BJs Restaurants Inc (BJRI)vsMcDonald’s Corporation (MCD)
BJRI
BJs Restaurants Inc
$36.16
+2.20%
CONSUMER CYCLICAL · Cap: $743.17M
MCD
McDonald’s Corporation
$311.70
+1.25%
CONSUMER CYCLICAL · Cap: $219.68B
Smart Verdict
WallStSmart Research — data-driven comparison
McDonald’s Corporation generates 1822% more annual revenue ($26.88B vs $1.40B). MCD leads profitability with a 31.9% profit margin vs 3.5%. BJRI appears more attractively valued with a PEG of 1.16. BJRI earns a higher WallStSmart Score of 59/100 (C).
BJRI
Buy59
out of 100
Grade: C
MCD
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.1%
Fair Value
$101.09
Current Price
$36.16
$64.93 discount
Margin of Safety
-31.1%
Fair Value
$237.84
Current Price
$311.70
$73.86 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 34.7% YoY
Mega-cap, among the largest globally
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 45.1%
Conservative balance sheet, low leverage
Generating 1.6B in free cash flow
Areas to Watch
3.2% revenue growth
Smaller company, higher risk/reward
3.5% margin — thin
Operating margin of 3.7%
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : BJRI
The strongest argument for BJRI centers on P/E Ratio, Price/Book, EPS Growth. PEG of 1.16 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 : BJRI
The primary concerns for BJRI are Revenue Growth, Market Cap, Profit Margin. Thin 3.5% 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
BJRI profiles as a value stock while MCD is a mature play — different risk/reward profiles.
BJRI carries more volatility with a beta of 1.32 — 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
BJRI scores higher overall (59/100 vs 53/100). 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.
BJs Restaurants Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
BJ's Restaurants, Inc. owns and operates casual restaurants in the United States. The company is headquartered in Huntington Beach, 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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