WallStSmart

Chipotle Mexican Grill Inc (CMG)vsDarden Restaurants Inc (DRI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 5% more annual revenue ($12.58B vs $11.93B). CMG leads profitability with a 12.9% profit margin vs 8.9%. CMG appears more attractively valued with a PEG of 1.73. DRI earns a higher WallStSmart Score of 61/100 (C+).

CMG

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 8.0Value: 7.3Quality: 5.0
Piotroski: 4/9Altman Z: 2.47

DRI

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 7.0Value: 8.7Quality: 4.3
Piotroski: 4/9Altman Z: 1.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CMGSignificantly Overvalued (-147.3%)

Margin of Safety

-147.3%

Fair Value

$15.05

Current Price

$33.37

$18.32 premium

UndervaluedFair: $15.05Overvalued
DRIUndervalued (+12.6%)

Margin of Safety

+12.6%

Fair Value

$243.45

Current Price

$203.05

$40.40 discount

UndervaluedFair: $243.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMG1 strengths · Avg: 10.0/10
Return on EquityProfitability
47.4%10/10

Every $100 of equity generates 47 in profit

DRI1 strengths · Avg: 10.0/10
Return on EquityProfitability
54.1%10/10

Every $100 of equity generates 54 in profit

Areas to Watch

CMG4 concerns · Avg: 4.0/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

P/E RatioValuation
29.3x4/10

Moderate valuation

Price/BookValuation
15.4x4/10

Trading at 15.4x book value

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

DRI3 concerns · Avg: 3.3/10
PEG RatioValuation
1.824/10

Expensive relative to growth rate

Price/BookValuation
10.3x4/10

Trading at 10.3x book value

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CMG

The strongest argument for CMG centers on Return on Equity.

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity.

Bear Case : CMG

The primary concerns for CMG are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 3.48 is elevated, increasing financial risk.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, Altman Z-Score.

Key Dynamics to Monitor

CMG carries more volatility with a beta of 1.02 — expect wider price swings.

DRI is growing revenue faster at 7.3% — sustainability is the question.

CMG generates stronger free cash flow (228M), providing more financial flexibility.

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DRI scores higher overall (61/100 vs 56/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Chipotle Mexican Grill Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Chipotle Mexican Grill, Inc., often known simply as Chipotle, is an American chain of fast casual restaurants in the United States, United Kingdom, Canada, Germany, and France, specializing in tacos and Mission burritos that are made to order in front of the customer.

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Darden Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Darden Restaurants, Inc. is an American multi-brand restaurant operator headquartered in Orlando.

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