.7%4/10

3.7% revenue growth

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : ARKR

The strongest argument for ARKR centers on Price/Book.

Bull Case : MCD

The strongest argument for MCD centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 31.7% and operating margin at 46.5%.

Bear Case : ARKR

The primary concerns for ARKR are Market Cap, Piotroski F-Score, Return on Equity. Debt-to-equity of 2.66 is elevated, increasing financial risk.

Bear Case : MCD

The primary concerns for MCD are PEG Ratio, Revenue Growth, Return on Equity.

Key Dynamics to Monitor

ARKR profiles as a turnaround stock while MCD is a value play — different risk/reward profiles.

MCD carries more volatility with a beta of 0.41 — expect wider price swings.

MCD is growing revenue faster at 3.7% — sustainability is the question.

MCD generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

MCD scores higher overall (53/100 vs 30/100), backed by strong 31.7% margins. ARKR offers better value entry with a 60.6% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ark Restaurants Corp

CONSUMER CYCLICAL · RESTAURANTS · USA

Ark Restaurants Corp. The company is headquartered in New York, New York.

McDonald’s Corporation

CONSUMER CYCLICAL · RESTAURANTS · USA

McDonald's Corporation is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States. They rechristened their business as a hamburger stand, and later turned the company into a franchise, with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona.

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