Ark Restaurants Valuation

Q: What is the Fair Price of ARKR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

ARKR ($10.1) is trading above our estimate of [[fair value]] ($1.72)

Is ARKR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ARKR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ARKR ($10.1) is trading above our estimate of fair value ($1.72)

Significantly Below Fair Value: ARKR is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ARKR?

Key metric: As ARKR is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ARKR. This is calculated by dividing ARKR's market cap by their current revenue.
What is ARKR's PS Ratio?
PS Ratio	0.2x
Sales	US$184.54m
Market Cap	US$36.40m

ARKR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.7x
Enterprise Value/EBITDA	17.2x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does ARKR's PS Ratio compare to its peers?

The above table shows the PS ratio for ARKR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	1x
RAVE Rave Restaurant Group	3.5x	n/a	US$42.5m
BDL Flanigan's Enterprises	0.2x	n/a	US$46.2m
NDLS Noodles	0.07x	0.5%	US$34.4m
GTIM Good Times Restaurants	0.2x	n/a	US$28.8m
ARKR Ark Restaurants	0.2x	n/a	US$36.4m

Price-To-Sales vs Peers: ARKR is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (1x).

Price to Sales Ratio vs Industry

How does ARKR's PS Ratio compare vs other companies in the US Hospitality Industry?

31 Companies	Price / Sales	Estimated Growth	Market Cap
Industry Avg.	1.6x	9.9%
ARKR Ark Restaurants	0.2x	n/a	US$36.37m
BLMN Bloomin' Brands	0.2x	-2.7%	US$1.09b
BALY Bally's	0.3x	2.2%	US$722.24m

31 Companies		Estimated Growth	Market Cap
Industry Avg.	1.6x	26.1%
ARKR Ark Restaurants	0.2x	n/a	US$36.37m

No more companies

Price-To-Sales vs Industry: ARKR is good value based on its Price-To-Sales Ratio (0.2x) compared to the US Hospitality industry average (1.6x).

Price to Sales Ratio vs Fair Ratio

What is ARKR's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ARKR PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.2x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate ARKR's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.