Kura Sushi USA: Positioned for Growth Despite Short-term Challenges

William Blair analyst Sharon Zackfia has reiterated their bullish stance on KRUS stock, giving a Buy rating today.

Sharon Zackfia has given her Buy rating due to a combination of factors that indicate potential growth for Kura Sushi USA. Despite anticipating a slight decline in comparable sales for the fiscal second quarter, primarily due to adverse weather conditions and a challenging comparison to the previous year’s successful promotions, the overall outlook remains positive.
The company has demonstrated strong new unit productivity and has exceeded expectations by opening three new locations in February, contributing to a projected revenue increase of 16%, surpassing consensus estimates. This expansion, alongside a strategic pricing approach, suggests that Kura Sushi USA is positioned for future growth, justifying the Buy rating.

In another report released today, Craig-Hallum also reiterated a Buy rating on the stock with a $100.00 price target.