Driven Brands Holdings Inc. Common Stock (DRVN)

FairStock Score: 50/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am looking at a leveraged turnaround. In fiscal second quarter 2026, the quarter ended 2026-06-27, revenue was $507.4M and net income was $34.2M; in fiscal first quarter 2026, net income was $54.8M; and in fiscal year 2025, net income was $140.2M after fiscal year 2024 lost $292.5M and fiscal year 2023 lost $745.0M. The computed Lynch category is TURNAROUND because it returned to profit after a loss within the last three years. The business sells auto services—oil changes, glass, collision and repair—through Take 5, Franchise Brands and Auto Glass Now. Revenue was $1.9B in fiscal year 2025 versus $1.8B in fiscal year 2024, but profit is uneven and the latest quarter was lower than the prior quarter. At the 2026-10-26 close of $11.69, FairStock shows a P/E of 11.81, P/B of 2.31, FCF yield of 6.9%, EV/EBITDA of 10.27, ROE of 20.71%, and ROCE of 5.10%. Financial health is the weak link: D/E is 2.66, Altman Z-score is 0.36, and Piotroski is 6/9. Free cash flow is $133.8M, yet the Graham Number is $10.61, so the price sits above it with a -10.65% margin of safety. I see positive cash generation and a fair-to-full price, not a classic Graham bargain.

In plain English: Driven Brands sells auto services such as oil changes, glass repair, and collision work. It is making money again after big losses, but profits have been uneven lately and the company carries a lot of debt. At the recent price, the shares look about fair or a little pricey compared with the company's earnings and cash flow.

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Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-27) · fiscal Q1 2026 10-Q (period ended 2026-03-28) · fiscal Q4 2025 10-K (period ended 2025-12-27) · fiscal Q3 2025 10-K (period ended 2025-09-27) · FY2025 10-K (period ended 2025-12-27) · FY2024 10-K (period ended 2024-12-28) · FY2023 10-K (period ended 2023-12-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer