Restaurant Brands International Inc (QSR)vsYum! Brands Inc (YUM)
QSR
Restaurant Brands International Inc
$72.88
-0.56%
CONSUMER CYCLICAL · Cap: $35.86B
YUM
Yum! Brands Inc
$137.99
+1.65%
CONSUMER CYCLICAL · Cap: $40.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Restaurant Brands International Inc generates 11% more annual revenue ($9.70B vs $8.72B). YUM leads profitability with a 25.4% profit margin vs 13.1%. QSR appears more attractively valued with a PEG of 1.24. QSR earns a higher WallStSmart Score of 68/100 (B-).
QSR
Strong Buy68
out of 100
Grade: B-
YUM
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+25.0%
Fair Value
$94.22
Current Price
$72.88
$21.34 discount
Margin of Safety
-78.0%
Fair Value
$89.36
Current Price
$137.99
$48.63 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 33 in profit
Earnings expanding 151.2% YoY
Strong operational efficiency at 27.7%
Strong operational efficiency at 32.8%
Earnings expanding 131.6% YoY
Conservative balance sheet, low leverage
Keeps 25 of every $100 in revenue as profit
Areas to Watch
4.6% revenue growth
Distress zone — elevated risk
Elevated debt levels
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : QSR
The strongest argument for QSR centers on Return on Equity, EPS Growth, Operating Margin. PEG of 1.24 suggests the stock is reasonably priced for its growth.
Bull Case : YUM
The strongest argument for YUM centers on Operating Margin, EPS Growth, Debt/Equity. Profitability is solid with margins at 25.4% and operating margin at 32.8%. Revenue growth of 12.2% demonstrates continued momentum.
Bear Case : QSR
The primary concerns for QSR are Revenue Growth, Altman Z-Score, Debt/Equity. Debt-to-equity of 4.07 is elevated, increasing financial risk.
Bear Case : YUM
The primary concerns for YUM are PEG Ratio, Return on Equity, Piotroski F-Score.
Key Dynamics to Monitor
QSR profiles as a value stock while YUM is a mature play — different risk/reward profiles.
YUM carries more volatility with a beta of 0.55 — expect wider price swings.
YUM is growing revenue faster at 12.2% — sustainability is the question.
QSR generates stronger free cash flow (479M), providing more financial flexibility.
Bottom Line
QSR scores higher overall (68/100 vs 65/100). 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.
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.
Yum! Brands Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.
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