SMPL - Simply Good Foods: Expect A Lot Less In 2020
Thesis
The Simply Good Foods Company (SMPL) had an impressive year. Revenue growth topped 20% vs. expectations of 4-6% growth. The stellar growth was attributable to a sharp increase in total buyers and a sharp increase in buy rate. In short, the company attracted more customers and sold more protein bars to those customers than it could have imagined. At one point earlier this year, the company ran out of product because demand was so high.
Going into 2020, the company does not expect a repeat of 2019's success. The company is once