WallStSmart

Domino's Pizza Inc Common Stock (DPZ)vsMcDonald’s Corporation (MCD)

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Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 451% more annual revenue ($27.45B vs $4.98B). MCD leads profitability with a 31.6% profit margin vs 11.9%. DPZ appears more attractively valued with a PEG of 1.57. MCD earns a higher WallStSmart Score of 55/100 (C-).

DPZ

Hold

45

out of 100

Grade: D+

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

MCD

Buy

55

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 3.3Quality: 6.5
Piotroski: 3/9Altman Z: 2.79
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DPZSignificantly Overvalued (-61.0%)

Margin of Safety

-61.0%

Fair Value

$238.44

Current Price

$313.99

$75.55 premium

UndervaluedFair: $238.44Overvalued
MCDSignificantly Overvalued (-85.8%)

Margin of Safety

-85.8%

Fair Value

$150.63

Current Price

$279.84

$129.21 premium

UndervaluedFair: $150.63Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DPZ1 strengths · Avg: 10.0/10
Debt/EquityHealth
-1.3110/10

Conservative balance sheet, low leverage

MCD5 strengths · Avg: 9.4/10
Profit MarginProfitability
31.6%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
44.3%10/10

Strong operational efficiency at 44.3%

Debt/EquityHealth
-42.6810/10

Conservative balance sheet, low leverage

Market CapQuality
$196.36B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.73B8/10

Generating 1.7B in free cash flow

Areas to Watch

DPZ4 concerns · Avg: 3.8/10
PEG RatioValuation
1.574/10

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

MCD3 concerns · Avg: 2.7/10
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

PEG RatioValuation
2.532/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : DPZ

The strongest argument for DPZ centers on Debt/Equity.

Bull Case : MCD

The strongest argument for MCD centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 31.6% and operating margin at 44.3%.

Bear Case : DPZ

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

Bear Case : MCD

The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

DPZ profiles as a value stock while MCD is a mature play — different risk/reward profiles.

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

MCD is growing revenue faster at 9.4% — sustainability is the question.

MCD generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

MCD scores higher overall (55/100 vs 45/100), backed by strong 31.6% margins. 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.

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.

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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