Growth ChallengesThe business has seen limited improvement in its top line throughout 2024, presenting a risk for future growth.
Profitability ConcernsThere is a risk that profitability and free cash flow might fail to materialize, affecting the market cap relative to the cash balance.
Sales ExpectationsDespite the 3Q beat, management lowered sales and adj. EBITDA expectations, reflecting US store closures, reduced promotional activity, and a shift in marketing spend timing.