GEN RESTAURANT GROUP INC (GENK) Stock Fundamental Analysis
NASDAQ:GENK - Nasdaq - US36870C1045 - Common Stock - Currency: USD
Taking everything into account, GENK scores 2 out of 10 in our fundamental rating. GENK was compared to 131 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and financial health of GENK have multiple concerns. GENK is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
GENK had negative earnings in the past year.
In the past year GENK had a positive cash flow from operations.
Of the past 5 years GENK 4 years were profitable.
GENK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.09%, GENK is not doing good in the industry: 64.12% of the companies in the same industry are doing better.
GENK has a Return On Equity (-1.38%) which is comparable to the rest of the industry.
GENK has a Return On Invested Capital of 2.62%. This is in the lower half of the industry: GENK underperforms 67.18% of its industry peers.
GENK had an Average Return On Invested Capital over the past 3 years of 6.43%. This is significantly below the industry average of 15.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.09% | ||
| ROE | -1.38% | ||
| ROIC | 2.62% |
ROA(3y)4.08%
ROA(5y)15.38%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.43%
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Profit Margin of GENK has declined.
Looking at the Operating Margin, with a value of 3.05%, GENK is doing worse than 70.99% of the companies in the same industry.
GENK's Operating Margin has declined in the last couple of years.
GENK has a Gross Margin of 66.96%. This is amongst the best in the industry. GENK outperforms 82.44% of its industry peers.
GENK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.05% | ||
| PM (TTM) | N/A | ||
| GM | 66.96% |
OM growth 3Y-31.14%
OM growth 5Y-11.2%
PM growth 3Y-80%
PM growth 5Y-45.93%
GM growth 3Y-0.59%
GM growth 5Y0.01%
2. Health
2.1 Basic Checks
GENK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for GENK has been increased compared to 1 year ago.
GENK has more shares outstanding than it did 5 years ago.
GENK has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that GENK is in the distress zone and has some risk of bankruptcy.
GENK has a Altman-Z score (1.32) which is in line with its industry peers.
GENK has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
GENK has a Debt to Equity ratio of 0.32. This is in the better half of the industry: GENK outperforms 71.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.32 |
ROIC/WACC0.31
WACC8.53%
2.3 Liquidity
GENK has a Current Ratio of 0.64. This is a bad value and indicates that GENK is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of GENK (0.64) is worse than 66.41% of its industry peers.
A Quick Ratio of 0.61 indicates that GENK may have some problems paying its short term obligations.
The Quick ratio of GENK (0.61) is worse than 65.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
GENK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -116.67%.
The earnings per share for GENK have been decreasing by -10.43% on average. This is quite bad
The Revenue has grown by 14.40% in the past year. This is quite good.
The Revenue has been growing by 12.84% on average over the past years. This is quite good.
EPS 1Y (TTM)-116.67%
EPS 3Y-56.77%
EPS 5Y-10.43%
EPS Q2Q%-154.55%
Revenue 1Y (TTM)14.4%
Revenue growth 3Y14.01%
Revenue growth 5Y12.84%
Sales Q2Q%12.96%
3.2 Future
The Earnings Per Share is expected to decrease by -47.72% on average over the next years. This is quite bad
GENK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.06% yearly.
EPS Next Y-143.71%
EPS Next 2Y-47.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year18.26%
Revenue Next 2Y17.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
GENK reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for GENK. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GENK is valued a bit cheaper than 76.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.96 |
4.3 Compensation for Growth
A cheap valuation may be justified as GENK's earnings are expected to decrease with -47.72% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-47.72%
EPS Next 3YN/A
5. Dividend
5.1 Amount
GENK has a yearly dividend return of 0.74%, which is pretty low.
GENK's Dividend Yield is a higher than the industry average which is at 3.72.
Compared to an average S&P500 Dividend Yield of 2.39, GENK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
5.2 History
GENK does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y-47.72%
EPS Next 3YN/A
NASDAQ:GENK (8/1/2025, 8:00:00 PM)
4.04
-0.02 (-0.49%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners31.86%
Inst Owner Change0%
Ins Owners10.7%
Ins Owner Change1.45%
Market Cap132.51M
Analysts82.22
Price Target7.48 (85.15%)
Short Float %12.23%
Short Ratio5.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-553.59%
Min EPS beat(2)-1076.47%
Max EPS beat(2)-30.72%
EPS beat(4)2
Avg EPS beat(4)-184.91%
Min EPS beat(4)-1076.47%
Max EPS beat(4)246.99%
EPS beat(8)4
Avg EPS beat(8)2.97%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)2.78%
Min Revenue beat(2)-2.11%
Max Revenue beat(2)7.66%
Revenue beat(4)2
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-3.4%
Max Revenue beat(4)7.66%
Revenue beat(8)4
Avg Revenue beat(8)-0.23%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-35.29%
EPS NQ rev (1m)-100%
EPS NQ rev (3m)-100%
EPS NY rev (1m)-263.62%
EPS NY rev (3m)-263.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.68%
Revenue NY rev (1m)1%
Revenue NY rev (3m)-2.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.62 | ||
| P/FCF | N/A | ||
| P/OCF | 8.05 | ||
| P/B | 9.01 | ||
| P/tB | 25.42 | ||
| EV/EBITDA | 8.96 |
EPS(TTM)-0.03
EYN/A
EPS(NY)-0.03
Fwd EYN/A
FCF(TTM)-0.31
FCFYN/A
OCF(TTM)0.5
OCFY12.43%
SpS6.55
BVpS0.45
TBVpS0.16
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.09% | ||
| ROE | -1.38% | ||
| ROCE | 3.32% | ||
| ROIC | 2.62% | ||
| ROICexc | 2.84% | ||
| ROICexgc | 3% | ||
| OM | 3.05% | ||
| PM (TTM) | N/A | ||
| GM | 66.96% | ||
| FCFM | N/A |
ROA(3y)4.08%
ROA(5y)15.38%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.43%
ROIC(5y)N/A
ROICexc(3y)7.51%
ROICexc(5y)N/A
ROICexgc(3y)7.58%
ROICexgc(5y)N/A
ROCE(3y)8.45%
ROCE(5y)N/A
ROICexcg growth 3Y-61.21%
ROICexcg growth 5Y-34.43%
ROICexc growth 3Y-61.91%
ROICexc growth 5Y-35.14%
OM growth 3Y-31.14%
OM growth 5Y-11.2%
PM growth 3Y-80%
PM growth 5Y-45.93%
GM growth 3Y-0.59%
GM growth 5Y0.01%
F-Score4
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.34 | ||
| Cap/Depr | 362.86% | ||
| Cap/Sales | 12.35% | ||
| Interest Coverage | 22.97 | ||
| Cash Conversion | 118.78% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 1.32 |
F-Score4
WACC8.53%
ROIC/WACC0.31
Cap/Depr(3y)294.79%
Cap/Depr(5y)184.07%
Cap/Sales(3y)8.62%
Cap/Sales(5y)5.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-116.67%
EPS 3Y-56.77%
EPS 5Y-10.43%
EPS Q2Q%-154.55%
EPS Next Y-143.71%
EPS Next 2Y-47.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)14.4%
Revenue growth 3Y14.01%
Revenue growth 5Y12.84%
Sales Q2Q%12.96%
Revenue Next Year18.26%
Revenue Next 2Y17.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-35.1%
EBIT growth 3Y-21.49%
EBIT growth 5Y0.21%
EBIT Next Year3065.28%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-171.39%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-29.45%
OCF growth 3Y-23.49%
OCF growth 5Y8.29%