DARDEN RESTAURANTS, INC. vs Yum China Holdings, Inc., two Restaurants stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where DRI and YUMC diverge most: on implied growth (priced in), DRI reads +1.5% and YUMC reads -3.5%; on fcf yield, DRI reads -3.1% and YUMC reads 5.5%. The rest of the comparable metrics sit closer together. On valuation, today's DRI price has a different growth bar priced in than YUMC (+1.5% implied for DRI vs -3.5% for YUMC); the higher figure is the steeper assumption to clear, not a better or worse stock. What DRI's price implies is a bet that sits within the historical range (whole-company basis). What YUMC's price implies is a bet that sits within the historical range (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | DRI | YUMC |
|---|---|---|
| Price | $203.87 | $48.20 |
| Market cap | $23.6B | $17.1B |
| Sector | Restaurants | Restaurants |
| Stage | Mature | Mature |
| Implied growth (priced in) | +1.5% | -3.5% |
| P/E | 19.6 | 18.5 |
| P/B | 10.69 | 2.79 |
| P/S | 1.79 | 1.41 |
| EV/EBITDA | 12.0 | 9.3 |
| Revenue growth | +9.3% | +6.7% |
| Gross margin | 22.1% | — |
| Operating margin | 13.9% | 13.7% |
| Net margin | 9.1% | 7.8% |
| Return on equity | 54.7% | 15.5% |
| Return on assets | 9.4% | 8.7% |
| Return on invested capital | 30.5% | 15.9% |
| FCF yield | -3.1% | 5.5% |
| Dividend yield | 2.9% | 2.0% |
| Debt / equity | 1.06 | 0.00 |
| Current ratio | 0.31 | 1.01 |
| Altman Z (solvency) | 2.28 | 3.65 |
| Piotroski F (quality) | 6 / 9 | 8 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.