GEN Restaurant Group: Lots Of Potential Growth For Peanuts
Summary
- GENK reported Q3 comparable sales decline of 9.6% YoY, with hurricanes and cannibalization cited as key challenges. October showed improvement, with comps down 4.5%.
- GEN Restaurant Group's footprint expanded to 43 locations in Q3, with plans to open 4–5 more in Q4, achieving a 27–29% YoY growth rate.
- AUVs remain strong at $5.5M despite a 7.5% year-over-year decline; restaurant-level margins are at 18%.
- Rating: Buy, Price Target: $12–13.
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