Grubhub (GRUB) achieved the rare feat of causing their shares to plunge over 40% in one day and still not offer value to new shareholders. The typical outcome of a lofty valuation multiple is the attraction of heavy competition in the space. The scenario leads to a fickle user base as the delivery service lacks a true moat and the benefits of scale. My investment thesis warned people to avoid the stock at much higher prices, and nothing has changed here until the competitive landscape improves.
Image Source: Grubhub website
Ugly Guidance
The thesis with