WallStSmart

Ark Restaurants Corp (ARKR)vsDarden Restaurants Inc (DRI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 8394% more annual revenue ($13.21B vs $155.54M). DRI leads profitability with a 9.1% profit margin vs -2.0%. DRI earns a higher WallStSmart Score of 67/100 (B-).

ARKR

Avoid

30

out of 100

Grade: F

Growth: 2.0Profit: 2.0Value: 6.7Quality: 3.0
Piotroski: 3/9Altman Z: 1.49

DRI

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 7.0Value: 4.0Quality: 4.0
Piotroski: 6/9Altman Z: 1.40
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARKRUndervalued (+60.6%)

Margin of Safety

+60.6%

Fair Value

$17.84

Current Price

$4.67

$13.17 discount

UndervaluedFair: $17.84Overvalued
DRISignificantly Overvalued (-86.7%)

Margin of Safety

-86.7%

Fair Value

$113.99

Current Price

$209.89

$95.90 premium

UndervaluedFair: $113.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARKR1 strengths · Avg: 10.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

DRI2 strengths · Avg: 9.0/10
Return on EquityProfitability
54.7%10/10

Every $100 of equity generates 55 in profit

EPS GrowthGrowth
36.0%8/10

Earnings expanding 36.0% YoY

Areas to Watch

ARKR4 concerns · Avg: 2.5/10
Market CapQuality
$17.40M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-19.7%2/10

ROE of -19.7% — below average capital efficiency

Revenue GrowthGrowth
-6.5%2/10

Revenue declined 6.5%

DRI4 concerns · Avg: 3.0/10
PEG RatioValuation
1.944/10

Expensive relative to growth rate

Price/BookValuation
10.8x4/10

Trading at 10.8x book value

Free Cash FlowQuality
$-159.50M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.402/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ARKR

The strongest argument for ARKR centers on Price/Book.

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity, EPS Growth. Revenue growth of 13.7% demonstrates continued momentum.

Bear Case : ARKR

The primary concerns for ARKR are Market Cap, Piotroski F-Score, Return on Equity. Debt-to-equity of 2.66 is elevated, increasing financial risk.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, Free Cash Flow. Debt-to-equity of 2.74 is elevated, increasing financial risk.

Key Dynamics to Monitor

ARKR profiles as a turnaround stock while DRI is a value play — different risk/reward profiles.

DRI carries more volatility with a beta of 0.59 — expect wider price swings.

DRI is growing revenue faster at 13.7% — sustainability is the question.

ARKR generates stronger free cash flow (-1M), providing more financial flexibility.

Bottom Line

DRI scores higher overall (67/100 vs 30/100) and 13.7% revenue growth. ARKR offers better value entry with a 60.6% margin of safety. Both earn "Strong 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.

Ark Restaurants Corp

CONSUMER CYCLICAL · RESTAURANTS · USA

Ark Restaurants Corp. The company is headquartered in New York, New York.

Darden Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Darden Restaurants, Inc. is an American multi-brand restaurant operator headquartered in Orlando.

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