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DENNDenny's Corporation
$6.25$322M
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Denny's Corporation (DENN) Financial Ratios

Latest Ratios: P/E Ratio 15.2x · EV/EBITDA 12.1x · ROE N/A. (1995–2024 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

DENN Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Market Cap$322M$309M$611M$561M$1.0B$893M$1.2B$1.1B$932M$991M$833M
Enterprise Value$728M$715M$1.0B$969M$1.3B$1.3B$1.7B$1.4B$1.2B$1.2B$1.0B
P/E Ratio →15.2414.3231.097.4913.45—10.4624.1923.6451.3223.40
P/S Ratio0.710.681.321.232.633.092.271.691.761.951.70
P/B Ratio———————————
P/FCF350.62336.439.8420.3115.25—41.8820.5715.6819.2715.52
P/OCF10.9210.478.4814.2113.77—28.3714.4211.9113.9210.33

P/E links to full P/E history page with 30-year chart

DENN EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
EV / Revenue—1.582.162.123.374.403.052.182.302.432.13
EV / EBITDA12.1011.8914.9112.8311.2455.548.9313.6612.8817.8312.37
EV / EBIT16.0715.1520.878.6811.52158.009.9419.3017.2026.5617.05
EV / FCF—779.2416.1235.0819.52—56.2626.6120.4623.9919.51

DENN Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Gross Margin73.4%73.4%33.2%31.0%35.7%27.6%30.0%26.5%31.2%32.4%31.3%
Operating Margin10.0%10.0%11.4%13.3%26.1%2.3%30.5%11.7%13.4%9.3%12.9%
Net Profit Margin4.8%4.8%4.3%16.4%19.6%-1.8%21.7%6.9%7.5%3.8%7.3%

Return on Capital

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
ROE———————————
ROA4.5%4.5%4.1%16.0%16.9%-1.1%29.5%13.3%12.6%6.4%12.3%
ROIC9.7%9.7%11.3%15.2%32.9%1.9%53.5%30.2%29.6%21.7%30.5%
ROCE11.9%11.9%13.8%16.3%27.7%1.7%54.5%31.4%32.0%23.0%31.2%

DENN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Debt / Equity———————————
Debt / EBITDA6.786.785.885.452.7216.632.303.153.063.552.55
Net Debt / Equity———————————
Net Debt / EBITDA6.766.765.815.402.4616.462.283.103.013.512.53
Debt / FCF—442.816.2814.784.28—14.386.044.784.733.99
Interest Coverage1.941.942.514.408.350.478.953.554.523.846.80

DENN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Current Ratio0.420.420.430.540.710.630.550.500.440.380.36
Quick Ratio0.400.400.410.480.660.620.540.470.400.350.33
Cash Ratio0.030.030.060.060.340.080.070.070.050.030.02
Asset Turnover—0.911.000.920.910.591.181.881.631.661.65
Inventory Turnover68.8268.82142.5556.8450.61176.90285.83154.72116.15112.57108.34
Days Sales Outstanding—19.7216.8320.4517.9927.0016.4115.2214.7514.2912.30

DENN Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016FY 2015
Earnings Yield6.6%7.0%3.2%13.4%7.4%—9.6%4.1%4.2%1.9%4.3%
FCF Yield0.3%0.3%10.2%4.9%6.6%—2.4%4.9%6.4%5.2%6.4%
Buyback Yield3.6%3.8%8.5%11.6%2.9%4.0%7.7%5.8%8.9%5.2%11.1%
Total Shareholder Yield3.6%3.8%8.5%11.6%2.9%4.0%7.7%5.8%8.9%5.2%11.1%
Shares Outstanding—$53M$56M$61M$66M$61M$62M$66M$70M$77M$85M

Key Metrics

Growth RegimeContracting
ProfitabilityStrained
Balance SheetVulnerable
Cash FlowDeteriorating
Top Statement Risk

Liquidity and solvency constraints

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2025Q3)

Valuation Multiples Reflect Structural Uncertainty

According to current market data, Denny's trades at a P/E of 15.24, which appears to discount the company's recent revenue contraction and the significant operational risks associated with its aging 24/7 restaurant infrastructure compared to higher-growth, asset-light peers in the broader casual dining sector.

The current valuation suggests that investors are pricing in a turnaround, yet the lack of a clear PEG ratio indicates that earnings growth is currently too volatile to support a traditional growth-based valuation model. The discount relative to peers like Texas Roadhouse suggests the market is applying a risk premium for the company's high leverage and limited liquidity.

Capital Efficiency Remains Under Pressure

Based on reported figures, ROIC has trended downward to 2.0% in 2025Q3, signaling that the company is struggling to generate meaningful returns on its invested capital as it navigates the high costs of maintaining its legacy restaurant footprint and integrating the Keke's Breakfast Cafe acquisition.

The persistent decay in ROIC suggests that the company's capital allocation, particularly regarding store remodels and acquisitions, is not currently yielding returns that exceed the cost of capital. This trend warrants investigation into whether the asset-light transition is actually improving efficiency or merely masking the underlying decline in core restaurant productivity.

Liquidity Position Suggests Operational Fragility

As reported in recent financial statements, the current ratio of 0.35 indicates a severe liquidity constraint, leaving the company with minimal cash buffers to navigate potential macroeconomic volatility or unexpected spikes in commodity costs that could further pressure its already thin operating margins.

The extremely low quick ratio of 0.33 confirms that the company is highly dependent on ongoing cash flow to meet its immediate obligations, as it lacks the liquid assets to cover short-term liabilities. This position appears precarious and suggests that any further deterioration in traffic could necessitate external financing or a suspension of capital return programs.

Misapplication of P/E in Franchising

Investors frequently misapply the P/E ratio to Denny's, which obscures the impact of significant non-cash charges and lease accounting nuances that distort net income, making EV/EBITDA a more reliable metric for assessing the true operational earning power of this asset-light business model.

Because Denny's carries substantial lease liabilities and engages in re-franchising activities that create one-time gains or losses, the P/E ratio often fails to capture the underlying cash-generating capacity of the franchise royalty stream. Analysts should prioritize EV/EBITDA to normalize for the company's capital structure and the impact of its sublease portfolio.

Download Financial Ratios Data

Includes 30+ ratios · 30 years · Updated daily

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DENN — Frequently Asked Questions

Quick answers to the most common questions about buying DENN stock.

What is Denny's Corporation's P/E ratio?

Denny's Corporation's current P/E ratio is 15.2x. The historical average is 18.3x. This places it at the 47th percentile of its historical range.

What is Denny's Corporation's EV/EBITDA?

Denny's Corporation's current EV/EBITDA is 12.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.9x.

Is DENN stock overvalued?

Based on historical data, Denny's Corporation is trading at a P/E of 15.2x. This is at the 47th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Denny's Corporation's profit margins?

Denny's Corporation has 73.4% gross margin and 10.0% operating margin. Operating margin between 10-20% is typical for established companies.

How much debt does Denny's Corporation have?

Denny's Corporation's Debt/EBITDA ratio is 6.8x, indicating high leverage. A ratio above 4x may signal elevated financial risk.