2021 | 2022 | 2023 | 2024 (projected) | Short Long Term Debt Total | 118.7M | 123.8M | 142.3M | 149.5M | Total Assets | 276.8M | 258.5M | 297.2M | 212.9M |
Will Burgerfi International (USA Stocks:BFI) turn things around in June?
By Gabriel Shpitalnik | Macroaxis Story |
Burgerfi International (BFI) has been facing some challenges, as evidenced by its negative return on assets of -0.03 and a loss of $30.8M in income before tax. However, the company's potential upside of 7.5% suggests that there may be room for a bullish reversal in the coming month. Despite the current negative EPS estimate of -1.02 for the current year, investors should keep an eye on BFI's performance in June, as the fast-food industry can often be unpredictable and subject to rapid changes.
Main Points
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Reviewed by Michael Smolkin
Burgerfi International (NASDAQ: BFI), a prominent player in the Consumer Cyclical sector and Restaurants industry, has been showing signs of a potential bullish reversal. Despite the company's operating margin of -0.05 and an EBITDA loss of $16K, analysts are optimistic about the stock's performance. The highest estimated target price stands at $3.61, indicating a possible upside price of $4.73. However, investors should also be aware of the possible downside price of $0.0039. Despite a net interest income loss of $8.6M and an income before tax loss of $30.8M, the company has managed to maintain a day typical price of $0.39. With a single strong buy recommendation from analysts, the company's stock could be poised for a bullish reversal in June. Investors are advised to keep a close eye on the price action indicator, which currently stands at -0.01. Currently, Burgerfi International's Book Value Per Share is showing an upward trend compared to previous years. The company's Price-to-Book Ratio is projected to rise to 0.60, while its Free Cash Flow Yield is expected to increase to -0.17. Despite the prevailing market sentiment favoring capital preservation over returns, Burgerfi International may be an exception. In June, we will explore the potential of transforming Burgerfi International into a consistent growth stock. This article will also discuss various factors influencing Burgerfi International's products and services, and their potential impact on traders.The performance of Burgerfi International in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence Burgerfi International's stock prices. When investing in Burgerfi International, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, Burgerfi Stock can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as Burgerfi International carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.
Watch out for price decline
Please consider monitoring Burgerfi International on a daily basis if you are holding a position in it. Burgerfi International is trading at a penny-stock level, and the possibility of delisting is much higher compared to other delisted stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as Burgerfi International stock to be traded above the $1 level to remain listed. If Burgerfi International stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.
How important is Burgerfi International's Liquidity
Burgerfi International financial leverage refers to using borrowed capital as a funding source to finance Burgerfi International ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Burgerfi International financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Burgerfi International's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Burgerfi International's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between Burgerfi International's total debt and its cash.
What is driving Burgerfi International Investor Appetite?
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Burgerfi International has an asset utilization ratio of 65.81 percent. This signifies that the Company is making $0.66 for each dollar of assets. An increasing asset utilization means that Burgerfi International is more efficient with each dollar of assets it utilizes for everyday operations.
"As every investor knows, past performance is not indicative of future results. However, Burgerfi International (USA Stocks: BFI) could be poised for a bullish reversal in June. Despite the company's current ratio of 0.58X and a loss of $1.02 per share estimated for the current year, there are signs of potential upside. With a target price of $3 and a potential upside of 7.5%, the company's stock could be a profitable investment. Despite a high probability of bankruptcy at 96.00%, investors should not discount the possibility of a bullish reversal, especially given the company's market capitalization of $10.79M and its enterprise value of $182.6M.".
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This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Gabriel Shpitalnik do not own shares of Burgerfi International. Please refer to our Terms of Use for any information regarding our disclosure principles.