Dine Brands Global (DIN) AI Stock Analysis

• Market Cap: $353.30M
• Dividend Yield: 9.02%
• Average Volume (3M): 364.18K
• Price to Earnings (P/E): 6.3
• Beta (1Y): 0.61
• Revenue Growth: -0.33%
• EPS Growth: -35.74%
• Country: US
• Employees: 992
• Sector: Consumer Cyclical
• Sector Strength: 66
• Industry: Restaurants
• EPS (TTM): 1.03
• Shares Outstanding: 15,625,779
• 10 Day Avg. Volume: 370,197
• 30 Day Avg. Volume: 364,182
• PEG Ratio: -0.45
• Price to Book (P/B): -1.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.68
• Enterprise Value/Market Cap: 5.16
• Enterprise Value/Revenue: 0.56
• Enterprise Value/Gross Profit: 4.95
• Enterprise Value/Ebitda: 2.20
• 1Y Price Target: $24.80
• Price Target Upside: 9.69% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 61 Neutral
• Price Target: $26.00 ▲(14.99%Upside)

Dine Brands Global's overall score reflects a balance of strong valuation and strategic corporate actions against financial risks and mixed operational performance. The high leverage and negative equity raise concerns, but good cash flow and a high dividend yield provide support. Recent strategic refinancing is a positive step toward financial stability.

Positive Factors

Business Expansion

The initial dual-branded location in Seguin, TX continues to outperform expectations, and DIN remains on target to open 14 U.S. dual-branded locations in FY25.

Same-Store Sales Growth

SSS momentum improved with Applebee’s returning to positive SSS growth, largely driven by improvement in off-premises sales.

Negative Factors

Financial Performance

Dine Brands Global reported 2Q25 operating results that lagged consensus expectations from a gross profit, AEPS, and AEBITDA standpoint.

Profitability Challenges

The acquired 47 lower-AUV Applebee’s locations are currently not profitable at the gross margin level, and management expects it will take until the end of FY25 for this group of stores to be approaching breakeven.

Dine Brands Global Business Overview & Revenue Model

Company Description

Dine Brands Global, Inc. (DIN) is a leading American company in the casual dining and family dining restaurant sector. It is the parent company of two highly recognized brands: Applebee's Neighborhood Grill + Bar and IHOP (International House of Pancakes). The company operates a chain of restaurants that offer a wide variety of food and beverage options, catering to a broad demographic of customers. Dine Brands Global is known for its franchise model, with the majority of its restaurants being independently owned and operated by franchisees.

How the Company Makes Money

Dine Brands Global makes money primarily through its franchising operations. The company generates revenue from franchise fees, royalties based on a percentage of franchisee sales, and income from company-operated restaurants. Additionally, Dine Brands earns revenue through the sale of proprietary products and services to its franchisees. Key revenue streams include franchise operations for both Applebee's and IHOP, with each brand contributing significantly to the overall earnings. The company also benefits from strategic partnerships and marketing initiatives that enhance brand visibility and customer engagement. Factors such as menu innovation, customer loyalty programs, and international expansion efforts further contribute to its revenue growth.

Dine Brands Global Financial Statement Overview

Summary

Dine Brands Global shows mixed financial health. Strong cash generation is overshadowed by declining revenue and net profit margins. High leverage and negative equity pose significant financial risks, impacting future stability.

Income Statement

Dine Brands Global shows mixed results in its income statement. The Gross Profit Margin for the TTM (Trailing-Twelve-Months) is approximately 44.86%, reflecting strong core profitability. However, the Net Profit Margin has declined to 6.77% from the previous annual figure of 7.99%, indicating increased cost pressures or lower efficiency. Revenue has decreased by 1.56% on an annual basis, suggesting challenges in driving top-line growth. The EBIT Margin is 19.68%, with a slight decrease from the previous year, while the EBITDA Margin remains robust at 23.13%. Overall, the company maintains decent profitability, but declining revenue and net profit margins pose concerns.

Balance Sheet

The balance sheet highlights significant leverage, with a negative Stockholders' Equity of $-215.75 million, resulting in a negative Debt-to-Equity Ratio. The Total Debt is high at $1.64 billion, which is a potential risk if earnings do not improve. The Return on Equity (ROE) calculation is not feasible due to negative equity, but the ongoing equity deficit signals financial instability. The Equity Ratio is negative, indicating liabilities exceed assets, which raises concerns about long-term solvency.

Cash Flow

Cash flow analysis reveals a positive trajectory in operational efficiency. Operating Cash Flow to Net Income Ratio for the TTM is 1.69, indicating strong cash generation relative to net income. Free Cash Flow has shown growth and is at $79.68 million for the TTM. The Free Cash Flow to Net Income Ratio is 1.43, supporting the company's ability to generate cash beyond its net earnings. Despite these strengths, the decline in Operating Cash Flow from $108.16 million to $93.74 million year-over-year warrants attention.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	812.31M	831.07M	909.40M	896.17M	689.27M
Gross Profit	375.31M	396.68M	377.36M	375.23M	248.72M
EBITDA	200.84M	217.38M	213.69M	225.10M	1.16M
Net Income	64.89M	97.18M	81.11M	97.86M	-103.99M
Balance Sheet
Total Assets	1.79B	1.74B	1.88B	2.00B	2.07B
Cash, Cash Equivalents and Short-Term Investments	186.65M	146.03M	269.65M	361.41M	383.37M
Total Debt	1.63B	1.59B	1.74B	1.77B	2.03B
Total Liabilities	2.01B	1.99B	2.18B	2.24B	2.43B
Stockholders Equity	-216.02M	-250.97M	-301.08M	-242.81M	-354.65M
Cash Flow
Free Cash Flow	94.09M	93.97M	54.02M	178.99M	85.58M
Operating Cash Flow	108.16M	131.14M	89.34M	195.84M	96.50M
Investing Cash Flow	-8.45M	-30.10M	-80.90M	3.86M	18.73M
Financing Cash Flow	-51.70M	-225.44M	-108.80M	-230.40M	168.35M

Dine Brands Global Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 22.61
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DIN, the sentiment is Negative. The current price of 22.61 is below the 20-day moving average (MA) of 24.36, below the 50-day MA of 24.72, and below the 200-day MA of 26.07, indicating a bearish trend. The MACD of -0.48 indicates Positive momentum. The RSI at 38.98 is Neutral, neither overbought nor oversold. The STOCH value of 7.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DIN.

Dine Brands Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CAKE	77 Outperform	$3.13B	19.44	46.60%	1.69%	4.77%	38.24%
CBRL	71 Outperform	$1.38B	24.06	12.90%	1.61%	2.84%	-4.44%
Sector *	67 Neutral	¥261.79B	13.64	6.45%	2.57%	5.11%	-13.15%
DIN	61 Neutral	$353.30M	6.26	-42.81%	9.02%	-0.33%	-35.74%
DENN	59 Neutral	$201.42M	11.83	-63.40%	―	-0.53%	-24.19%
PZZA	56 Neutral	$1.38B	17.88	-20.16%	4.34%	-2.77%	4.01%
JACK	50 Neutral	$394.96M	―	4.15%	8.93%	-6.02%	-289.54%

Dine Brands Global Corporate Events

Dine Brands Global Completes Major Refinancing Transaction

On June 17, 2025, Dine Brands Global, Inc. completed a securitization refinancing transaction through its subsidiaries, Applebee’s Funding LLC and IHOP Funding LLC. The transaction involved issuing $600 million in Series 2025-1 Fixed Rate Senior Secured Notes and establishing a revolving financing facility for up to $325 million. The proceeds will be used to repay existing debt and for general corporate purposes. This strategic move is expected to optimize the company’s financial structure and support its operational and growth objectives.

The most recent analyst rating on (DIN) stock is a Buy with a $47.00 price target. To see the full list of analyst forecasts on Dine Brands Global stock, see the DIN Stock Forecast page.

Dine Brands Global Issues $600M Senior Secured Notes

On June 4, 2025, Dine Brands Global, Inc. and its subsidiaries entered into a Purchase Agreement to issue and sell $600 million in Series 2025-1 6.720% Fixed Rate Senior Secured Notes. This move, announced on June 5, 2025, is part of a strategic financial maneuver to strengthen the company’s capital structure and potentially enhance its market positioning by leveraging its well-known restaurant brands, Applebee’s and IHOP.

The most recent analyst rating on (DIN) stock is a Buy with a $71.00 price target. To see the full list of analyst forecasts on Dine Brands Global stock, see the DIN Stock Forecast page.

Dine Brands Global Announces Refinancing Plan

On May 27, 2025, Dine Brands Global, Inc. announced its plan to refinance its Series 2019-1 Class A-2-II Fixed Rate Senior Secured Notes and Series 2022-1 Class A-1 Variable Funding Senior Notes through a new securitized financing facility. The proceeds from this refinancing will be used to repay existing notes, cover transaction costs, and support general corporate purposes. The announcement indicates a strategic move to manage the company’s debt, although the timing and completion of the refinancing remain uncertain.

The most recent analyst rating on (DIN) stock is a Buy with a $47.00 price target. To see the full list of analyst forecasts on Dine Brands Global stock, see the DIN Stock Forecast page.

Dine Brands Global Holds 2025 Annual Stockholders Meeting

On May 14, 2025, Dine Brands Global, Inc. conducted its 2025 Annual Meeting of Stockholders, where several key proposals were voted on. The election of directors resulted in the appointment of nine individuals for a one-year term. Stockholders also ratified the appointment of Ernst & Young LLP as the independent auditor for the fiscal year 2025. Additionally, the compensation of the Corporation’s named executive officers was approved on an advisory basis, and an amendment to the 2019 Stock Incentive Plan was passed to increase the reservation of common stock for issuance.

The most recent analyst rating on (DIN) stock is a Buy with a $47.00 price target. To see the full list of analyst forecasts on Dine Brands Global stock, see the DIN Stock Forecast page.

Dine Brands Global Declares Q2 2025 Cash Dividend

On May 14, 2025, Dine Brands Global announced that its Board of Directors declared a second quarter 2025 cash dividend of $0.51 per share of common stock, payable on July 9, 2025, to stockholders of record as of June 20, 2025. This announcement reflects the company’s ongoing commitment to returning value to its shareholders and may positively impact investor confidence and market perception.

The most recent analyst rating on (DIN) stock is a Buy with a $47.00 price target. To see the full list of analyst forecasts on Dine Brands Global stock, see the DIN Stock Forecast page.