WallStSmart

Darden Restaurants Inc (DRI)vsWestern Digital Corporation (WDC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 8% more annual revenue ($12.76B vs $11.78B). WDC leads profitability with a 55.3% profit margin vs 8.7%. WDC appears more attractively valued with a PEG of 0.87. WDC earns a higher WallStSmart Score of 79/100 (B+).

DRI

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 7.0Value: 4.0Quality: 4.3
Piotroski: 4/9Altman Z: 1.33

WDC

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 9.5Value: 6.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DRISignificantly Overvalued (-65.0%)

Margin of Safety

-65.0%

Fair Value

$128.94

Current Price

$194.56

$65.62 premium

UndervaluedFair: $128.94Overvalued

Intrinsic value data unavailable for WDC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DRI1 strengths · Avg: 10.0/10
Return on EquityProfitability
51.5%10/10

Every $100 of equity generates 52 in profit

WDC6 strengths · Avg: 9.8/10
Return on EquityProfitability
85.9%10/10

Every $100 of equity generates 86 in profit

Profit MarginProfitability
55.3%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
37.0%10/10

Strong operational efficiency at 37.0%

Revenue GrowthGrowth
45.5%10/10

Revenue surging 45.5% year-over-year

EPS GrowthGrowth
477.2%10/10

Earnings expanding 477.2% YoY

Market CapQuality
$152.47B9/10

Large-cap with strong market position

Areas to Watch

DRI4 concerns · Avg: 3.0/10
PEG RatioValuation
1.704/10

Expensive relative to growth rate

Price/BookValuation
10.6x4/10

Trading at 10.6x book value

EPS GrowthGrowth
-3.3%2/10

Earnings declined 3.3%

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

WDC2 concerns · Avg: 3.0/10
P/E RatioValuation
25.8x4/10

Moderate valuation

Price/BookValuation
21.2x2/10

Trading at 21.2x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity.

Bull Case : WDC

The strongest argument for WDC centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 55.3% and operating margin at 37.0%. Revenue growth of 45.5% demonstrates continued momentum.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth.

Bear Case : WDC

The primary concerns for WDC are P/E Ratio, Price/Book.

Key Dynamics to Monitor

DRI profiles as a value stock while WDC is a growth play — different risk/reward profiles.

WDC carries more volatility with a beta of 2.16 — expect wider price swings.

WDC is growing revenue faster at 45.5% — sustainability is the question.

WDC generates stronger free cash flow (978M), providing more financial flexibility.

Bottom Line

WDC scores higher overall (79/100 vs 55/100), backed by strong 55.3% margins and 45.5% revenue growth. 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.

Western Digital Corporation

TECHNOLOGY · COMPUTER HARDWARE · USA

Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.

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