Darden Restaurants Inc (DRI)vsThe Wendy’s Co (WEN)
DRI
Darden Restaurants Inc
$201.66
+0.57%
CONSUMER CYCLICAL · Cap: $23.46B
WEN
The Wendy’s Co
$7.14
+0.56%
CONSUMER CYCLICAL · Cap: $1.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Darden Restaurants Inc generates 486% more annual revenue ($12.76B vs $2.18B). DRI leads profitability with a 8.7% profit margin vs 7.6%. WEN appears more attractively valued with a PEG of 1.20. DRI earns a higher WallStSmart Score of 55/100 (C-).
DRI
Buy55
out of 100
Grade: C-
WEN
Buy52
out of 100
Grade: C-
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
-36.3%
Fair Value
$5.78
Current Price
$7.14
$1.36 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 52 in profit
Attractively priced relative to earnings
Every $100 of equity generates 88 in profit
Areas to Watch
Expensive relative to growth rate
Trading at 11.0x book value
Earnings declined 3.3%
Distress zone — elevated risk
Trading at 11.5x book value
Smaller company, higher risk/reward
7.6% margin — thin
Revenue declined 5.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : DRI
The strongest argument for DRI centers on Return on Equity.
Bull Case : WEN
The strongest argument for WEN centers on P/E Ratio, Return on Equity. PEG of 1.20 suggests the stock is reasonably priced for its growth.
Bear Case : DRI
The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth.
Bear Case : WEN
The primary concerns for WEN are Price/Book, Market Cap, Profit Margin.
Key Dynamics to Monitor
DRI carries more volatility with a beta of 0.60 — expect wider price swings.
DRI is growing revenue faster at 5.9% — sustainability is the question.
DRI generates stronger free cash flow (606M), providing more financial flexibility.
Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DRI scores higher overall (55/100 vs 52/100). Both earn "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.
The Wendy’s Co
CONSUMER CYCLICAL · RESTAURANTS · USA
The Wendy's Company, is a quick service restaurant business. The company is headquartered in Dublin, Ohio.
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