Top 15 Restaurant Stocks Ranked by Marvin Overall Score
Marvin's rules rank 15 restaurant stocks by Overall score within their industry. Darden, Restaurant Brands International and Yum! Brands lead the list as of October 2026. Each pick shows its margins, growth and debt.
Restaurant companies sell meals, whether in sit-down dining rooms, drive-thrus or delivery. Profit margins can be thin, sales depend on how often people eat out, and costs for food and labor matter a lot. That is why figures such as operating margin, free cash flow margin and debt are useful for comparing them.
This list shows the 15 restaurant stocks that Marvin's rules ranked highest by Overall score as of October 2026. Each stock gets a short summary of what its numbers suggest, along with one caution, because no company looks strong on every measure.
Keep in mind that the scores describe how a company compares with other restaurant companies today. They are not predictions, and they do not say whether any stock is a good purchase. Some figures are missing for certain companies, and the write-ups say so where it matters.
The list
How Marvin ranked these stocks
Marvin included restaurant companies above a minimum size cutoff and ranked them by Overall score, highest first. Overall, Quality and Opportunity scores are relative to each company's own industry, so every stock here is measured against other restaurant companies, not against the whole market. A high score means a company compares well with its restaurant peers, not that it will do well from here.
Companies above about $300 million in size, ranked by Marvin scores (0-100, relative to each company's own industry). The Restaurants industry, highest Overall score first.
The stocks, one by one
Darden Restaurants, Inc. DRI
Darden has the top Overall score on the list at 96, backed by revenue growth of 9.4% and an operating margin of 11.7%. That points to steady growth with solid profitability. The caution is debt: its debt-to-equity ratio is 4.15, so it relies on borrowing.
Restaurant Brands International Inc. QSR
Restaurant Brands International combines revenue growth of 12.2% with a strong operating margin of 26.9% and a free cash flow margin of 16.8%. Its Opportunity score is 95. The caution is a debt-to-equity ratio of 4.06, and gross margin data is not available.
Yum! Brands, Inc. YUM
Yum! Brands has a high Quality score of 96, an operating margin of 31.0% and a free cash flow margin of 19.3%, suggesting strong profitability and cash generation. The caution is that return on equity and debt figures are missing, so its balance sheet cannot be judged here.
McDonald's Corporation MCD
McDonald's stands out for its operating margin of 46.2% and free cash flow margin of 28.0%, both very strong, and a Quality score of 94. The caution is modest revenue growth of 3.7% and an Opportunity score of just 63, well behind its quality.
Nathan's Famous, Inc. NATH
Nathan's Famous shows revenue growth of 9.4%, an operating margin of 17.7% and a gross margin of 33.0%, which suggests healthy profitability and decent growth. The caution is that return on equity and debt figures are not available, so leverage cannot be checked.
Texas Roadhouse, Inc. TXRH
Texas Roadhouse has low debt, with a debt-to-equity ratio of 0.70, and revenue growth of 9.4%. Its Quality score is 89. The caution is a thinner operating margin of 7.7%, and its Opportunity score of 65 is moderate.
Domino's Pizza, Inc. DPZ
Domino's has an operating margin of 19.7% and a free cash flow margin of 12.5%, pointing to solid profitability. The caution is that revenue growth of 5.0% is fairly modest, and return on equity and debt figures are missing.
Brinker International, Inc. EAT
Brinker has a high Opportunity score of 90 and a very high return on equity of 109.8%, with revenue growth of 7.9%. The caution is a debt-to-equity ratio of 4.12, and its operating margin of 10.7% is only moderate.
El Pollo Loco Holdings, Inc. LOCO
El Pollo Loco has a high Opportunity score of 88 and low debt, with a debt-to-equity ratio of 0.69. The caution is growth: revenue rose only 3.6%, and return on equity of 11.0% is modest.
The Cheesecake Factory Incorporated CAKE
The Cheesecake Factory has revenue growth of 4.7% and a return on equity of 34.4%. The caution is thin profitability, with an operating margin of 5.3% and a free cash flow margin of 5.3%, plus a debt-to-equity ratio of 4.01.
The Wendy's Company WEN
Wendy's has a decent operating margin of 13.6% and free cash flow margin of 12.0%. The cautions are significant: revenue growth was -3.1%, meaning sales fell, and its debt-to-equity ratio of 33.81 is very high. Its Quality score is 48.
Wingstop Inc. WING
Wingstop shows fast revenue growth of 11.4%, a strong operating margin of 27.9% and a free cash flow margin of 17.8%. The caution is its low Opportunity score of 40, and debt and return on equity figures are not available.
Chipotle Mexican Grill, Inc. CMG
Chipotle has a Quality score of 80, an operating margin of 14.7% and a return on equity of 64.5%, suggesting a profitable business. The caution is a very low Opportunity score of 20, and its debt figure is not available.
BJ's Restaurants, Inc. BJRI
BJ's Restaurants has a gross margin of 74.5% and a debt-to-equity ratio of 1.09, which is modest. The caution is very thin profitability: an operating margin of 2.7% and a free cash flow margin of 3.2%, with revenue growth of 3.1%.
Biglari Holdings Inc. BH
Biglari Holdings has revenue growth of 9.2%, a free cash flow margin of 12.4% and low debt, with a debt-to-equity ratio of 0.53. The caution is a negative return on equity of -5.5%, a Quality score of 50, and no operating margin figure.
Common questions
What do Marvin's Overall, Quality and Opportunity scores mean?
They are Marvin scores that compare a company with others in the same industry today. Quality looks at the strength of the business, such as profitability and balance sheet. Opportunity is a separate score, and Overall combines the picture. They are descriptions, not forecasts.
Does a high score mean a restaurant stock is a good purchase?
No. A high score only means the company compares well with other restaurant companies on the measures Marvin uses. It does not say what the share price will do, and it is not advice to buy, sell or hold.
Why are some figures missing for certain stocks?
Not every company reports every figure in a form Marvin can use, so some fields, such as gross margin, return on equity or debt-to-equity, are unavailable for certain stocks. Where a figure is missing, the write-up avoids using it and notes the gap.
Keep reading
- Top 15 Consumer Cyclical Stocks by Marvin Opportunity Score
- Top 15 Consumer Cyclical Companies by Business Quality
- Top 20 Large-Cap Stocks Right Now, Ranked by Marvin Scores
- Top 15 Consumer Cyclical Stocks Right Now
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Marvin's scores (0-100) compare each company with others in its industry today. Growth and margin figures come from SEC filings. This is general information, not personal investment advice or a recommendation to buy or sell anything. Do your own research.