Darden Restaurants Inc (DRI)vsJack in the Box Inc. (JACK)
DRI
Darden Restaurants Inc
$212.23
+2.54%
CONSUMER CYCLICAL · Cap: $22.74B
JACK
Jack in the Box Inc.
$16.34
-0.79%
CONSUMER CYCLICAL · Cap: $277.52M
Smart Verdict
WallStSmart Research — data-driven comparison
Darden Restaurants Inc generates 822% more annual revenue ($13.21B vs $1.43B). DRI leads profitability with a 9.1% profit margin vs 2.5%. JACK appears more attractively valued with a PEG of 0.37. DRI earns a higher WallStSmart Score of 67/100 (B-).
DRI
Strong Buy67
out of 100
Grade: B-
JACK
Hold42
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-89.5%
Fair Value
$112.30
Current Price
$212.23
$99.93 premium
Margin of Safety
+47.2%
Fair Value
$39.07
Current Price
$16.34
$22.73 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 55 in profit
Earnings expanding 36.0% YoY
Growing faster than its price suggests
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Trading at 11.0x book value
Negative free cash flow — burning cash
Distress zone — elevated risk
Smaller company, higher risk/reward
ROE of 0.0% — below average capital efficiency
2.5% margin — thin
Revenue declined 4.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : DRI
The strongest argument for DRI centers on Return on Equity, EPS Growth. Revenue growth of 13.7% demonstrates continued momentum.
Bull Case : JACK
The strongest argument for JACK centers on PEG Ratio, Debt/Equity. PEG of 0.37 suggests the stock is reasonably priced for its growth.
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.
Bear Case : JACK
The primary concerns for JACK are Market Cap, Return on Equity, Profit Margin. Thin 2.5% margins leave little buffer for downturns.
Key Dynamics to Monitor
JACK carries more volatility with a beta of 1.40 — expect wider price swings.
DRI is growing revenue faster at 13.7% — sustainability is the question.
JACK generates stronger free cash flow (-27M), providing more financial flexibility.
Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DRI scores higher overall (67/100 vs 42/100) and 13.7% revenue growth. JACK offers better value entry with a 47.2% margin of safety. 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.
Darden Restaurants Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Darden Restaurants, Inc. is an American multi-brand restaurant operator headquartered in Orlando.
Jack in the Box Inc.
CONSUMER CYCLICAL · RESTAURANTS · USA
Jack in the Box Inc. operates and franchises Jack in the Box quick service restaurants. The company is headquartered in San Diego, California.
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