If FRS wasn't that low yesterday, I might overlook this stock and invest in others.
But $26-$27 prices are such a great deal and it is very rarely to find such a super-cheap, well-known, profitable, and growing restaurant company at this price.
If it is over $30, I won't even think to buy it. I got some at $27.19 (so sad that I missed $26 deal) and may keep it for a period. I think this one is worth at least $30 now.
If you are a lurker on this board, buy FRS as soon as you can. Low volume can benefit you to get a cheap price on this short period of time. I don't think you will be able to find it anywhere below $28 by tomorrow. I also observed that the incrasing prices from $26-$27.6 were automatically (no human involved) traded and no changes happened on the Ask side.
Well, it had been around $31-$32 from mid-Jan until last Friday. (about 2 months)
And it has been dropped to this level without any news. Why can't it go back to the original level ($31-$32) again or more within a few days?
P/E ratio at $31-$32 price is still cheap though comparing with all other restaurants. Its growth rate and profit of FRS have been increasing and sustainable quarterly. Also, you get divident from this stock.
If you look at other restaurant stocks during Jan-Feb, almost all have been upgraded or rising more than 10-15% (WEN, YUM, CAKE, RRGB, MCD, etc). Look at overall financial information including P/E, growth rate, dividend, etc, you will see none of them is better than FRS.
I don't know what caused a drop during the last hour on Monday. Perhaps, somebody needs immediate cash.
Now, it is at $28.5 Come on, you still get a deal until at least $30-$31.