Financial PerformanceRaising target price from $4.50 to $6 reflects higher estimates and a higher terminal multiple in the DCF, given underlying comps have stabilized and no more franchise store closures were announced.
ProfitabilityEuropean Wax Center remains highly profitable with a still-compelling long-term outlook.
Strategic InitiativesEfforts to reset the store fleet, combined with new management stabilizing the business, should help shares recover.