Darden Restaurants Inc (DRI)vsPhilip Morris International Inc (PM)
DRI
Darden Restaurants Inc
$201.66
+0.57%
CONSUMER CYCLICAL · Cap: $23.46B
PM
Philip Morris International Inc
$165.50
+0.99%
CONSUMER DEFENSIVE · Cap: $255.09B
Smart Verdict
WallStSmart Research — data-driven comparison
Philip Morris International Inc generates 218% more annual revenue ($40.65B vs $12.76B). PM leads profitability with a 27.9% profit margin vs 8.7%. DRI appears more attractively valued with a PEG of 1.81. PM earns a higher WallStSmart Score of 70/100 (B-).
DRI
Buy55
out of 100
Grade: C-
PM
Strong Buy70
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-229.4%
Fair Value
$64.60
Current Price
$201.66
$137.06 premium
Margin of Safety
+17.9%
Fair Value
$201.54
Current Price
$165.50
$36.04 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 52 in profit
Mega-cap, among the largest globally
Strong operational efficiency at 32.9%
Keeps 28 of every $100 in revenue as profit
Generating 4.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Trading at 11.0x book value
Earnings declined 3.3%
Distress zone — elevated risk
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : DRI
The strongest argument for DRI centers on Return on Equity.
Bull Case : PM
The strongest argument for PM centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.9% and operating margin at 32.9%.
Bear Case : DRI
The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth.
Bear Case : PM
The primary concerns for PM are PEG Ratio, Return on Equity.
Key Dynamics to Monitor
DRI profiles as a value stock while PM is a mature play — different risk/reward profiles.
DRI carries more volatility with a beta of 0.60 — expect wider price swings.
PM is growing revenue faster at 6.8% — sustainability is the question.
PM generates stronger free cash flow (4.3B), providing more financial flexibility.
Bottom Line
PM scores higher overall (70/100 vs 55/100), backed by strong 27.9% margins. Both earn "Strong 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.
Darden Restaurants Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Darden Restaurants, Inc. is an American multi-brand restaurant operator headquartered in Orlando.
Philip Morris International Inc
CONSUMER DEFENSIVE · TOBACCO · USA
Philip Morris International Inc. (PMI) is a Swiss-American multinational cigarette and tobacco manufacturing company, with products sold in over 180 countries. The most recognized and best selling product of the company is Marlboro.
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