WallStSmart

Good Times Restaurants Inc (GTIM)vsMcDonald’s Corporation (MCD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McDonald’s Corporation generates 19940% more annual revenue ($27.45B vs $136.96M). MCD leads profitability with a 31.6% profit margin vs 1.3%. GTIM appears more attractively valued with a PEG of 1.22. MCD earns a higher WallStSmart Score of 55/100 (C-).

GTIM

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 4.0Value: 8.7Quality: 4.0
Piotroski: 3/9Altman Z: 1.71

MCD

Buy

55

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 3.3Quality: 6.5
Piotroski: 3/9Altman Z: 2.79
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GTIMUndervalued (+88.8%)

Margin of Safety

+88.8%

Fair Value

$10.94

Current Price

$1.44

$9.50 discount

UndervaluedFair: $10.94Overvalued
MCDSignificantly Overvalued (-81.2%)

Margin of Safety

-81.2%

Fair Value

$151.51

Current Price

$274.60

$123.09 premium

UndervaluedFair: $151.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GTIM2 strengths · Avg: 10.0/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.5x10/10

Reasonable price relative to book value

MCD5 strengths · Avg: 9.4/10
Profit MarginProfitability
31.6%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
44.3%10/10

Strong operational efficiency at 44.3%

Debt/EquityHealth
-42.6810/10

Conservative balance sheet, low leverage

Market CapQuality
$196.45B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.73B8/10

Generating 1.7B in free cash flow

Areas to Watch

GTIM4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.714/10

Distress zone — elevated risk

Market CapQuality
$14.89M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.4%3/10

ROE of 5.4% — below average capital efficiency

Profit MarginProfitability
1.3%3/10

1.3% margin — thin

MCD3 concerns · Avg: 2.7/10
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
2.562/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GTIM

The strongest argument for GTIM centers on P/E Ratio, Price/Book. PEG of 1.22 suggests the stock is reasonably priced for its growth.

Bull Case : MCD

The strongest argument for MCD centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 31.6% and operating margin at 44.3%.

Bear Case : GTIM

The primary concerns for GTIM are Altman Z-Score, Market Cap, Return on Equity. Thin 1.3% margins leave little buffer for downturns.

Bear Case : MCD

The primary concerns for MCD are Return on Equity, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

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

GTIM carries more volatility with a beta of 0.65 — expect wider price swings.

MCD is growing revenue faster at 9.4% — sustainability is the question.

MCD generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

MCD scores higher overall (55/100 vs 49/100), backed by strong 31.6% margins. GTIM offers better value entry with a 88.8% 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.

Good Times Restaurants Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Good Times Restaurants Inc., is dedicated to the restaurant business in the United States. The company is headquartered in Lakewood, Colorado.

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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