WallStSmart

Dine Brands Global Inc (DIN)vsDarden Restaurants Inc (DRI)

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Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 1385% more annual revenue ($13.37B vs $899.90M). DRI leads profitability with a 8.8% profit margin vs 0.8%. DIN appears more attractively valued with a PEG of 1.29. DRI earns a higher WallStSmart Score of 51/100 (C-).

DIN

Hold

46

out of 100

Grade: D+

Growth: 2.7Profit: 5.0Value: 6.0Quality: 5.0
Piotroski: 4/9Altman Z: 0.69

DRI

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 7.0Value: 4.0Quality: 4.0
Piotroski: 6/9Altman Z: 1.40
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DINUndervalued (+48.5%)

Margin of Safety

+48.5%

Fair Value

$67.43

Current Price

$36.33

$31.10 discount

UndervaluedFair: $67.43Overvalued
DRISignificantly Overvalued (-81.3%)

Margin of Safety

-81.3%

Fair Value

$117.34

Current Price

$227.90

$110.56 premium

UndervaluedFair: $117.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DIN1 strengths · Avg: 10.0/10
Debt/EquityHealth
-5.7310/10

Conservative balance sheet, low leverage

DRI1 strengths · Avg: 10.0/10
Return on EquityProfitability
57.2%10/10

Every $100 of equity generates 57 in profit

Areas to Watch

DIN4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.4%4/10

4.4% revenue growth

Market CapQuality
$461.93M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

DRI4 concerns · Avg: 3.0/10
PEG RatioValuation
2.354/10

Expensive relative to growth rate

Price/BookValuation
12.5x4/10

Trading at 12.5x book value

EPS GrowthGrowth
-6.7%2/10

Earnings declined 6.7%

Altman Z-ScoreHealth
1.402/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : DIN

The strongest argument for DIN centers on Debt/Equity. PEG of 1.29 suggests the stock is reasonably priced for its growth.

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity.

Bear Case : DIN

The primary concerns for DIN are Revenue Growth, Market Cap, Return on Equity. A P/E of 59.8x leaves little room for execution misses. Thin 0.8% margins leave little buffer for downturns.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 3.20 is elevated, increasing financial risk.

Key Dynamics to Monitor

DIN carries more volatility with a beta of 0.93 — expect wider price swings.

DRI is growing revenue faster at 5.1% — sustainability is the question.

DRI generates stronger free cash flow (101M), providing more financial flexibility.

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

Bottom Line

DRI scores higher overall (51/100 vs 46/100). DIN offers better value entry with a 48.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Dine Brands Global Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Dine Brands Global, Inc. owns, franchises, operates and leases full service restaurants in the United States and internationally. The company is headquartered in Glendale, California.

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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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