WallStSmart

Papa John's International Inc (PZZA)vsRestaurant Brands International Inc (QSR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Restaurant Brands International Inc generates 367% more annual revenue ($9.59B vs $2.05B). QSR leads profitability with a 10.0% profit margin vs 1.5%. QSR appears more attractively valued with a PEG of 0.94. QSR earns a higher WallStSmart Score of 70/100 (B).

PZZA

Hold

35

out of 100

Grade: F

Growth: 2.0Profit: 5.0Value: 6.0Quality: 5.3
Piotroski: 5/9Altman Z: 2.96

QSR

Strong Buy

70

out of 100

Grade: B

Growth: 8.0Profit: 8.0Value: 8.0Quality: 4.3
Piotroski: 4/9Altman Z: 0.93
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PZZAUndervalued (+50.6%)

Margin of Safety

+50.6%

Fair Value

$68.86

Current Price

$31.14

$37.72 discount

UndervaluedFair: $68.86Overvalued
QSRUndervalued (+33.6%)

Margin of Safety

+33.6%

Fair Value

$106.48

Current Price

$79.71

$26.77 discount

UndervaluedFair: $106.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PZZA0 strengths · Avg: 0/10

No standout strengths identified

QSR4 strengths · Avg: 8.8/10
EPS GrowthGrowth
100.0%10/10

Earnings expanding 100.0% YoY

Return on EquityProfitability
28.1%9/10

Every $100 of equity generates 28 in profit

PEG RatioValuation
0.948/10

Growing faster than its price suggests

Operating MarginProfitability
27.0%8/10

Strong operational efficiency at 27.0%

Areas to Watch

PZZA4 concerns · Avg: 3.5/10
PEG RatioValuation
2.174/10

Expensive relative to growth rate

P/E RatioValuation
36.5x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.08B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

QSR2 concerns · Avg: 3.0/10
P/E RatioValuation
25.4x4/10

Moderate valuation

Altman Z-ScoreHealth
0.932/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : PZZA

PZZA has a balanced fundamental profile.

Bull Case : QSR

The strongest argument for QSR centers on EPS Growth, Return on Equity, PEG Ratio. PEG of 0.94 suggests the stock is reasonably priced for its growth.

Bear Case : PZZA

The primary concerns for PZZA are PEG Ratio, P/E Ratio, Market Cap. Thin 1.5% margins leave little buffer for downturns.

Bear Case : QSR

The primary concerns for QSR are P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

PZZA carries more volatility with a beta of 1.17 — expect wider price swings.

QSR is growing revenue faster at 7.3% — sustainability is the question.

QSR generates stronger free cash flow (169M), providing more financial flexibility.

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

Bottom Line

QSR scores higher overall (70/100 vs 35/100). PZZA offers better value entry with a 50.6% margin of safety. Both earn "Strong 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.

Papa John's International Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Papa John's International, Inc. operates and franchises pizza delivery and take-out restaurants under the Papa John's trademark in the United States and internationally. The company is headquartered in Louisville, Kentucky.

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Restaurant Brands International Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Restaurant Brands International Inc. owns, operates and franchises quick-service restaurants under the Tim Hortons (TH), Burger King (BK) and Popeyes (PLK) brands. The company is headquartered in Toronto, Canada.

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