WallStSmart

Good Times Restaurants Inc (GTIM)vsMcDonald’s Corporation (MCD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 19381% more annual revenue ($26.88B vs $138.00M). MCD leads profitability with a 31.9% profit margin vs 0.8%. GTIM appears more attractively valued with a PEG of 1.22. MCD earns a higher WallStSmart Score of 53/100 (C-).

GTIM

Hold

47

out of 100

Grade: D+

Growth: 6.0Profit: 4.0Value: 10.0Quality: 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

GTIMUndervalued (+51.8%)

Margin of Safety

+51.8%

Fair Value

$2.55

Current Price

$1.19

$1.36 discount

UndervaluedFair: $2.55Overvalued
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

GTIM2 strengths · Avg: 10.0/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.4x10/10

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

GTIM4 concerns · Avg: 3.0/10
Market CapQuality
$11.93M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.3%3/10

ROE of 3.3% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Operating MarginProfitability
1.0%3/10

Operating margin of 1.0%

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 : GTIM

The strongest argument for GTIM centers on P/E Ratio, Price/Book. PEG of 1.22 suggests the stock is reasonably priced for its growth.

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 : GTIM

The primary concerns for GTIM are Market Cap, Return on Equity, Profit Margin. Thin 0.8% margins leave little buffer for downturns.

Bear Case : MCD

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

Key Dynamics to Monitor

GTIM profiles as a value stock while MCD is a mature play — different risk/reward profiles.

GTIM carries more volatility with a beta of 0.67 — 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 47/100), backed by strong 31.9% margins. GTIM offers better value entry with a 51.8% 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.

Good Times Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Good Times Restaurants Inc., is dedicated to the restaurant business in the United States. The company is headquartered in Lakewood, Colorado.

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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