First Watch Restaurant Group Inc (FWRG)vsRestaurant Brands International Inc (QSR)
FWRG
First Watch Restaurant Group Inc
$11.27
-1.66%
CONSUMER CYCLICAL · Cap: $700.64M
QSR
Restaurant Brands International Inc
$72.92
-1.26%
CONSUMER CYCLICAL · Cap: $33.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Restaurant Brands International Inc generates 672% more annual revenue ($9.43B vs $1.22B). QSR leads profitability with a 8.2% profit margin vs 1.6%. QSR trades at a lower P/E of 28.1x. QSR earns a higher WallStSmart Score of 57/100 (C).
FWRG
Buy56
out of 100
Grade: C
QSR
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-14.3%
Fair Value
$14.51
Current Price
$11.27
$3.24 premium
Margin of Safety
-295.4%
Fair Value
$17.88
Current Price
$72.92
$55.04 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 20.2% year-over-year
Earnings expanding 22.9% YoY
Every $100 of equity generates 24 in profit
Strong operational efficiency at 26.4%
Areas to Watch
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 3.2% — below average capital efficiency
1.6% margin — thin
Moderate valuation
Earnings declined 57.4%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : FWRG
The strongest argument for FWRG centers on Price/Book, Revenue Growth, EPS Growth. Revenue growth of 20.2% demonstrates continued momentum.
Bull Case : QSR
The strongest argument for QSR centers on Return on Equity, Operating Margin. PEG of 1.16 suggests the stock is reasonably priced for its growth.
Bear Case : FWRG
The primary concerns for FWRG are P/E Ratio, Market Cap, Return on Equity. Debt-to-equity of 1.62 is elevated, increasing financial risk. Thin 1.6% margins leave little buffer for downturns.
Bear Case : QSR
The primary concerns for QSR are P/E Ratio, EPS Growth, Altman Z-Score.
Key Dynamics to Monitor
FWRG profiles as a growth stock while QSR is a value play — different risk/reward profiles.
FWRG carries more volatility with a beta of 0.92 — expect wider price swings.
FWRG is growing revenue faster at 20.2% — sustainability is the question.
QSR generates stronger free cash flow (441M), providing more financial flexibility.
Bottom Line
QSR scores higher overall (57/100 vs 56/100). 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.
First Watch Restaurant Group Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
First Watch Restaurant Group Inc (FWRG) is a leading entity in the fast-casual dining landscape, focusing on breakfast, brunch, and lunch with an emphasis on health-conscious, fresh, and high-quality ingredients. Established in 1983, the company has developed a dedicated customer following through its innovative menu that evolves with culinary trends. First Watch's commitment to outstanding customer service and a distinctive dining experience is complemented by its strategic expansion into new markets, laying the foundation for sustainable growth and enhanced shareholder value in the competitive restaurant industry.
Visit Website →Restaurant Brands International Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Restaurant Brands International Inc. owns, operates and franchises quick-service restaurants under the Tim Hortons (TH), Burger King (BK) and Popeyes (PLK) brands. The company is headquartered in Toronto, Canada.
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