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Good Times Restaurants Inc.NasdaqCM:GTIM Stock Report

Market Cap US$13.5m
Share Price
US$1.28
US$0.003
42.0k% overvalued intrinsic discount
1Y-16.9%
7D1.6%
1D
Portfolio Value
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Good Times Restaurants Inc.

NasdaqCM:GTIM Stock Report

Market Cap: US$13.5m

Good Times Restaurants (GTIM) Stock Overview

Through its subsidiaries, engages in the restaurant business in the United States. More details

GTIM fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health4/6
Dividends0/6

Rewards

Price-To-Earnings ratio (7.4x) is below the US market (18.6x)

Earnings grew by 64.2% over the past year

Risk Analysis

Earnings have declined by 38.2% per year over past 5 years

Does not have a meaningful market cap ($14M)


GTIM Community Fair Values

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Good Times Restaurants Inc. Competitors

Price History & Performance

Summary of share price highs, lows and changes for Good Times Restaurants
Historical stock prices
Current Share PriceUS$1.28
52 Week HighUS$2.09
52 Week LowUS$1.10
Beta0.65
1 Month Change0%
3 Month Change6.67%
1 Year Change-16.88%
3 Year Change-54.77%
5 Year Change-69.74%
Change since IPO-92.38%

Recent News & Updates

Analysis Article • Feb 12

We Think That There Are More Issues For Good Times Restaurants (NASDAQ:GTIM) Than Just Sluggish Earnings

Good Times Restaurants Inc.'s ( NASDAQ:GTIM ) recent weak earnings report didn't cause a big stock movement. Our...

Recent updates

Analysis Article • Feb 12

We Think That There Are More Issues For Good Times Restaurants (NASDAQ:GTIM) Than Just Sluggish Earnings

Good Times Restaurants Inc.'s ( NASDAQ:GTIM ) recent weak earnings report didn't cause a big stock movement. Our...
Analysis Article • Dec 25

Investors Will Want Good Times Restaurants' (NASDAQ:GTIM) Growth In ROCE To Persist

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Analysis Article • Oct 17

Is Good Times Restaurants (NASDAQ:GTIM) Using Too Much Debt?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Analysis Article • Aug 14

Investors Aren't Buying Good Times Restaurants Inc.'s (NASDAQ:GTIM) Earnings

NasdaqCM:GTIM 1 Year Share Price vs Fair Value Explore Good Times Restaurants's Fair Values from the Community and...
Analysis Article • Jul 10

Is Good Times Restaurants (NASDAQ:GTIM) A Risky Investment?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...
Analysis Article • May 16

Good Times Restaurants' (NASDAQ:GTIM) Solid Earnings Are Supported By Other Strong Factors

Good Times Restaurants Inc.'s ( NASDAQ:GTIM ) earnings announcement last week was disappointing for investors, despite...
Analysis Article • Apr 05

Good Times Restaurants (NASDAQ:GTIM) Has A Pretty Healthy Balance Sheet

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...
Analysis Article • Sep 28

Improved Revenues Required Before Good Times Restaurants Inc. (NASDAQ:GTIM) Shares Find Their Feet

Good Times Restaurants Inc.'s ( NASDAQ:GTIM ) price-to-sales (or "P/S") ratio of 0.2x might make it look like a buy...
Analysis Article • Aug 09

We Think You Can Look Beyond Good Times Restaurants' (NASDAQ:GTIM) Lackluster Earnings

The most recent earnings report from Good Times Restaurants Inc. ( NASDAQ:GTIM ) was disappointing for shareholders...
Analysis Article • Feb 23

Why Investors Shouldn't Be Surprised By Good Times Restaurants Inc.'s (NASDAQ:GTIM) Low P/S

When you see that almost half of the companies in the Hospitality industry in the United States have price-to-sales...
Analysis Article • Dec 22

Good Times Restaurants' (NASDAQ:GTIM) Profits May Not Reveal Underlying Issues

Good Times Restaurants Inc.'s ( NASDAQ:GTIM ) stock didn't jump after it announced some healthy earnings. We did some...
Analysis Article • Aug 09

We Like These Underlying Return On Capital Trends At Good Times Restaurants (NASDAQ:GTIM)

What trends should we look for it we want to identify stocks that can multiply in value over the long term? In a...
Analysis Article • Nov 17

Good Times Restaurants (NASDAQ:GTIM) Is Experiencing Growth In Returns On Capital

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Seeking Alpha • Oct 11

Let The Good Times Restaurants Roll

Summary Good Times Restaurants owns two concepts - the original Good Times Drive Thru and Bad Daddy's Burger Bar. Despite continued cash generation, shares have recently traded lower to a $17m Enterprise Value. I expect shares to recover once inflationary pressure eases. Plenty of restaurant stocks have experienced a volatile past two years as impacts from the Covid-19 pandemic work their way through labor markets and the supply chain. Today I want to examine a stock trading near a multi-year low but with surprisingly strong fundamentals. Good Times Restaurants (GTIM) finds themselves at an interesting crossroads with two operating chains: Good Times Burgers & Frozen Custard, and Bad Daddy's Burger Bar. Bad Daddy's had a much harder time during the pandemic than the fast-casual Good Times (i.e. Q3-20 same store sales (SSS) for Good Times restaurants increased 11.9% and for Bad Daddy’s restaurants decreased 36.7%). The balance between the two chains helped the company tread water better than some peers, though Bad Daddy's made up a much larger portion of historic sales. Recent Results Good Times IR Site GTIM posted Q3 results recently with $36.5m revenue and $1.7m of Adjusted EBITDA ($103.0m and $4.0m year-to-date). In addition, they have $9.7m cash, and cash from operations inflected strongly back above $3m for the quarter after a small decrease in Q1 and positive $1.5m in Q2. Not bad for a $27m market cap ($17m Enterprise Value). 3rd quarter SSS were positive, though slightly negative for both concepts once adjusting for Y/Y price increases (8.2% for Good Times and 6.8% for Bad Daddy’s). Comps Bad Daddys (Bad Daddy's Website) Bad Daddy's are generally 3.5-4k square feet and do $550-700 sales/sq. ft. (lower end due to Covid) at 39 locations ($2.4m average AUM in FY21). Good Times concepts can be around 1k sq. ft. (double drive thru) or 2k sq. ft. if they have a dining room and average $1.2-$1.3m in sales each of the last two years (32 total locations). There is some upside here, as per their Q2-22 call, “over 20% of our restaurants at Bad Daddy’s with a full year of operating history, exceeding $3 million volumes and two restaurants continuing to exceed $4 million annual volumes on a last 12-month basis.” BBQ Holdings ((BBQ)) is probably the best recently public comp for Bad Daddy's in terms of restaurant size and sales ($2.2-2.5m). BBQ made $206m of FY21 revenue, $17.4m EBITDA, and $7.0m net income. MTY Food (OTCPK:MTYFF) recently announced a deal to take them private at a $200m transaction value: “As of Aug. 9, 2022, BBQ operates 200+ franchised and 100+ corporate-owned restaurants; for FY22 ending Jan. 1, 2023, the company is expected to generate 12-month run-rate system sales and cash EBITDA between $685M to $725M and $25.5M and $27.5M, respectively. With this Transaction, MTY will add leading restaurant brands to its network which will reach a total of ~7K locations, including 3.9K+ in U.S. The transaction is expected to be immediately accretive to MTY’s free cash flow per share; transaction represents a 7.5x multiple of BBQ mid-point FY2022E run-rate cash EBITDA guidance of $26.5M.” Fiesta Restaurant Group (FRGI) carries a ~$150m EV against $357m of FY21 revenues and $25m of adjusted EBITDA (6x EBITDA), but with negative free cash flow. The restaurant size and metrics are fairly comparable to Bad Daddy's albeit with lower quality food. The brand recently streamlined around Pollo Tropical after divesting Taco Cabana. Valuation The above suggests 6x EBITDA is a reasonable trailing valuation, implying current inflationary pressures will result in lower earnings. GTIM nevertheless reported $9.5m of calendar 2021 EBITDA, pricing them at less than 2x EBITDA. YTD Q3-22, adjusted EBITDA has been $4.0m (3.2x annualized EBITDA), with the company citing cost pressures from food and labor inflation as the primary headwinds. Another attractive way to look at the valuation is to focus on the Bad Daddy's locations, assuming the Good Times location recovery was Covid-driven and transitory. We will define Bad Daddy’s FCF as: Sales less Restaurant Opex less advertising plus D&A less maintenance CapEx less allocated SG&A. FY18: $67.4m-61.6m-0.6m+2.8m-$0.4m-5.5m = $2.1m FY19: $79.8m-72.7-0.8+3.4-0.4-7.7 = $1.6m FY20: $76.3m-69.8-0.8+3.3-0.3-5.8 = $2.9m FY21: $88.6m-77.6-0.8+3.1-0.8-7.1 = $5.4m YTD Q3-22: $77.2m-66.8 (Includes D&A)-1.2-0.9-5.0 (est) = $3.3m ($4.4m annualized) Note – 9 Bad Daddy’s locations were opened in FY18 and 4 in FY19 – of the total $7.0m CapEx in FY19, $6.6m was opening new locations, and $9.7m of the $10.1m in FY18 related to new restaurants. FY21 had $1.9m of growth CapEx, and FY20 had $2.0m. I have removed the growth expenditure above to provide a run-rate picture of their cash flow quality.
Seeking Alpha • Sep 26

Good Times Restaurants: The Bullish Thesis Remains Compelling

Summary Good Times Restaurants recently reported Q3 FY22 results, in line with expectations. Profitability remains challenging due to commodity and labor inflation. Despite no long-term debt and healthy growth, the firm currently trades as a distressed asset. I believe this gives value investors a good opportunity to buy an undervalued business with significant upside. I maintain my buy rating on GTIM, although I have lowered my fair value estimate from $8 to $7 per share to account for deteriorating economic conditions. Position sizing is critical in this market, and investors must be prepared to tolerate and capitalize on short-term volatility. Investment Thesis Good Times Restaurants (GTIM) is one of the few stocks with a buy rating at Unlocking Alpha in 2022 (you can read my previous article here). The reason is simple: it's trading significantly lower than its intrinsic value. Following Q3 results published on August 11th, market repricing pushed GTIM into bargain territory once again. The company now trades at less than book value, despite no long-term debt and positive growth. On the flip side, deteriorating economic growth and negative sentiment are growing concerns for markets at this stage, and are weighing down on GTIM in the short term. I remain bullish on GTIM despite the pessimism thanks to the company's positive fundamentals and low valuation. That said, position sizing is very important in this market environment, and it's crucial for investors to be able to withstand and take advantage of short-term volatility. An Update Following Q3 FY22 Results GTIM published Q3 FY22 earnings on August 11th, 2022. Total sales increased by ~7.5% YoY to $36.5 million in the most recent quarter, which is lower than previous quarters' YoY growth rates. Free cash flow reached over $4 million year-to-date, and over $6 million on a TTM basis. Bad Daddy's ("BDBB") continues to be the main growth driver. BDBB's revenue rose by over 11% QoQ growth, of which ~5% is attributable to same-store sales growth. Total restaurant sales for Bad Daddy’s restaurants increased $2.8 million to $27.1 million for the quarter. Same-store sales increased 5.3% during the quarter with 38 Bad Daddy’s in the comp base at the end of the quarter. Matthew Karnes – Senior Vice President-Finance - Q3 FY22 Earnings Call As previously anticipated, Good Times ("GT") sales remain sluggish, but positive comparable sales are definitely a good development. During the earnings call, management touched on their plan to rejuvenate the GT concept, although I believe the results of this strategy will take more than a few quarters to show up in the financials given the pace of the program. Restaurant sales at Good Times were $9.1 million, a decrease of $0.2 million, driven by the closure of one restaurant at the end of March, mostly offset by the 1.6% same-store sales. Matthew Karnes – Senior Vice President-Finance - Q3 FY22 Earnings Call Both concepts faced unprecedented cost inflation, which pressured margins. GTIM generated ~$6.7 million in gross profit, compared to ~$8 million in the same quarter last year despite higher sales, for a gross profit margin of ~18.3% vs ~23.7%. While management sees some relief in some key products, chicken products remain "at stubbornly high levels", and their price hikes have failed to preserve the same profitability levels so far. Labor is another key factor contributing to lower profits. In some instances, labor costs increased up to over 30% YoY in order to attract new talent. As a result, we are now seeing a normalization of both gross and operating profit margins. We saw cost pressures across the restaurant P&L driven by high product costs, partially offset by a 6.8% year-over-year menu price increase at Bad Daddy’s and an 8.2% year-over-year menu price increase at Good Times. Protein costs, namely beef and bacon, have shown some price stability from last quarter, and we’ve seen improvement in the pricing of chicken wings. But chicken breast, which is our main shipping product of both concepts continues to remain at stubbornly high levels.$ We believe that the final quarter of this fiscal year will continue to show pressure on restaurant level margins with food and labor cost percentages that are higher than our long-term target. Ryan Zink – President and Chief Executive Officer - Q3 FY22 Earnings Call Refinitiv Eikon On the balance sheet side, GTIM maintains a prudent approach to capital allocation. The company continues to operate without long-term debt, although it could be argued that leveraging the balance sheet in H2 2020 or in 2021 to lock in historically low interest rates could have been a good move given where yields are today. As a result, CAPEX continues to be entirely financed by cash from operating activities. That said, a strong balance sheet gives GTIM the upper hand in the coming 18 months over competitors using too much leverage.
Seeking Alpha • Aug 11

Good Times Restaurants GAAP EPS of $0.04, revenue of $36.5M

Good Times Restaurants press release (NASDAQ:GTIM): Q3 GAAP EPS of $0.04. Revenue of $36.5M (+7.7% Y/Y).
Analysis Article • Jul 23

With EPS Growth And More, Good Times Restaurants (NASDAQ:GTIM) Makes An Interesting Case

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...
Analysis Article • Jun 14

Returns On Capital Are Showing Encouraging Signs At Good Times Restaurants (NASDAQ:GTIM)

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Seeking Alpha • May 16

Good Times Restaurants: Is There Light At The End Of The Tunnel?

The Macro environment for restaurants has deteriorated significantly. GTIM's Q2 2022 results showed massive margin pressure. GTIM should be able to survive this short-term headwind and come out better on the other side.
Analysis Article • May 14

Good Times Restaurants Inc. (NASDAQ:GTIM) Not Doing Enough For Some Investors As Its Shares Slump 26%

Unfortunately for some shareholders, the Good Times Restaurants Inc. ( NASDAQ:GTIM ) share price has dived 26% in the...
Seeking Alpha • Apr 08

Good Times Restaurants: The Recent Pullback Provides A Good Entry Point

GTIM is trading at less than 9x LTM free cash flow for a company likely to grow at a mid-single-digit rate going forward. The main catalysts remain unit growth, strong positive comparable sales in the BDBB segment, and buybacks. GTIM could double over the next few years if the abovementioned free cash flow growth rate can be achieved.
Analysis Article • Jan 07

Estimating The Fair Value Of Good Times Restaurants Inc. (NASDAQ:GTIM)

Does the January share price for Good Times Restaurants Inc. ( NASDAQ:GTIM ) reflect what it's really worth? Today, we...
Seeking Alpha • Jan 06

Good Times Restaurants: A Speculative Food Service Play Under 3x EBITDA

Good Times is a super-cheap restaurant stock that may be on the verge of better growth. Day-to-day management execution of its natural burger and frozen custard store concepts will be key to the stock's price direction in 2022. Improving share performance and a zero-debt balance sheet are noteworthy.
Seeking Alpha • Oct 29

Good Times Restaurants Offers A Good Risk-Reward Situation

The stock had a stellar performance in the past 12 months (1-year return of 210.5%), outperforming the S&P 500 index and the Russell 2000 index. I expect unit and same-store sales growth to serve as catalysts and drive the stock price higher in the near future. GTIM is currently trading at 5x EV/EBITDA, which is a lower valuation than most of its peers.
Analysis Article • Jun 09

Good Times Restaurants (NASDAQ:GTIM) Is Doing The Right Things To Multiply Its Share Price

There are a few key trends to look for if we want to identify the next multi-bagger. Typically, we'll want to notice a...

Shareholder Returns

GTIMUS HospitalityUS Market
7D1.6%-0.6%1.1%
1Y-16.9%-4.4%28.7%

Return vs Industry: GTIM underperformed the US Hospitality industry which returned -4.4% over the past year.

Return vs Market: GTIM underperformed the US Market which returned 28.7% over the past year.

Price Volatility

Is GTIM's price volatile compared to industry and market?
GTIM volatility
GTIM Average Weekly Movement3.9%
Hospitality Industry Average Movement7.7%
Market Average Movement7.2%
10% most volatile stocks in US Market16.4%
10% least volatile stocks in US Market3.1%

Stable Share Price: GTIM has not had significant price volatility in the past 3 months compared to the US market.

Volatility Over Time: GTIM's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19872,078Ryan Zinkwww.goodtimesburgers.com

Good Times Restaurants Inc., through its subsidiaries, engages in the restaurant business in the United States. It owns, operates, and franchises Good Times Burgers & Frozen Custard, a quick-service drive-through dining restaurant; and owns, operates, franchises, and licenses Bad Daddy’s Burger Bar, a full-service upscale casual dining restaurant. Good Times Restaurants Inc. was incorporated in 1987 and is based in Golden, Colorado.

Good Times Restaurants Inc. Fundamentals Summary

How do Good Times Restaurants's earnings and revenue compare to its market cap?
GTIM fundamental statistics
Market capUS$13.51m
Earnings (TTM)US$1.81m
Revenue (TTM)US$136.96m
7.4x
P/E Ratio
0.1x
P/S Ratio

Is GTIM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
GTIM income statement (TTM)
RevenueUS$136.96m
Cost of RevenueUS$123.10m
Gross ProfitUS$13.86m
Other ExpensesUS$12.04m
EarningsUS$1.81m

Last Reported Earnings

Mar 31, 2026

Next Earnings Date

n/a

Earnings per share (EPS)0.17
Gross Margin10.12%
Net Profit Margin1.32%
Debt/Equity Ratio3.1%

How did GTIM perform over the long term?

See historical performance and comparison

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/05/25 17:35
End of Day Share Price 2026/05/22 00:00
Earnings2026/03/31
Annual Earnings2025/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Good Times Restaurants Inc. is covered by 6 analysts. 0 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jeremy HamblinColliers Securities
Alex FuhrmanCraig-Hallum Capital Group LLC
Stephen AndersonMaxim Group