WallStSmart

Domino's Pizza Inc Common Stock (DPZ)vsDarden Restaurants Inc (DRI)

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Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 165% more annual revenue ($13.21B vs $4.98B). DPZ leads profitability with a 11.9% profit margin vs 9.1%. DPZ appears more attractively valued with a PEG of 1.58. DRI earns a higher WallStSmart Score of 67/100 (B-).

DPZ

Hold

45

out of 100

Grade: D+

Growth: 3.3Profit: 7.0Value: 4.0Quality: 7.0
Piotroski: 5/9Altman Z: 1.72

DRI

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 7.0Value: 4.0Quality: 4.0
Piotroski: 6/9Altman Z: 1.40
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DPZSignificantly Overvalued (-60.8%)

Margin of Safety

-60.8%

Fair Value

$238.85

Current Price

$360.00

$121.15 premium

UndervaluedFair: $238.85Overvalued
DRISignificantly Overvalued (-89.5%)

Margin of Safety

-89.5%

Fair Value

$112.30

Current Price

$212.23

$99.93 premium

UndervaluedFair: $112.30Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DPZ1 strengths · Avg: 10.0/10
Debt/EquityHealth
-1.2910/10

Conservative balance sheet, low leverage

DRI2 strengths · Avg: 9.0/10
Return on EquityProfitability
54.7%10/10

Every $100 of equity generates 55 in profit

EPS GrowthGrowth
36.0%8/10

Earnings expanding 36.0% YoY

Areas to Watch

DPZ4 concerns · Avg: 3.8/10
PEG RatioValuation
1.584/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

Altman Z-ScoreHealth
1.724/10

Distress zone — elevated risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

DRI4 concerns · Avg: 3.0/10
PEG RatioValuation
1.774/10

Expensive relative to growth rate

Price/BookValuation
11.0x4/10

Trading at 11.0x book value

Free Cash FlowQuality
$-159.50M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.402/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : DPZ

The strongest argument for DPZ centers on Debt/Equity.

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity, EPS Growth. Revenue growth of 13.7% demonstrates continued momentum.

Bear Case : DPZ

The primary concerns for DPZ are PEG Ratio, Revenue Growth, Altman Z-Score.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, Free Cash Flow. Debt-to-equity of 2.74 is elevated, increasing financial risk.

Key Dynamics to Monitor

DPZ carries more volatility with a beta of 0.97 — expect wider price swings.

DRI is growing revenue faster at 13.7% — sustainability is the question.

DPZ generates stronger free cash flow (167M), providing more financial flexibility.

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

Bottom Line

DRI scores higher overall (67/100 vs 45/100) and 13.7% revenue growth. Both earn "Strong 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.

Domino's Pizza Inc Common Stock

CONSUMER CYCLICAL · RESTAURANTS · USA

Domino's Pizza, Inc., branded as Domino's, is an American multinational pizza restaurant chain founded in 1960. The corporation is headquartered at the Domino's Farms Office Park in Ann Arbor, Michigan.

Darden Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

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

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