FAT Stock Summary and Trading Ideas (Fat Brands | NASDAQ:FAT)

FAT Brands Inc is a multi-brand restaurant franchising company. It develops, markets, acquires and manages quick service, fast casual, casual dining, and polished casual dining restaurant concepts around the world. The company operates as a franchisor of restaurants, where the company generally does not own or operate the restaurant locations but rather generates revenue by charging franchisees an initial franchise fee as well as ongoing royalties. For some of the company's brands, it also directly owns and operates restaurant locations. Its brands include Round Table Pizza, Fatburger, Johnny Rockets, Twin Peaks, and Elevation Burger among others. Geographically, the majority of the revenue for the company is generated from the United States and the rest from other countries.

Fat Brands trades on the NASDAQ stock market under the symbol FAT.

As of April 24, 2024, FAT stock price declined to $7.42 with 10,385 million shares trading.

FAT has a beta of 1.14, meaning it tends to be more sensitive to market movements. FAT has a correlation of 0.08 to the broad based SPY ETF.

FAT has a market cap of $125.88 million. This is considered a Micro Cap stock.

Last quarter Fat Brands reported $159 million in Revenue and -$1.15 earnings per share. This beat revenue expectation by $8 million and exceeded earnings estimates by $.06.

In the last 3 years, FAT stock traded as high as $16.00 and as low as $4.73.

The top ETF exchange traded funds that FAT belongs to (by Net Assets): VTI, VXF.

FAT has outperformed the market in the last year with a price return of +30.5% while the SPY ETF gained +24.2%. FAT has also outperformed the stock market ETF in the last 3 month and 2 week periods returning +6.5% and -1.5%, respectively, while the SPY returned +4.6% and -2.7%, respectively.

FAT support price is $7.21 and resistance is $7.79 (based on 1 day standard deviation move). This means that using the most recent 20 day stock volatility and applying a one standard deviation move around the stock's closing price, stastically there is a 67% probability that FAT stock will trade within this expected range on the day.