KRUS - Portillo's: Buying The Beef And The Stock
2024-06-30 15:05:47 ET
Summary
- Portillo's shares have dropped 40% year to date after a disappointing Q1 earnings report.
- Portillo's has the potential for improvement in operational performance through improved store configuration and the introduction of ordering kiosks.
- Having optimized restaurant format and smoothed opening hiccups, Portillo's has ample high-return growth opportunities in sunbelt states.
- Portillo's trades at a deep discount to restaurant comps. I see 60%+ upside in the stock.
Portillo's ( PTLO ) shares have fallen 40% year-to-date and are now off 55% over the past year. Investors have fled the stock following a disappointing first quarter earnings report, concern over consumer spending, and persistent selling by private equity firm Berkshire Partners (not affiliated with Berkshire Hathaway) since the IPO....
Portillo's: Buying The Beef And The Stock