Nathan's Famous Inc. Common Stock (NATH)

FairStock Score: 56/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I look first at the business: Nathan's Famous is a 129-employee foodservice company earning money from branded hot dogs, licensing, and restaurants. The capital efficiency is striking: a 32.62% ROCE, a 5.93 Altman Z-Score, and a 0.25 beta suggest a durable, low-cyclicality brand with strong financial safety, though the absence of reported ROE, P/B, and D/E leaves some Graham checks incomplete. Growth is mixed. In fiscal 2025, the year ended 2026-03-29, revenue rose to $162.1M from $148.2M in fiscal 2024, the year ended 2025-03-30, but net income fell to $20.0M from $24.0M and diluted EPS declined to $4.85 from $5.87. The latest report, fiscal Q1 2026, the quarter ended 2026-06-28, showed revenue of $54.1M versus $47.0M in fiscal Q1 2025, the quarter ended 2025-06-29, while net income slipped to $8.8M from $8.9M and diluted EPS to $2.14 from $2.16. Sales are advancing, but profit is not keeping pace, suggesting margin pressure. At the close on 2026-10-13, the FairStock P/E was 21.10, EV/EBITDA 13.97, FCF yield 4.6%, and dividend yield 1.96%. That is not distressed pricing; it is fair-to-full for a stalwart. The Lynch category is STALWART, based on 12.6% five-year profit growth and 16.4% revenue growth, but current profit declines test that label. I see a good brand and healthy financial risk profile, but I want evidence that revenue growth can convert into earnings again before calling the valuation compelling.

In plain English: Nathan's Famous sells hot dogs and related food through brand licensing, packaged products, and restaurants. Sales are growing and the company appears financially safe, but profit has slipped recently. At $101.91 a share, the stock looks fairly priced rather than clearly cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2026 10-Q (period ended 2026-06-28) · fiscal Q3 2025 10-Q (period ended 2025-12-28) · fiscal Q2 2025 10-Q (period ended 2025-09-28) · fiscal Q1 2025 10-Q (period ended 2025-06-29) · FY2025 10-K (period ended 2026-03-29) · FY2024 10-K (period ended 2025-03-30) · FY2023 10-K (period ended 2024-03-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer