WallStSmart

GEN Restaurant Group, Inc. Class A Common Stock (GENK)vsMcDonald’s Corporation (MCD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 12264% more annual revenue ($26.88B vs $217.45M). MCD leads profitability with a 31.9% profit margin vs -0.6%. MCD earns a higher WallStSmart Score of 53/100 (C-).

GENK

Avoid

31

out of 100

Grade: F

Growth: 4.7Profit: 2.0Value: 5.0Quality: 5.0

MCD

Buy

53

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 4.7Quality: 5.3
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for GENK.

MCDSignificantly Overvalued (-31.1%)

Margin of Safety

-31.1%

Fair Value

$237.84

Current Price

$311.70

$73.86 premium

UndervaluedFair: $237.84Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GENK1 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

MCD5 strengths · Avg: 9.6/10
Market CapQuality
$219.68B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
31.9%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
45.1%10/10

Strong operational efficiency at 45.1%

Debt/EquityHealth
-38.1210/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$1.64B8/10

Generating 1.6B in free cash flow

Areas to Watch

GENK4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Market CapQuality
$60.28M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-20.5%2/10

ROE of -20.5% — below average capital efficiency

EPS GrowthGrowth
-93.6%2/10

Earnings declined 93.6%

MCD4 concerns · Avg: 3.0/10
P/E RatioValuation
25.8x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.742/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GENK

The strongest argument for GENK centers on Price/Book.

Bull Case : MCD

The strongest argument for MCD centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 31.9% and operating margin at 45.1%.

Bear Case : GENK

The primary concerns for GENK are Revenue Growth, Market Cap, Return on Equity.

Bear Case : MCD

The primary concerns for MCD are P/E Ratio, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

GENK profiles as a turnaround stock while MCD is a mature play — different risk/reward profiles.

GENK carries more volatility with a beta of 1.47 — expect wider price swings.

MCD is growing revenue faster at 9.7% — sustainability is the question.

MCD generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

MCD scores higher overall (53/100 vs 31/100), backed by strong 31.9% margins. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

GEN Restaurant Group, Inc. Class A Common Stock

CONSUMER CYCLICAL · RESTAURANTS · USA

GEN Restaurant Group, Inc. operates restaurants in California, Arizona, Hawaii, Nevada, New York, and Texas. The company is headquartered in Cerritos, California.

McDonald’s Corporation

CONSUMER CYCLICAL · RESTAURANTS · USA

McDonald's Corporation is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States. They rechristened their business as a hamburger stand, and later turned the company into a franchise, with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona.

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