NasdaqCM:STKS

Stock Analysis Report

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Executive Summary

The ONE Group Hospitality, Inc., a hospitality company, develops, owns, and operates restaurants and lounges worldwide. More Details


Snowflake Analysis

Proven track record with reasonable growth potential.


Similar Companies

Share Price & News

How has ONE Group Hospitality's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: STKS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: STKS's weekly volatility has decreased from 16% to 10% over the past year.


Market Performance


7 Day Return

-2.0%

STKS

3.2%

US Hospitality

-3.6%

US Market


1 Year Return

34.5%

STKS

27.1%

US Hospitality

36.4%

US Market

Return vs Industry: STKS exceeded the US Hospitality industry which returned 27.1% over the past year.

Return vs Market: STKS underperformed the US Market which returned 36.4% over the past year.


Shareholder returns

STKSIndustryMarket
7 Day-2.0%3.2%-3.6%
30 Day29.9%14.8%0.9%
90 Day47.4%17.8%6.7%
1 Year34.5%34.5%28.4%27.1%39.4%36.4%
3 Year91.1%91.1%12.2%5.5%53.4%43.5%
5 Year95.6%95.6%68.8%52.1%117.3%93.0%

Long-Term Price Volatility Vs. Market

How volatile is ONE Group Hospitality's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ONE Group Hospitality undervalued compared to its fair value and its price relative to the market?

12.29x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate STKS's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate STKS's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: STKS is good value based on its PE Ratio (12.3x) compared to the US Hospitality industry average (43.6x).

PE vs Market: STKS is good value based on its PE Ratio (12.3x) compared to the US market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: STKS is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: STKS is overvalued based on its PB Ratio (5.2x) compared to the US Hospitality industry average (3.6x).


Next Steps

Future Growth

How is ONE Group Hospitality forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

28.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STKS's forecast earnings growth (28.7% per year) is above the savings rate (2%).

Earnings vs Market: STKS's earnings (28.7% per year) are forecast to grow faster than the US market (20.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: STKS's revenue (20% per year) is forecast to grow faster than the US market (10.4% per year).

High Growth Revenue: STKS's revenue (20% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if STKS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has ONE Group Hospitality performed over the past 5 years?

37.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STKS has a high level of non-cash earnings.

Growing Profit Margin: STKS's current net profit margins (7.7%) are higher than last year (4.6%).


Past Earnings Growth Analysis

Earnings Trend: STKS has become profitable over the past 5 years, growing earnings by 37.4% per year.

Accelerating Growth: STKS's earnings growth over the past year (164.7%) exceeds its 5-year average (37.4% per year).

Earnings vs Industry: STKS earnings growth over the past year (164.7%) exceeded the Hospitality industry -40.6%.


Return on Equity

High ROE: Whilst STKS's Return on Equity (42.23%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is ONE Group Hospitality's financial position?


Financial Position Analysis

Short Term Liabilities: STKS's short term assets ($36.0M) exceed its short term liabilities ($26.6M).

Long Term Liabilities: STKS's short term assets ($36.0M) do not cover its long term liabilities ($164.2M).


Debt to Equity History and Analysis

Debt Level: STKS's debt to equity ratio (245.2%) is considered high.

Reducing Debt: STKS's debt to equity ratio has increased from 65.2% to 245.2% over the past 5 years.

Debt Coverage: STKS's debt is not well covered by operating cash flow (7.4%).

Interest Coverage: STKS's interest payments on its debt are not well covered by EBIT (0x coverage).


Balance Sheet


Next Steps

Dividend

What is ONE Group Hospitality current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate STKS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate STKS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if STKS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if STKS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of STKS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Manny Hilario (52 yo)

3.33yrs

Tenure

US$1,981,105

Compensation

Mr. Emanuel P. N. Hilario, also known as Manny, has been the Chief Executive Officer and President of The ONE Group Hospitality, Inc. since October 30, 2017. He has been Director of TransAct Technologies I...


CEO Compensation Analysis

Compensation vs Market: Manny's total compensation ($USD1.98M) is above average for companies of similar size in the US market ($USD511.69K).

Compensation vs Earnings: Manny's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jonathan Segal
Executive Chairman & Director of Business Development3.33yrsUS$601.58k14.35%
$ 20.5m
Emanuel P. Hilario
President3.33yrsUS$1.98m4.5%
$ 6.4m
Tyler Loy
Chief Financial Officer1.83yrsUS$460.02k0.12%
$ 171.5k
Caroline Baker
Vice President of Operations2.33yrsno datano data
Daniel Cunningham
Chief Information Officer0.67yrno datano data
Maria Woods
General Counsel & Corporate Secretary0.67yrno datano data

1.8yrs

Average Tenure

50.5yo

Average Age

Experienced Management: STKS's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jonathan Segal
Executive Chairman & Director of Business Development3.33yrsUS$601.58k14.35%
$ 20.5m
Emanuel P. Hilario
President3.33yrsUS$1.98m4.5%
$ 6.4m
Eugene Bullis
Independent Director6.5yrsUS$110.00k0.62%
$ 885.6k
Michael Serruya
Independent Director7.33yrsUS$110.00k1.35%
$ 1.9m
Dimitrios Angelis
Independent Director2.92yrsUS$110.00k0.38%
$ 539.8k

3.8yrs

Average Tenure

56yo

Average Age

Experienced Board: STKS's board of directors are considered experienced (3.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The ONE Group Hospitality, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The ONE Group Hospitality, Inc.
  • Ticker: STKS
  • Exchange: NasdaqCM
  • Founded: 2004
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: US$142.724m
  • Shares outstanding: 29.07m
  • Website: https://www.togrp.com

Number of Employees


Location

  • The ONE Group Hospitality, Inc.
  • 1624 Market Street
  • Suite 311
  • Denver
  • Colorado
  • 80202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STKSNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDOct 2013
XZ9DB (Deutsche Boerse AG)YesCommon StockDEEUROct 2013

Biography

The ONE Group Hospitality, Inc., a hospitality company, develops, owns, and operates restaurants and lounges worldwide. It operates through STK, Kona Grill, and ONE Hospitality segments. The company also p...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/01 00:15
End of Day Share Price2021/02/26 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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 here.