BurgerFi International, LLC (BFIIW)

BurgerFi International, LLC (BFIIW) Consumer Business Overview

BurgerFi International, LLC, operating within the competitive fast-casual dining sector, owns and franchises restaurants offering premium burgers, hot dogs, and shakes. Founded in 2011 and headquartered in Fort Lauderdale, Florida, the company focuses on delivering a high-quality dining experience with a diverse menu and a growing franchise network.

What Is the Investment Thesis for BFIIW?

BurgerFi International operates in the fast-casual dining sector, facing both opportunities and challenges. The company's negative profit margin of -18.1% and a P/E ratio of -0.07 indicate current profitability concerns. A beta of 0.55 suggests lower volatility compared to the market. Upcoming growth catalysts include menu innovation and expansion of the franchise network. Potential risks include intense competition and fluctuating ingredient costs. Investors should closely monitor BurgerFi's ability to improve its financial performance and execute its growth strategy in a highly competitive landscape. The company's ability to leverage its brand and adapt to changing consumer preferences will be critical for long-term success.

Based on FMP financials and quantitative analysis

BFIIW Key Highlights

• Market Cap of 242K reflects its small size within the restaurant industry.
• P/E Ratio of -0.07 indicates the company is currently not profitable.
• Profit Margin of -18.1% highlights challenges in maintaining profitability.
• Gross Margin of 7.4% shows limited ability to control costs of goods sold.
• Beta of 0.55 suggests lower volatility compared to the broader market.

Who Are BFIIW's Competitors?

BFIIW is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are BFIIW's Key Strengths?

• Established brand in the fast-casual burger segment.
• Diverse menu offerings catering to various tastes.
• Franchise model enabling expansion with limited capital.
• Focus on high-quality ingredients and customer experience.

What Are BFIIW's Weaknesses?

• Negative profit margin indicating profitability challenges.
• High competition in the fast-casual dining industry.
• Limited brand recognition compared to larger competitors.
• Vulnerability to fluctuations in ingredient costs.

What Could Drive BFIIW Stock Higher?

• Menu Innovation - Introduction of new menu items and limited-time offers to attract new customers and increase repeat visits.
• Franchise Expansion - Continued expansion of the franchise network into new geographic markets.
• Digital Enhancement - Improvement of digital ordering and delivery capabilities to enhance customer convenience.

What Are the Key Risks for BFIIW?

• Financial-distress signal — its Altman Z-Score of -1.40 sits in the distress zone (elevated bankruptcy risk).
• Negative return on equity (-32.0%) — the business is not currently generating profit on shareholder capital.
• Weak fundamentals — a Piotroski F-Score of 3/9 flags soft profitability, leverage or efficiency.
• Economic Downturn - A potential economic downturn could reduce consumer spending on dining out, impacting revenue.
• Intense Competition - Intense competition from established and emerging brands in the fast-casual dining industry.
• Rising Labor Costs - Rising labor costs could impact profitability.
• Supply Chain Disruptions - Potential disruptions in the supply chain could increase ingredient costs and affect menu availability.

What Are the Growth Opportunities for BFIIW?

• Menu Innovation: BurgerFi can drive growth by continuously innovating its menu to cater to evolving consumer tastes and dietary preferences. Introducing limited-time offers, seasonal items, and plant-based options can attract new customers and increase repeat visits. The market for plant-based alternatives is projected to reach $7.7 billion by 2030, offering a significant opportunity for BurgerFi to expand its offerings and capture a share of this growing market segment. Timeline: Ongoing.
• Franchise Expansion: Expanding its franchise network can enable BurgerFi to grow its footprint without significant capital investment. Targeting strategic locations in high-traffic areas and underserved markets can drive revenue growth and brand awareness. The global franchise market is estimated at $4 trillion, indicating the vast potential for BurgerFi to expand its franchise operations both domestically and internationally. Timeline: Ongoing.
• Digital Ordering and Delivery: Enhancing its digital ordering and delivery capabilities can improve customer convenience and drive sales growth. Investing in a user-friendly mobile app, online ordering platform, and partnerships with third-party delivery services can expand its reach and cater to the growing demand for off-premise dining. The online food delivery market is projected to reach $220 billion by 2027, highlighting the importance of digital channels for restaurant businesses. Timeline: Ongoing.
• Loyalty Programs and Customer Engagement: Implementing a robust loyalty program can increase customer retention and drive repeat business. Offering personalized rewards, exclusive promotions, and engaging content can foster customer loyalty and brand advocacy. The loyalty management market is expected to reach $23 billion by 2028, demonstrating the value of customer loyalty programs in driving revenue and customer lifetime value. Timeline: Ongoing.
• Operational Efficiency: Improving operational efficiency can reduce costs and enhance profitability. Streamlining processes, optimizing inventory management, and leveraging technology can improve productivity and reduce waste. The restaurant industry is increasingly focused on operational efficiency to combat rising labor and food costs. By implementing best practices in operations management, BurgerFi can improve its bottom line and gain a competitive advantage. Timeline: Ongoing.

What Opportunities Does BFIIW Have?

• Expansion into new geographic markets.
• Menu innovation to attract new customers.
• Enhancement of digital ordering and delivery capabilities.
• Partnerships with third-party delivery services.

What Threats Does BFIIW Face?

• Intense competition from established and emerging brands.
• Rising labor costs impacting profitability.
• Changing consumer preferences and dietary trends.
• Economic downturn affecting consumer spending on dining out.

What Are BFIIW's Competitive Advantages?

• Brand recognition in select markets.
• Focus on high-quality ingredients.
• Franchise network for expansion.
• Diverse menu offerings.

What Does BFIIW Do?

BurgerFi International, Inc. was founded in 2011 and is headquartered in Fort Lauderdale, Florida. The company owns and franchises fast-casual and premium-casual dining restaurants. Originally known as Opes Acquisition Corp., the company rebranded to BurgerFi International, Inc. in December 2020, marking a strategic shift towards solidifying its brand identity in the competitive restaurant market. BurgerFi's restaurants offer a diverse menu including burgers, hot dogs, crispy chicken, frozen custard, hand-cut fries, shakes, beer, wine, pizza, coal fired chicken wings, homemade meatballs, and a variety of handcrafted sandwiches and salads. This broad offering aims to cater to a wide range of customer preferences, enhancing its appeal in the fast-casual dining segment. The company's business model focuses on both company-owned and franchised locations, allowing for expansion through capital-efficient partnerships. BurgerFi aims to differentiate itself through high-quality ingredients and a focus on customer experience. The company currently manages 1015 employees.

What Products and Services Does BFIIW Offer?

• Owns and franchises fast-casual dining restaurants.
• Offers burgers made with Angus beef.
• Serves hot dogs, crispy chicken, and frozen custard.
• Provides hand-cut fries and shakes.
• Offers beer and wine at select locations.
• Features a variety of handcrafted sandwiches and salads.
• Serves pizza and coal fired chicken wings.

How Does BFIIW Make Money?

• Generates revenue through company-owned restaurant sales.
• Collects franchise fees and royalties from franchised locations.
• Focuses on providing high-quality ingredients and customer experience.
• Utilizes a combination of traditional and digital marketing strategies.

What Industry Does BFIIW Operate In?

BurgerFi International operates within the competitive fast-casual restaurant industry. This sector is characterized by evolving consumer preferences, increasing demand for healthier options, and the growing influence of digital ordering and delivery services. The industry is highly competitive, with established players and emerging brands vying for market share. BurgerFi differentiates itself through its focus on high-quality ingredients and diverse menu offerings. The company must navigate rising labor costs and supply chain challenges to maintain profitability and growth. Competitors include BFI, BTWNW, GOEVW, LSEAW, and NVVEW.

Who Are BFIIW's Key Customers?

• Individuals and families seeking fast-casual dining options.
• Customers looking for premium burgers and related menu items.
• Diners who value high-quality ingredients and a comfortable atmosphere.
• Consumers utilizing online ordering and delivery services.

BurgerFi International, LLC Financial Trajectory

BurgerFi International, LLC (BFIIW) reported $42.9M in revenue for Q2 2024, reflecting 3.4% growth compared to the prior quarter. The company recorded a net loss of $6.5M, with diluted EPS of $-0.24.

Company Profile

BurgerFi International, LLC operates in the Restaurants industry within the Consumer Cyclical sector. The company is led by CEO Carl J. Bachmann.

How BurgerFi International, LLC Is Valued

BurgerFi International, LLC carries a market capitalization of 242K, placing it in the micro-cap category.

ROE -32%Key Financial Metrics

Return on equity for BurgerFi International, LLC stands at -32.0%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -11.9%, showing how much profit it generates from its asset base. A current ratio of 0.15 means current liabilities exceed short-term assets, a liquidity point worth watching.

F-Score 3/9Financial Health

BurgerFi International, LLC's Piotroski F-Score is 3/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of -1.40 places it in the distress zone, a signal of elevated financial risk.

Net buyingInsider Activity

The most recent 8 insider filings for BurgerFi International, LLC break down as 4 sales and 4 purchases. On net that is roughly 91K shares acquired (about $55K) — insiders putting money in tends to read as conviction.

BFIIW Financials

BFIIW Latest News

No recent news available for BFIIW.

BFIIW Analyst Consensus

BFIIW MoonshotScore

BurgerFi International, LLC Consumer Cyclical Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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