WallStSmart

Restaurant Brands International Inc (QSR)vsRCI Hospitality Holdings Inc (RICK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Restaurant Brands International Inc generates 3276% more annual revenue ($9.43B vs $279.43M). QSR leads profitability with a 8.2% profit margin vs 3.9%. RICK appears more attractively valued with a PEG of 0.71. RICK earns a higher WallStSmart Score of 58/100 (C).

QSR

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 7.3Quality: 4.3
Piotroski: 4/9Altman Z: 0.93

RICK

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 10.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

QSRSignificantly Overvalued (-295.4%)

Margin of Safety

-295.4%

Fair Value

$17.88

Current Price

$72.92

$55.04 premium

UndervaluedFair: $17.88Overvalued
RICKUndervalued (+59.4%)

Margin of Safety

+59.4%

Fair Value

$57.56

Current Price

$24.04

$33.52 discount

UndervaluedFair: $57.56Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

QSR2 strengths · Avg: 8.5/10
Return on EquityProfitability
24.0%9/10

Every $100 of equity generates 24 in profit

Operating MarginProfitability
26.4%8/10

Strong operational efficiency at 26.4%

RICK2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.718/10

Growing faster than its price suggests

Areas to Watch

QSR3 concerns · Avg: 2.7/10
P/E RatioValuation
28.1x4/10

Moderate valuation

EPS GrowthGrowth
-57.4%2/10

Earnings declined 57.4%

Altman Z-ScoreHealth
0.932/10

Distress zone — elevated risk

RICK4 concerns · Avg: 3.5/10
EPS GrowthGrowth
3.5%4/10

3.5% earnings growth

Altman Z-ScoreHealth
1.664/10

Distress zone — elevated risk

Market CapQuality
$203.10M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.1%3/10

ROE of 4.1% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : QSR

The strongest argument for QSR centers on Return on Equity, Operating Margin. PEG of 1.16 suggests the stock is reasonably priced for its growth.

Bull Case : RICK

The strongest argument for RICK centers on Price/Book, PEG Ratio. PEG of 0.71 suggests the stock is reasonably priced for its growth.

Bear Case : QSR

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

Bear Case : RICK

The primary concerns for RICK are EPS Growth, Altman Z-Score, Market Cap. Thin 3.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

RICK carries more volatility with a beta of 0.82 — expect wider price swings.

QSR is growing revenue faster at 7.4% — sustainability is the question.

QSR generates stronger free cash flow (441M), providing more financial flexibility.

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

Bottom Line

RICK scores higher overall (58/100 vs 57/100). 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.

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.

RCI Hospitality Holdings Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

RCI Hospitality Holdings, Inc., is engaged in hospitality and related businesses in the United States. The company is headquartered in Houston, Texas.

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