Sectors & Industries Consumer CyclicalRestaurants
Best Restaurant Stocks to Buy Now (2025)
Top restaurant stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best restaurant stocks to buy now. Learn More.

Industry: Restaurants

Overview Zen Rating Price Value Growth Financials

Momentum Sentiment Forecast Dividends Due Diligence

Restaurants is Zen Rated F and is the 119th ranked industry out of 145 stock market industries

Ticker	Company	Market Cap	ROE	ROA	ROCE	ROIC	D/E	Current Ratio	Gross Margin	Profit Margin	Operating Margin
ARCO	ARCOS DORADOS HOLDINGS INC	$1.58B	41.80%	7.40%	12.40%	8.40%	3.79	0.89	12.40%	5.40%	7.71%
EAT	BRINKER INTERNATIONAL INC	$6.42B	160.70%	16.90%	27.41%	16.40%	6.89	0.35	18.70%	7.90%	10.27%
CAKE	CHEESECAKE FACTORY INC	$2.49B	40.00%	5.10%	7.66%	4.60%	6.62	0.55	43.00%	4.30%	5.10%
NATH	NATHANS FAMOUS INC	$389.24M	-180.10%	40.00%	75.91%	51.10%	-11.65	3.13	31.60%	14.70%	22.10%
BJRI	BJS RESTAURANTS INC	$845.39M	8.30%	3.00%	3.71%	2.30%	1.87	0.37	74.70%	2.20%	2.21%
YUMC	YUM CHINA HOLDINGS INC	$17.54B	15.70%	8.20%	14.45%	15.90%	0.82	1.32	17.50%	7.80%	10.93%
RICK	RCI HOSPITALITY HOLDINGS INC	$235.45M	6.20%	2.80%	6.54%	6.50%	1.22	0.92	86.80%	5.90%	12.73%
DIN	DINE BRANDS GLOBAL INC	$491.13M	-15.10%	1.90%	8.63%	6.30%	-8.65	1.05	40.70%	3.80%	14.28%
DPZ	DOMINOS PIZZA INC	$14.59B	-14.90%	33.30%	85.34%	19.30%	-1.42	1.61	39.80%	12.20%	19.73%
LOCO	EL POLLO LOCO HOLDINGS INC	$347.78M	9.60%	4.30%	7.65%	8.80%	1.13	0.41	31.60%	5.40%	8.48%
SHAK	SHAKE SHACK INC	$3.55B	8.80%	2.40%	3.91%	3.10%	2.54	1.84	65.30%	3.10%	4.57%
YUM	YUM BRANDS INC	$41.94B	-18.90%	21.10%	42.35%	16.80%	-1.96	1.69	46.20%	18.00%	30.95%
BH	BIGLARI HOLDINGS INC	$754.01M	0.40%	0.20%	0.73%	0.90%	0.86	2.83	38.30%	0.50%	1.78%
BLMN	BLOOMIN' BRANDS INC	$604.19M	-18.40%	-1.70%	-1.36%	-0.90%	8.52	0.45	13.40%	-1.60%	-0.95%
QSR	RESTAURANT BRANDS INTERNATIONAL INC	$23.23B	28.50%	3.70%	8.11%	9.30%	6.06	1.06	48.40%	10.00%	19.97%
DRI	DARDEN RESTAURANTS INC	$21.20B	49.90%	8.70%	13.74%	10.80%	4.73	0.40	21.90%	8.90%	11.57%
MCD	MCDONALDS CORP	$225.55B	-276.50%	14.50%	22.42%	11.90%	-29.02	1.00	59.40%	32.00%	46.56%
CCHH	CCH HOLDINGS LTD	N/A	N/A	N/A	16.85%	N/A	0.80	1.94	646.80%	76.70%	118.69%
PZZA	PAPA JOHNS INTERNATIONAL INC	$1.36B	-8.60%	4.20%	16.39%	6.50%	-2.98	0.87	9.00%	1.80%	4.50%
RRGB	RED ROBIN GOURMET BURGERS INC	$72.22M	N/A	-8.80%	-6.84%	-2.90%	-6.98	0.43	14.10%	-4.30%	-2.17%
BROS	DUTCH BROS INC	$10.06B	10.20%	2.30%	3.97%	3.30%	3.13	1.52	26.30%	4.00%	6.97%
BRCB	BLACK ROCK COFFEE BAR INC	$1.17B	N/A	N/A	N/A	N/A	5.18	1.37	N/A	N/A	N/A
HCHL	HAPPY CITY HOLDINGS LTD	$70.11M	N/A	N/A	N/A	N/A	6.84	0.67	N/A	N/A	N/A
FWRG	FIRST WATCH RESTAURANT GROUP INC	$998.49M	0.80%	0.30%	1.53%	1.30%	1.83	0.25	20.40%	0.40%	2.02%
CMG	CHIPOTLE MEXICAN GRILL INC	$47.79B	44.20%	16.70%	24.78%	16.80%	1.88	1.54	25.70%	13.00%	17.09%
CHA	CHAGEE HOLDINGS LTD	$2.59B	N/A	N/A	N/A	N/A	0.38	4.22	N/A	N/A	N/A
WING	WINGSTOP INC	$6.55B	-25.10%	24.50%	41.94%	17.90%	-2.03	4.05	86.10%	25.50%	39.43%
TXRH	TEXAS ROADHOUSE INC	$11.13B	30.90%	13.50%	19.68%	17.10%	1.23	0.36	18.30%	7.50%	8.70%
KRUS	KURA SUSHI USA INC	$625.32M	-0.80%	-0.50%	-0.43%	-0.40%	0.87	1.76	11.80%	-0.70%	-0.59%
WEN	WENDY's CO	$1.64B	121.70%	3.80%	9.31%	6.30%	44.57	0.81	38.80%	8.40%	17.64%
SBUX	STARBUCKS CORP	$97.05B	-24.00%	5.70%	13.98%	7.30%	-4.95	0.72	68.60%	5.00%	8.20%
JACK	JACK IN THE BOX INC	$398.35M	N/A	-3.10%	-1.10%	-0.50%	-3.76	0.51	29.10%	-5.50%	-1.63%
VENU	VENU HOLDING CORP	$429.76M	-43.80%	-17.80%	-13.42%	-17.00%	0.89	2.02	35.20%	-239.30%	-216.69%
CNNE	CANNAE HOLDINGS INC	$830.46M	-30.30%	-24.50%	-32.60%	-24.80%	0.27	2.03	15.80%	-108.40%	-104.86%
CAVA	CAVA GROUP INC	$6.16B	18.70%	11.00%	4.81%	4.60%	0.72	2.69	25.00%	12.10%	4.94%
PTLO	PORTILLO's INC	$353.51M	5.70%	1.60%	3.80%	4.00%	2.40	0.27	22.30%	3.40%	7.30%
CBRL	CRACKER BARREL OLD COUNTRY STORE INC	$610.23M	3.70%	0.80%	1.18%	0.70%	4.02	0.52	68.80%	0.50%	0.53%
SDOT	SADOT GROUP INC	$3.46M	-46.30%	-11.60%	-32.73%	-19.20%	2.38	0.97	1.40%	-2.80%	-1.68%
SG	SWEETGREEN INC	$859.39M	-26.70%	-13.50%	-16.17%	-13.80%	1.10	1.29	16.80%	-16.50%	-16.73%
HDL	SUPER HI INTERNATIONAL HOLDING LTD	$1.13B	5.60%	6.30%	21.15%	24.20%	-0.11	1.89	26.20%	2.50%	5.32%
ARKR	ARK RESTAURANTS CORP	$24.20M	-34.10%	-9.50%	-8.04%	-4.70%	2.95	0.88	72.30%	-8.20%	-5.32%
DENN	DENNY's CORP	$319.29M	-29.70%	2.10%	8.85%	5.50%	-16.38	0.35	31.20%	2.20%	7.90%
CHSN	CHANSON INTERNATIONAL HOLDING	$1.43M	-1.70%	-0.70%	-0.37%	-0.40%	1.10	2.00	40.90%	-1.60%	-0.72%
FAT	FAT BRANDS INC	$8.07M	N/A	-18.50%	27.29%	-8.10%	-3.08	0.03	24.70%	-40.50%	-16.90%
RAVE	RAVE RESTAURANT GROUP INC	$40.36M	20.10%	17.30%	22.24%	25.90%	0.15	7.57	71.80%	23.10%	28.04%
THCH	TH INTERNATIONAL LTD	$73.11M	N/A	-23.60%	98.48%	-22.70%	-2.24	0.25	5.20%	-25.20%	-23.91%
NDLS	NOODLES & CO	$34.15M	N/A	-14.90%	-16.60%	-6.90%	-8.21	0.34	22.90%	-9.20%	-7.05%
MB	MASTERBEEF GROUP	$108.80M	272.40%	9.40%	47.91%	27.10%	9.80	0.83	67.70%	6.50%	9.09%
REBN	REBORN COFFEE INC	$9.86M	N/A	-179.50%	641.85%	-219.00%	-2.81	0.08	55.50%	-191.50%	-169.19%
STKS	ONE GROUP HOSPITALITY INC	$57.85M	-737.40%	-9.70%	0.77%	0.50%	-12.41	0.35	16.70%	-22.60%	1.44%
VSTD	VESTAND INC	$5.69M	-152.60%	-18.20%	-19.30%	-12.30%	3.07	0.57	5.40%	-23.80%	-19.03%
TWNP	TWIN HOSPITALITY GROUP INC	$57.33M	N/A	-13.00%	-50.90%	-5.40%	-6.61	0.06	19.40%	-20.20%	-10.15%
GTIM	GOOD TIMES RESTAURANTS INC	$13.66M	3.40%	1.20%	0.95%	0.60%	1.73	0.39	10.80%	0.80%	0.47%
GENK	GEN RESTAURANT GROUP INC	$76.43M	-9.90%	-0.60%	-0.42%	-0.20%	14.80	0.33	7.40%	-0.60%	-0.39%
BTBD	BT BRANDS INC	$9.45M	-13.30%	-8.10%	-4.57%	-4.20%	0.55	6.80	18.20%	-6.70%	-3.57%
BDL	FLANIGANS ENTERPRISES INC	$53.18M	6.90%	3.00%	4.87%	4.00%	0.97	1.66	26.40%	2.10%	2.95%

Restaurant Stocks FAQ

What are the best restaurant stocks to buy right now in Dec 2025?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best restaurant stocks to buy right now are:

1. Arcos Dorados Holdings (NYSE:ARCO)

Arcos Dorados Holdings (NYSE:ARCO) is the #1 top restaurant stock out of 56 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Arcos Dorados Holdings (NYSE:ARCO) is: Value: B, Growth: C, Momentum: C, Sentiment: A, Safety: C, Financials: C, and AI: C.

Arcos Dorados Holdings (NYSE:ARCO) has a Due Diligence Score of 32, which is 4 points higher than the restaurant industry average of 28.

ARCO passed 13 out of 38 due diligence checks and has average fundamentals. Arcos Dorados Holdings has seen its stock lose -3.48% over the past year, overperforming other restaurant stocks by 20 percentage points.

2. Brinker International (NYSE:EAT)

Brinker International (NYSE:EAT) is the #2 top restaurant stock out of 56 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Brinker International (NYSE:EAT) is: Value: B, Growth: C, Momentum: D, Sentiment: B, Safety: C, Financials: B, and AI: C.

Brinker International (NYSE:EAT) has a Due Diligence Score of 45, which is 17 points higher than the restaurant industry average of 28.

EAT passed 19 out of 38 due diligence checks and has strong fundamentals. Brinker International has seen its stock return 13.34% over the past year, overperforming other restaurant stocks by 37 percentage points.

Brinker International has an average 1 year price target of $166.60, an upside of 15.33% from Brinker International's current stock price of $144.45.

Brinker International stock has a consensus Buy recommendation according to Wall Street analysts. Of the 15 analysts covering Brinker International, 46.67% have issued a Strong Buy rating, 13.33% have issued a Buy, 40% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Cheesecake Factory (NASDAQ:CAKE)

Cheesecake Factory (NASDAQ:CAKE) is the #3 top restaurant stock out of 56 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Cheesecake Factory (NASDAQ:CAKE) is: Value: B, Growth: C, Momentum: D, Sentiment: C, Safety: B, Financials: C, and AI: C.

Cheesecake Factory (NASDAQ:CAKE) has a Due Diligence Score of 48, which is 20 points higher than the restaurant industry average of 28.

CAKE passed 18 out of 38 due diligence checks and has strong fundamentals. Cheesecake Factory has seen its stock lose -0.2% over the past year, overperforming other restaurant stocks by 23 percentage points.

Cheesecake Factory has an average 1 year price target of $57.86, an upside of 16.04% from Cheesecake Factory's current stock price of $49.86.

Cheesecake Factory stock has a consensus Hold recommendation according to Wall Street analysts. Of the 14 analysts covering Cheesecake Factory, 21.43% have issued a Strong Buy rating, 14.29% have issued a Buy, 35.71% have issued a hold, while 0% have issued a Sell rating, and 28.57% have issued a Strong Sell.

What are the restaurant stocks with highest dividends?

Out of 20 restaurant stocks that have issued dividends in the past year, the 3 restaurant stocks with the highest dividend yields are:

1. Fat Brands (NASDAQ:FAT)

Fat Brands (NASDAQ:FAT) has an annual dividend yield of N/A, which is N/A percentage points lower than the restaurant industry average of 2.64%. Fat Brands's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Fat Brands's dividend has shown consistent growth over the last 10 years.

Fat Brands's dividend payout ratio of -1% indicates that its dividend yield might not be sustainable for the long-term.

2. Wendy's Co (NASDAQ:WEN)

Wendy's Co (NASDAQ:WEN) has an annual dividend yield of 7.78%, which is 5 percentage points higher than the restaurant industry average of 2.64%. Wendy's Co's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Wendy's Co's dividend has shown consistent growth over the last 10 years.

Wendy's Co's dividend payout ratio of 82.1% indicates that its high dividend yield is sustainable for the long-term.

3. Chagee Holdings (NASDAQ:CHA)

Chagee Holdings (NASDAQ:CHA) has an annual dividend yield of 6.74%, which is 4 percentage points higher than the restaurant industry average of 2.64%.

Why are restaurant stocks up?

Restaurant stocks were up 0.18% in the last day, and up 1.62% over the last week. Shake Shack was the among the top gainers in the restaurants industry, gaining 4.99% yesterday.

Shares of broader consumer discretionary stocks are trading higher, possibly due to a rotation out of tech names.

What are the most undervalued restaurant stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued restaurant stocks right now are:

1. Dine Brands Global (NYSE:DIN)

Dine Brands Global (NYSE:DIN) is the most undervalued restaurant stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Dine Brands Global has a valuation score of 57, which is 28 points higher than the restaurant industry average of 29. It passed 4 out of 7 valuation due diligence checks.

Dine Brands Global's stock has gained 7.75% in the past year. It has overperformed other stocks in the restaurant industry by 31 percentage points.

2. Bloomin' Brands (NASDAQ:BLMN)

Bloomin' Brands (NASDAQ:BLMN) is the second most undervalued restaurant stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Bloomin' Brands has a valuation score of 14, which is -15 points higher than the restaurant industry average of 29. It passed 1 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates BLMN a Valuation Rating of "B".

Bloomin' Brands's stock has dropped -43.05% in the past year. It has underperformed other stocks in the restaurant industry by -19 percentage points.

3. Arcos Dorados Holdings (NYSE:ARCO)

Arcos Dorados Holdings (NYSE:ARCO) is the third most undervalued restaurant stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Arcos Dorados Holdings has a valuation score of 43, which is 14 points higher than the restaurant industry average of 29. It passed 3 out of 7 valuation due diligence checks.

Arcos Dorados Holdings's stock has dropped -3.48% in the past year. It has overperformed other stocks in the restaurant industry by 20 percentage points.

Are restaurant stocks a good buy now?

50% of restaurant stocks rated by analysts are a buy right now. On average, analysts expect restaurant stocks to rise by 19.6% over the next year.

0% of restaurant stocks have a Zen Rating of A (Strong Buy), 5.13% of restaurant stocks are rated B (Buy), 74.36% are rated C (Hold), 10.26% are rated D (Sell), and 10.26% are rated F (Strong Sell).

What is the average p/e ratio of the restaurants industry?

The average P/E ratio of the restaurants industry is 32.94x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.

Sectors & Industries Consumer CyclicalRestaurants
Best Restaurant Stocks to Buy Now (2025)
Top restaurant stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best restaurant stocks to buy now. Learn More.

Restaurant Stocks FAQ

1. Arcos Dorados Holdings (NYSE:ARCO)

2. Brinker International (NYSE:EAT)

3. Cheesecake Factory (NASDAQ:CAKE)

1. Fat Brands (NASDAQ:FAT)

2. Wendy's Co (NASDAQ:WEN)

3. Chagee Holdings (NASDAQ:CHA)

1. Dine Brands Global (NYSE:DIN)

2. Bloomin' Brands (NASDAQ:BLMN)

3. Arcos Dorados Holdings (NYSE:ARCO)

Company

Stock Tools

Stock Ideas

Sectors & IndustriesConsumer CyclicalRestaurantsBest Restaurant Stocks to Buy Now (2025)Top restaurant stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best restaurant stocks to buy now. Learn More.

Restaurant Stocks FAQ

1. Arcos Dorados Holdings (NYSE:ARCO)

2. Brinker International (NYSE:EAT)

3. Cheesecake Factory (NASDAQ:CAKE)

1. Fat Brands (NASDAQ:FAT)

2. Wendy's Co (NASDAQ:WEN)

3. Chagee Holdings (NASDAQ:CHA)

1. Dine Brands Global (NYSE:DIN)

2. Bloomin' Brands (NASDAQ:BLMN)

3. Arcos Dorados Holdings (NYSE:ARCO)

Company

Stock Tools

Stock Ideas

Sectors & Industries Consumer CyclicalRestaurants
Best Restaurant Stocks to Buy Now (2025)
Top restaurant stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best restaurant stocks to buy now. Learn More.