Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1][2] Group 1: Momentum Investing Strategy - Momentum investors typically do not time the market, instead they capitalize on stocks that are already trending upwards [1] - The challenge lies in determining the right entry point, as stocks can lose momentum if their valuations exceed future growth potential [2] Group 2: Identifying Bargain Momentum Stocks - Investing in bargain stocks that have recently shown price momentum can be a safer strategy [3] - The Zacks Momentum Style Score is useful for identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced fast-moving stocks [3] Group 3: Potbelly (PBPB) Stock Analysis - Potbelly (PBPB) has shown a four-week price change of 29.8%, indicating strong investor interest [4] - Over the past 12 weeks, PBPB gained 24.5%, and it has a beta of 1.34, suggesting it moves 34% more than the market [5] - PBPB has a Momentum Score of B, indicating a favorable time to invest [6] Group 4: Earnings Estimates and Valuation - PBPB has a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investors [7] - The stock is trading at a Price-to-Sales ratio of 0.79, meaning investors pay 79 cents for each dollar of sales, indicating it is reasonably valued [7] Group 5: Additional Investment Opportunities - Besides PBPB, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - Zacks offers over 45 Premium Screens tailored to different investing styles to help identify winning stock picks [9]

Every dog ​​has his day. Our strategy of selecting the cheapest fast-casuals during stock-picking is already starting to pay off. High-growth restaurant chains that were trading at considerably lower multiples than their peersI'm an Equity Analyst and Accountant specializing in restaurant stocks, with a strong foundation in Business Administration and Accounting, complemented by an MBA in Forensic Accounting and Controllership. As the founder of Goulart's Restaurant Stocks, I lead a company focused on analy ...

Potbelly (PBPB) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.I ...

Potbelly (PBPB) closed the last trading session at $10.37, gaining 14.8% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $15.33 indicates a 47.8% upside potential.The average comprises three short-term price targets ranging from a low of $14 to a high of $16, with a standard deviation of $1.15. While the lowest estimate indicates an increase of 35% from the current price level, the ...

Momentum investors typically don't time the market or "buy low and sell high." In other words, they avoid betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time.Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ahead of their future growth potential. In such a situation, invest ...

Potbelly Corporation (PBPB) provided an update on its business for the fourth quarter of fiscal 2024. Following the announcement, shares of the company moved up 14.7% during trading hours yesterday.PBPB Q4 Preliminary ResultsIn the fourth quarter of fiscal 2024, Potbelly’s prelim results reflected same-store sales growth of 0.2-0.3%. Previously, the company anticipated comps to fall in the range of 0.5-2.5%. Potbelly's emphasis on its product innovation and digital marketing contributed positively.During th ...

Company to host a fireside chat and investor meetings at the 27th Annual ICR Conference Company expects to deliver positive fourth quarter same store sales growth 38 new shop sites in various stages of development for opening in 2025 CHICAGO, Jan. 13, 2025 (GLOBE NEWSWIRE) -- Potbelly Corporation (NASDAQ: PBPB), (“Potbelly” or the “Company”) the iconic neighborhood sandwich shop concept, today reported preliminary estimated results for the fourth fiscal quarter ended December 29, 2024. Fourth Quarter 202 ...

Potbelly Corporation (PBPB) shares have risen 13.8% in the past three months against the industry’s decline of 1%. The stock has also outpaced the S&P 500’s growth of 5.8%. The company has been benefiting from its 5-pillar strategic plan, robust digitalization and expansion initiatives.On Tuesday, the stock closed at $9.40, 34.5% below its 52-week high but 49.7% above its 52-week low. In the past three months, PBPB outperformed industry players like Chipotle Mexican Grill, Inc.’s (CMG) 5.6% rise, Restaurant ...

Group 1 - Potbelly (NASDAQ: PBPB) has shown significant improvement since Bob Wright became CEO in mid-2020, indicating a positive turnaround for the sandwich shop chain [1] - The company is focused on building its brand and enhancing its market position within the restaurant industry [1] - The analysis is conducted by a specialized firm that covers various segments of the restaurant market, employing advanced analytical models and valuation techniques [1] Group 2 - The firm aims to provide detailed insights and actionable strategies to help investors make informed decisions regarding restaurant stocks [1] - The coverage includes multiple segments such as QSR, fast casual, casual dining, fine dining, and family dining, showcasing a comprehensive approach to restaurant stock analysis [1] - The founder has a strong background in Business Administration and Accounting, complemented by an MBA in Forensic Accounting and Controllership, enhancing the credibility of the analysis [1]

Financial Data and Key Metrics Changes - System-wide sales were approximately $139.2 million, an increase of 1%, driven by system-wide unit growth [29] - Revenues in the third quarter were $115.1 million, with company-operated shop revenue of $110.8 million, lower year-over-year due to last year's refranchising efforts [29] - Franchise revenue was $4.4 million, up 79% relative to the third quarter last year, driven by a 30% increase in franchised units [29] - Adjusted EBITDA was $8.7 million or 7.5% of total revenue, a 19% growth year-over-year [34] - Net income for the quarter was $3.7 million, with adjusted net income of $2.5 million, a $1.4 million increase versus the prior year [34] Business Line Data and Key Metrics Changes - Company-operated same-store sales were down 1.8%, with a 3.8% decrease in traffic and a 2% increase in average check [42] - Food, beverage, and packaging costs were 26.6% of shop sales, a 120 basis point improvement versus the prior year [31] - Labor expenses were 29.1% of sales, a 20 basis point increase due to employee group insurance costs [31] - General and administrative expenses were 7.6%, a decrease of 100 basis points versus the prior year [33] Market Data and Key Metrics Changes - Digital business represented over 38% of total shop sales, an increase of approximately 100 basis points versus last year [21] - The Potbelly Perks loyalty program saw increased frequency across all customer cohorts, indicating strong engagement [23] Company Strategy and Development Direction - The company is focused on a 5-pillar strategic plan emphasizing craveable quality food, digital-driven awareness, and franchise-focused development [7][10] - The company opened 8 new shops in the third quarter, with expectations to open 9 to 11 additional shops in Q4, totaling 24 to 26 shops for the year [26][27] - The company aims to reach 2,000 units in the U.S. and anticipates continued growth through 2025 [28] Management's Comments on Operating Environment and Future Outlook - Management noted a challenging consumer environment but emphasized a focus on controllable factors for long-term sustainable growth [8] - The company expects Q4 same-store sales growth to range from negative 2.5% to negative 0.5% and adjusted EBITDA between $7 million and $8 million [36] - Management expressed confidence in the growth trajectory due to signed leases and ongoing franchise recruitment efforts [65] Other Important Information - The company has completed the system-wide rollout of Potbelly Craft Refreshers, which are organic and non-GMO beverages [20] - The company purchased approximately 29,000 shares of common stock for about $230,000 as part of its long-term capital allocation strategy [35] Q&A Session Summary Question: Can you provide more detail on same-store sales trends and traffic? - Management noted that the quarter improved, with early challenges from holidays and weather impacting performance, but momentum has carried into Q4 [41] Question: What is the outlook for unit development in 2025? - Management indicated that they have signed leases for more locations than they will open this year, suggesting strong growth momentum for 2025 [46][65] Question: How is the Perks program performing since its reconfiguration? - Management reported that the revamped program continues to perform well, with increased membership and frequency across all cohorts [67] Question: What are the expectations for marketing spend heading into 2025? - Management plans to continue escalating marketing spend, currently around 3%, while ensuring effective testing of marketing initiatives [75]