GRUB - Just Eat Takeaway: Sales Growth And Undervalued

• Just Eat Takeaway N.V. or GRUB in the United States is a Dutch dot-com business specializing in online food ordering and delivering outstanding growth to shareholders.
• If Just Eat’s supply expansion and brand awareness efforts successfully work in some countries, they will most likely grow in other regions.
• The management believes that the food delivery market is worth more than €72 billion. In my view, there is significant room for improvement in terms of revenue.
• In my base case scenario, I assumed that the company would continue to invest successfully in brand awareness. As a result, the number of restaurants that sign agreements with the company increase.
• With sales growth at 22%, with capital expenditures growth of 12%, and FCF/Sales of 7%, the implied fair value stands at $26, which is above the current market price.

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