The ONE logged a -1.8% change during today's afternoon session, and is now trading at a price of $6.13 per share. The S&P 500 index moved 1.5% and the Nasdaq posted a 1.5% change. STKS's trading volume is 80,651 compared to the stock's average volume of 109,536.
Over the last 52 weeks, the stock moved -50.2%, with a high of $13.85 and a low of $4.91. During this time, the stock lagged the S&P 500 index by -31.6%. The ONE Group Hospitality, Inc., a hospitality company, develops, owns, operates, manages, and licenses restaurants and lounges worldwide. The small-cap Consumer Cyclical company has 3,364 full time employees and is based in Denver, CO. The ONE has not offered any dividends in the last year.
Snapshot of the Company's Consistent gross margins and An irregular stream of weak cash flows:
| 2018-12-31 | 2019-12-31 | 2020-12-31 | 2021-12-31 | |
|---|---|---|---|---|
| Revenue (MM) | $86 | $121 | $142 | $277 |
| Revenue Growth | n/a | 41.0% | 17.6% | 95.3% |
| Gross Margins | 24.44% | 20.54% | 14.71% | 23.52% |
| Gross Margins Growth | n/a | -15.96% | -28.38% | 59.89% |
| Earnings Per Share | $0.12 | $0.7 | $-0.44 | $0.93 |
| EPS Growth | n/a | 483.33% | -162.86% | 311.36% |
| Free Cash Flow (MM) | $2 | $4 | $-5 | $19 |
| FCF Growth | n/a | 70.92% | -233.8% | 464.06% |
| Net Debt / EBITDA | 0.98 | 4.39 | 2.11 | 0.19 |
The ONE May Be Overpriced Today:
Compared to the Consumer Cyclical sector's average of 24.11, The ONE has a trailing twelve month price to earnings (P/E) ratio of 13.9 and, based on its Eps guidance of 0.72, an expected P/E ratio of 8.5. The firm's price to earnings growth (PEG) is 10.03, which indicates that it is overvalued in terms of its expected rate of earnings growth. The ONE's price to book (P/B) ratio is 3.0 compared to its sector average of 3.11.
As of the date of publication, the company is trading 35.3% above their fair value as expressed by Benjamin Graham's formula. We calculate the Graham number as follows:
√(22.5 * TTM earnings per share * book value per share) = √(22.5 * 0.44 * 2.076) = $4.53
There is Mixed market sentiment About The ONE:
4 analysts are following The ONE and have set target prices ranging from $7.5 to $16 per share. On average, they have given the company a rating of strong buy. At today's prices, STKS is trading -52.37% away from its average analyst target price of $12.88 per share, implying an analyst consensus of strong upside potential for the stock.
The company has an average amount of shares sold short since 3.8% of the company's shares are tied to short positions. Institutions own 41.0% of The ONE's shares, while the insider ownership rate stands at 18.96%. The biggest shareholder is Kanen Wealth Management LLC with a 13.95% stake in the company worth approximately $27,609,175.00.
