Not quite, look at the chart. They pre announced earnings a few days prior and the stock dropped ~45%, still down ~35%.
Interesting to read the annual report if you have the time:
https://ir.hellofreshgroup.com/downl...23-EQ-E-01.pdf
Quick comparison, both trade on a similar price to revenue (~0.17) BUT;
- Since 2019 MFB has compounded revenue at 3.08% vs 42% for HFG (with almost no share issuance). HFG revenue currently stable, MFB declining.
- MFB is more levered.
- MFB has almost no cash in the bank, vs
€433m for HFG (1/3 market cap).
- MFB has tons of intangibles, no tangible book value, shoddy balance sheet. HFG balance sheet mostly cash + real estate (distribution centres).
- MFB product pricing less competitive for comparable product.
- MFB subscale. Disadvantaged in product sourcing vs HFG.
- MFB leases properties so higher fixed cost base.
- HFG more diversified geographically. Less risky.
- HFG has 2/3 of business in USA, most attractive global market. Less interest rate sensitive customers.
- HFG founder led, MFB run by shaky kenwood mixer of random and unalligned short lived management.
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Anyway tons more reasons, but not sure why you would own MFB here over HFG. Free option value of future growth and worldwide domination vs poor MFB holding on for dear life.
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