GEN Restaurant Group, Inc. (GENK) vs Rave Restaurant Group, Inc. (RAVE)

GEN Restaurant Group, Inc. and Rave Restaurant Group, Inc. are both Restaurants companies. GEN Restaurant Group, Inc. is the larger, with a market value of $56.0M against $37.1M — 1.5× the size. GEN Restaurant Group, Inc. has negative trailing earnings, so its P/E is not meaningful; Rave Restaurant Group, Inc. trades at 10.9×. Rave Restaurant Group, Inc. grew revenue faster over the last twelve months: 3.20% against −2.94%. Rave Restaurant Group, Inc. has the higher net margin (23.2% vs −2.09%) and the higher return on invested capital (55.8% vs −56.5%). Across the 18 metrics below, Rave Restaurant Group, Inc. leads on 14 and GEN Restaurant Group, Inc. on 4.

Valuation

Metric GENK RAVE Restaurants median
P/E n/m 10.90 22.14
P/S 0.04 2.58 0.91
P/B 0.58 1.98 2.01
Price to free cash flow n/m 10.31 19.41
EV/EBITDA n/m 4.73 11.48
EV/Sales 0.12 1.73 1.20
Earnings yield (47.70%) 9.17% 2.30%
Free cash flow yield (208.68%) 9.70% 3.92%

Profitability

Metric GENK RAVE Restaurants median
Gross margin 62.73% 73.71% 38.77%
Operating margin (13.49%) 28.84% 4.30%
Net margin (2.09%) 23.19% 1.85%
Free cash flow margin (9.28%) 25.11% 3.12%
Return on equity (15.38%) 19.66% 3.07%
Return on assets (1.77%) 17.08% 1.50%
Return on invested capital (56.50%) 55.80% 3.14%

Growth

Metric GENK RAVE Restaurants median
Revenue growth (TTM) (2.94%) 3.20% 5.16%
EPS growth (last fiscal year) (553.85%) 11.76% —
Revenue growth, 5-year CAGR 27.67% 3.72% 10.57%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric GENK RAVE Restaurants median
Debt to equity 1.33 0.00 0.10
Current ratio 0.29 8.63 0.81
Net debt to EBITDA (2.01) (2.68) 0.43

Dividend

Metric GENK RAVE Restaurants median
Dividend yield — — 2.32%
Payout ratio — 0.00 0.00

Size

Metric GENK RAVE Restaurants median
Market cap 56.04m 37.09m 482.66m

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