Darden Restaurants Inc (DRI)vsPapa John's International Inc (PZZA)
DRI
Darden Restaurants Inc
$210.56
+2.41%
CONSUMER CYCLICAL · Cap: $24.45B
PZZA
Papa John's International Inc
$34.35
-1.12%
CONSUMER CYCLICAL · Cap: $1.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Darden Restaurants Inc generates 534% more annual revenue ($12.76B vs $2.01B). DRI leads profitability with a 8.7% profit margin vs 1.4%. DRI appears more attractively valued with a PEG of 1.87. DRI earns a higher WallStSmart Score of 55/100 (C-).
DRI
Buy55
out of 100
Grade: C-
PZZA
Hold35
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for DRI.
Margin of Safety
+37.5%
Fair Value
$54.44
Current Price
$34.35
$20.09 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 53 in profit
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Trading at 11.5x book value
Earnings declined 3.3%
Distress zone — elevated risk
Smaller company, higher risk/reward
ROE of 0.0% — below average capital efficiency
1.4% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : DRI
The strongest argument for DRI centers on Return on Equity.
Bull Case : PZZA
The strongest argument for PZZA centers on Debt/Equity.
Bear Case : DRI
The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 2.94 is elevated, increasing financial risk.
Bear Case : PZZA
The primary concerns for PZZA are Market Cap, Return on Equity, Profit Margin. A P/E of 43.4x leaves little room for execution misses. Thin 1.4% margins leave little buffer for downturns.
Key Dynamics to Monitor
PZZA carries more volatility with a beta of 1.13 — expect wider price swings.
DRI is growing revenue faster at 5.9% — sustainability is the question.
DRI generates stronger free cash flow (610M), providing more financial flexibility.
Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DRI scores higher overall (55/100 vs 35/100). PZZA offers better value entry with a 37.5% 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.
Darden Restaurants Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Darden Restaurants, Inc. is an American multi-brand restaurant operator headquartered in Orlando.
Papa John's International Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Papa John's International, Inc. operates and franchises pizza delivery and take-out restaurants under the Papa John's trademark in the United States and internationally. The company is headquartered in Louisville, Kentucky.
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