WallStSmart

Darden Restaurants Inc (DRI)vsSweetgreen Inc (SG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Darden Restaurants Inc generates 1792% more annual revenue ($12.76B vs $674.69M). DRI leads profitability with a 8.7% profit margin vs 2.5%. DRI trades at a lower P/E of 22.3x. DRI earns a higher WallStSmart Score of 55/100 (C-).

DRI

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 7.0Value: 5.0Quality: 3.5
Piotroski: 4/9Altman Z: 1.33

SG

Hold

36

out of 100

Grade: F

Growth: 4.7Profit: 3.0Value: 5.7Quality: 4.5
Piotroski: 2/9Altman Z: -0.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for DRI.

SGUndervalued (+65.8%)

Margin of Safety

+65.8%

Fair Value

$15.47

Current Price

$7.42

$8.05 discount

UndervaluedFair: $15.47Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DRI1 strengths · Avg: 10.0/10
Return on EquityProfitability
52.5%10/10

Every $100 of equity generates 53 in profit

SG1 strengths · Avg: 8.0/10
Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Areas to Watch

DRI4 concerns · Avg: 3.0/10
PEG RatioValuation
1.854/10

Expensive relative to growth rate

Price/BookValuation
10.8x4/10

Trading at 10.8x book value

EPS GrowthGrowth
-3.3%2/10

Earnings declined 3.3%

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

SG4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$881.70M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.4%3/10

ROE of 3.4% — below average capital efficiency

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : DRI

The strongest argument for DRI centers on Return on Equity.

Bull Case : SG

The strongest argument for SG centers on Price/Book.

Bear Case : DRI

The primary concerns for DRI are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 2.94 is elevated, increasing financial risk.

Bear Case : SG

The primary concerns for SG are EPS Growth, Market Cap, Return on Equity. A P/E of 61.8x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

SG carries more volatility with a beta of 2.16 — expect wider price swings.

DRI is growing revenue faster at 5.9% — sustainability is the question.

DRI generates stronger free cash flow (610M), providing more financial flexibility.

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DRI scores higher overall (55/100 vs 36/100). SG offers better value entry with a 65.8% 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.

Darden Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

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

Sweetgreen Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Sirius International Insurance Group, Ltd., offers insurance and reinsurance products globally. The company is headquartered in Hamilton, Bermuda.

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