WallStSmart

Domino's Pizza Inc Common Stock (DPZ)vsMcDonald’s Corporation (MCD)

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Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 444% more annual revenue ($26.88B vs $4.94B). MCD leads profitability with a 31.9% profit margin vs 12.2%. DPZ appears more attractively valued with a PEG of 1.66. DPZ earns a higher WallStSmart Score of 55/100 (C).

DPZ

Buy

55

out of 100

Grade: C

Growth: 6.0Profit: 7.0Value: 10.0Quality: 5.3
Piotroski: 5/9Altman Z: 1.00

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

DPZUndervalued (+53.3%)

Margin of Safety

+53.3%

Fair Value

$822.28

Current Price

$362.53

$459.75 discount

UndervaluedFair: $822.28Overvalued
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

DPZ1 strengths · Avg: 8.0/10
EPS GrowthGrowth
30.1%8/10

Earnings expanding 30.1% YoY

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

DPZ4 concerns · Avg: 3.3/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.1%4/10

3.1% revenue growth

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Altman Z-ScoreHealth
1.002/10

Distress zone — elevated risk

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 : DPZ

The strongest argument for DPZ centers on EPS 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 : DPZ

The primary concerns for DPZ are PEG Ratio, Revenue Growth, 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

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

DPZ carries more volatility with a beta of 1.16 — 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

DPZ scores higher overall (55/100 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.

Domino's Pizza Inc Common Stock

CONSUMER CYCLICAL · RESTAURANTS · USA

Domino's Pizza, Inc., branded as Domino's, is an American multinational pizza restaurant chain founded in 1960. The corporation is headquartered at the Domino's Farms Office Park in Ann Arbor, Michigan.

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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