FAT Brands Inc. (FAT) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
FAT Brands Inc. (FAT) trades at $0.1626 with AI Score 51/100 (Grade B). FAT Brands Inc. is a global multi-brand franchising company focused on acquiring and managing restaurant concepts. Market cap: $3.02M, Sector: Consumer cyclical.
Price as of Aug 21, 2026 · Last analyzed: Jun 1, 2026Analyst Coverage for FAT: FAT does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates FAT against Consumer Cyclical peers across nine fundamental dimensions and assigns a mixed fundamental profile based on the underlying data.
FAT: 1/3 scored disciplines lean bearish. Dominant signal: Ray Dalio bullish.
How is this calculated? →Why this analysis is different
- A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
- An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
- Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.
FAT Brands Inc. (FAT) Consumer Business Overview
FAT Brands Inc. operates as a multi-brand franchising company, managing a diverse portfolio of restaurant concepts in the quick service, fast casual, and casual dining segments. With approximately 2,300 locations worldwide, FAT Brands focuses on acquiring and scaling established brands through franchising.
What Is the Investment Thesis for FAT?
FAT Brands Inc. presents a compelling investment thesis based on its multi-brand franchising model and diverse portfolio of restaurant concepts. The company's strategy of acquiring established brands and scaling them through franchising offers significant growth potential. Key value drivers include increasing franchise revenue, expanding the number of locations, and leveraging brand recognition. The company's focus on quick service and fast casual dining aligns with current consumer trends. A potential catalyst is the continued acquisition of complementary brands. However, investors should be aware of risks associated with managing multiple brands, potential economic downturns affecting consumer spending, and competition within the restaurant industry. With a beta of 1.22, the stock demonstrates market sensitivity. The company's ability to successfully integrate acquired brands and maintain consistent quality across its franchise network will be critical for long-term success. The company's small market capitalization may present volatility.
Based on FMP financials and quantitative analysis
FAT Key Highlights
FAT Brands Inc. owns seventeen restaurant brands, offering diversification across different dining segments.
- The company operates approximately 2,300 locations worldwide, indicating a substantial global footprint.
- FAT Brands Inc. focuses on a franchising model, which allows for capital-efficient expansion.
- The company's portfolio includes well-known brands such as Round Table Pizza, Fatburger, and Johnny Rockets, providing established brand recognition.
- FAT Brands Inc. operates as a subsidiary of Fog Cutter Holdings, LLC, which may influence its strategic decisions.
Who Are FAT's Competitors?
FAT is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| DRI Darden Restaurants, Inc. | $218.02 | -1.74% | $25.0B | 78 |
| TXRH Texas Roadhouse, Inc. | $201.19 | -0.86% | $13.2B | 66 |
| YUM Yum! Brands, Inc. | $152.33 | +4.39% | $42.0B | 83 |
| JKHCF Just Kitchen Holdings Corp. | $0.07 | +88.25% | $6.92M | 49 |
| NROM Noble Roman's, Inc. | $0.61 | -1.61% | $13.6M | 52 |
| GTIM Good Times Restaurants Inc. | $1.52 | +1.33% | $16.1M | 61 |
| FATBB FAT Brands Inc. | $1.77 | +2.09% | $20.0M | 50 |
| RAVE Rave Restaurant Group, Inc. | $3.10 | +1.64% | $44.1M | 79 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FAT's Key Strengths?
Diversified portfolio of restaurant brands.
- Franchise model allows for capital-efficient expansion.
- Established brand recognition of acquired brands.
- Experienced management team with expertise in franchising.
What Are FAT's Weaknesses?
Reliance on franchisees for operational execution.
- Potential for brand dilution due to inconsistent quality across franchise locations.
- Exposure to economic downturns affecting consumer spending.
- Small market capitalization may result in stock volatility.
What Could Drive FAT Stock Higher?
Continued acquisition of complementary restaurant brands to expand the company's portfolio.
- Expansion of existing brands through strategic franchising in high-growth markets.
- Enhancement of digital capabilities to improve customer experience and drive sales growth.
- Development of new menu items and concepts to cater to evolving consumer preferences.
What Are the Key Risks for FAT?
Financial-distress signal — its Altman Z-Score of -1.96 sits in the distress zone (elevated bankruptcy risk).
- Inconsistent delivery — missed Wall Street EPS estimates in 8 of the last 8 reported quarters.
- Economic downturns affecting consumer spending on dining out.
- Intense competition within the restaurant industry.
- Rising labor costs and food prices impacting profitability.
- Negative publicity or food safety incidents damaging brand reputation.
- Reliance on franchisees for operational execution and brand consistency.
What Are the Growth Opportunities for FAT?
- Expansion of Existing Brands: FAT Brands can drive growth by expanding the footprint of its existing brands through strategic franchising. Focusing on high-growth markets and leveraging data analytics to identify optimal locations can maximize the success of new franchise openings. The global quick-service restaurant market is projected to reach $389.6 billion by 2027, offering a significant opportunity for FAT Brands to increase its market share. Timeline: Ongoing.
- Acquisition of Complementary Brands: FAT Brands can continue to acquire complementary restaurant brands to further diversify its portfolio and expand its market reach. Targeting brands with strong regional presence or unique menu offerings can enhance the company's competitive advantage. The mergers and acquisitions market in the restaurant industry remains active, providing FAT Brands with potential acquisition targets. Timeline: Ongoing.
- Enhancement of Digital Capabilities: Investing in digital technologies, such as online ordering platforms, mobile apps, and loyalty programs, can improve the customer experience and drive sales growth. Integrating data analytics to personalize marketing efforts and optimize menu offerings can further enhance customer engagement. The digital transformation of the restaurant industry is expected to continue, with increasing adoption of online ordering and delivery services. Timeline: Ongoing.
- Development of New Menu Items and Concepts: FAT Brands can drive growth by developing new menu items and concepts that cater to evolving consumer preferences. Focusing on healthier options, plant-based alternatives, and innovative flavor combinations can attract new customers and increase repeat business. The trend towards healthier eating and sustainable food practices is expected to continue, creating opportunities for FAT Brands to innovate its menu offerings. Timeline: Ongoing.
- International Expansion: FAT Brands can expand its international presence by entering new markets and establishing franchise partnerships. Focusing on regions with growing disposable incomes and a strong demand for American-style cuisine can drive international growth. The global restaurant industry is experiencing growth in emerging markets, offering significant opportunities for FAT Brands to expand its international footprint. Timeline: Ongoing.
What Are FAT's Competitive Advantages?
- Brand Recognition: Established brand recognition of its acquired restaurant brands.
- Franchise Network: Extensive franchise network provides a capital-efficient expansion model.
- Diversified Portfolio: Diversified portfolio of restaurant concepts reduces risk.
- Operational Expertise: Expertise in managing and scaling franchised restaurant brands.
What Does FAT Do?
FAT Brands Inc., incorporated in 2017 and headquartered in Beverly Hills, California, is a multi-brand franchising company that acquires, develops, and manages restaurant concepts globally. The company's portfolio includes seventeen brands, spanning quick service, fast casual, casual dining, and polished casual dining segments. These brands include Round Table Pizza, Fatburger, Marble Slab Creamery, Johnny Rockets, Fazoli's, Twin Peaks, Great American Cookies, Hot Dog on a Stick, Buffalo's Cafe and Buffalo's Express, Hurricane Grill & Wings, Pretzelmaker, Elevation Burger, Native Grill & Wings, Yalla Mediterranean, and Ponderosa Steakhouse/Bonanza Steakhouse. FAT Brands operates as a subsidiary of Fog Cutter Holdings, LLC. The company focuses on leveraging its franchising model to expand the reach of its brands, providing franchisees with operational support and marketing resources. FAT Brands aims to capitalize on the established brand recognition of its acquired companies to drive growth and profitability. As of August 22, 2022, the company franchises and owns approximately 2,300 locations worldwide. FAT Brands continues to seek acquisition opportunities to further diversify its brand portfolio and expand its global footprint.
What Products and Services Does FAT Offer?
- Acquires quick service, fast casual, casual dining, and polished casual dining restaurant concepts.
- Develops and manages restaurant brands.
- Franchises its restaurant brands to independent operators.
- Provides operational support and marketing resources to franchisees.
- Expands the reach of its brands through strategic franchising.
- Seeks acquisition opportunities to diversify its brand portfolio.
- Manages approximately 2,300 locations worldwide.
How Does FAT Make Money?
- Generates revenue through franchise fees and royalties.
- Acquires established restaurant brands with growth potential.
- Scales acquired brands through franchising.
- Provides operational support and marketing resources to franchisees.
What Industry Does FAT Operate In?
FAT Brands Inc. operates within the highly competitive restaurant industry, which is characterized by evolving consumer preferences and intense competition. The industry is experiencing a shift towards fast casual and quick service restaurants, aligning with FAT Brands' focus. Market trends include increasing demand for online ordering, delivery services, and healthier menu options. The competitive landscape includes both large national chains and smaller regional players. FAT Brands differentiates itself through its multi-brand strategy, offering a diverse portfolio of dining experiences. The company's franchising model allows for rapid expansion, but also requires effective management of franchisee relationships to maintain brand consistency and quality.
Who Are FAT's Key Customers?
- Franchisees: Independent operators who license the company's restaurant brands.
- Consumers: Individuals who dine at the company's franchised restaurants.
- Investors: Shareholders who invest in the company's stock.
FAT Brands Inc. Financial Trajectory
FAT Brands Inc. (FAT) reported $140.0M in revenue for Q3 2025, a decline of 4.6% compared to the prior quarter. The company recorded a net loss of $58.2M, with diluted EPS of $-3.39. Quarter-over-quarter revenue has been mixed, typical for a micro-cap company operating in Consumer Cyclical. Across the four most recent quarters, FAT averaged $-3.34 in diluted EPS.
Company Profile
FAT Brands Inc. operates in the Restaurants industry within the Consumer Cyclical sector. It is headquartered in Beverly Hills, US. The company is led by CEO Andrew A. Wiederhorn. FAT has traded publicly since 2017.
How FAT Brands Inc. Is Valued
FAT Brands Inc. carries a market capitalization of $3.02M, placing it in the micro-cap category. Relative to its peer group, FAT's quantitative score of 51/100 is below the peer average of 66/100.
Financial Health
FAT Brands Inc.'s Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of -1.96 places it in the distress zone, a signal of elevated financial risk.
Earnings Track Record
FAT Brands Inc. has missed Wall Street's EPS estimate in 8 of its last 8 reported quarters — a recurring pattern of falling short of estimates. Reported results have landed about 68.0% below estimates on average.
Forward Outlook
Wall Street analysts project FAT Brands Inc. revenue of about $601.0M for fiscal 2026, with EPS near $-10.61.
FAT Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2024
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests those in the know see value, a potential confidence booster for the stock.
- The company's focus on acquiring and integrating new restaurant brands could lead to future growth and market expansion.
- Positive social sentiment indicates growing investor confidence and potential for increased demand.
- The market seems receptive to FAT Brands' expansion strategy, which could drive further acquisitions and revenue.
Bear Case
- Mixed community sentiment suggests lingering concerns about the company's debt levels and ability to manage acquisitions.
- Negative social sentiment could indicate growing investor skepticism about the company's future prospects.
- Recent market volatility could negatively impact FAT Brands' stock performance, especially given its smaller market cap.
- Insider selling, even if for personal reasons, might create uncertainty among investors about the company's prospects.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $140M | -$58M | -$3.39 |
| Q2 2025 | $147M | -$54M | -$3.17 |
| Q1 2025 | $142M | -$46M | -$2.73 |
| Q4 2024 | $145M | -$67M | -$4.08 |
Based on FMP financials and quantitative analysis
FAT Latest News
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Earnings Scheduled For November 5, 2025
benzinga · Nov 5, 2025
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Stocks That Hit 52-Week Highs On Friday
· Jun 11, 2021
FAT Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FAT.
Price Targets
Wall Street price target analysis for FAT.
FAT MoonshotScore
What does this score mean?
The MoonshotScore rates FAT 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Leadership: Andrew A. Wiederhorn
Chairman of the Board, President and Chief Executive Officer
Andrew A. Wiederhorn serves as the Chairman of the Board, President, and Chief Executive Officer of FAT Brands Inc. His career includes extensive experience in finance and investment management. He has been involved in various ventures, demonstrating entrepreneurial skills and leadership. Wiederhorn's background includes experience in real estate and private equity, providing him with a broad understanding of business operations and financial strategies. His leadership is pivotal in guiding FAT Brands' growth through acquisitions and franchise development.
Track Record: Under Andrew A. Wiederhorn's leadership, FAT Brands Inc. has executed multiple strategic acquisitions, expanding its portfolio of restaurant brands. He has overseen the growth of the company's franchise network and the integration of acquired brands. Wiederhorn's strategic decisions have focused on leveraging the company's franchising model to drive revenue growth and increase shareholder value. His tenure has been marked by efforts to enhance the company's brand recognition and operational efficiency.
What Investors Ask About FAT Brands Inc. (FAT) — Consumer Cyclical
What does the AI Score mean for FAT?
FAT holds an AI Score of 51/100 (Grade: B). This is an educational research signal, not a buy or sell recommendation. FAT Brands Inc. is a global multi-brand franchising company focused on acquiring and managing restaurant concepts. The company operates approximately 2,300 locations across its seventeen brands …
What does FAT Brands Inc. do?
FAT Brands Inc. operates as a multi-brand franchising company, acquiring, developing, and managing a diverse portfolio of restaurant concepts. The company's business model revolves around franchising its brands to independent operators, providing them with operational support and marketing resources.
What do analysts say about FAT stock?
Analyst coverage of FAT Brands Inc. is limited given its small market capitalization. However, consensus estimates suggest moderate revenue growth driven by franchise expansion and strategic acquisitions. Valuation metrics, such as price-to-earnings and price-to-sales ratios, may vary depending on the company's financial performance and market conditions.
What are the main risks for FAT?
FAT Brands Inc. faces several risks inherent to the restaurant industry and its franchising model. Economic downturns could reduce consumer spending on dining out, impacting revenue. Intense competition from other restaurant chains and changing consumer preferences pose ongoing challenges. Rising labor costs and food prices could squeeze profit margins.
What are the key factors to evaluate for FAT?
FAT Brands Inc. (FAT) holds an AI score of 51/100 (moderate). presents a compelling investment thesis based on its multi-brand franchising model and diverse portfolio of restaurant concepts. Not financial advice.
How frequently does FAT data refresh on this page?
FAT's price was last updated on Aug 21, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven FAT's recent stock price performance?
FAT Brands Inc. (FAT) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Diversified portfolio of restaurant brands. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider FAT overvalued or undervalued right now?
FAT Brands Inc. (FAT) is loss-making, so its trailing P/E is negative (-0.0x) and not usable for valuation — lean on price-to-sales and cash flow in the Financials tab. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research FAT before investing?
Before investing in FAT Brands Inc. (FAT), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on publicly available sources and may be subject to change.
- The analysis is for informational purposes only and does not constitute investment advice.