First Watch Restaurant Group, Inc. (FWRG) vs Sweetgreen, Inc. (SG)

First Watch Restaurant Group, Inc. and Sweetgreen, Inc. are both Restaurants companies. Sweetgreen, Inc. is the larger, with a market value of $988.0M against $642.4M — 1.5× the size. First Watch Restaurant Group, Inc. trades at the lower P/E: 33.8× against 74.9×. First Watch Restaurant Group, Inc. grew revenue faster over the last twelve months: 19.3% against −0.65%. Sweetgreen, Inc. has the higher net margin (2.01% vs 1.35%) and the lower return on invested capital (−28.1% vs 1.95%). Across the 19 metrics below, First Watch Restaurant Group, Inc. leads on 13 and Sweetgreen, Inc. on 6.

Valuation

Metric FWRG SG Restaurants median
P/E 33.77 74.91 22.14
P/S 0.47 1.44 0.91
P/B 0.99 2.10 2.01
Price to free cash flow n/m n/m 19.41
EV/EBITDA 7.98 n/m 11.48
EV/Sales 0.68 1.23 1.20
Earnings yield 2.96% 1.33% 2.30%
Free cash flow yield (3.50%) (12.62%) 3.92%

Profitability

Metric FWRG SG Restaurants median
Gross margin 20.63% 11.75% 38.77%
Operating margin 2.14% (21.43%) 4.30%
Net margin 1.35% 2.01% 1.85%
Free cash flow margin (1.66%) (18.14%) 3.12%
Return on equity 2.88% 3.07% 3.07%
Return on assets 1.02% 1.58% 1.50%
Return on invested capital 1.95% (28.10%) 3.14%

Growth

Metric FWRG SG Restaurants median
Revenue growth (TTM) 19.27% (0.65%) 5.16%
EPS growth (last fiscal year) 3.33% (44.30%) —
Revenue growth, 5-year CAGR 28.99% 25.23% 10.57%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric FWRG SG Restaurants median
Debt to equity 0.46 0.00 0.10
Current ratio 0.27 1.43 0.81
Net debt to EBITDA 2.53 1.34 0.43

Dividend

Metric FWRG SG Restaurants median
Dividend yield — — 2.32%
Payout ratio 0.00 0.00 0.00

Size

Metric FWRG SG Restaurants median
Market cap 642.36m 988.04m 482.66m

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