Meritage Hospitality Group (OTCMKTS:MHGU) Trading 5.4% Higher - Should You Buy?

Key Points

• Meritage Hospitality Group Inc. (OTCMKTS:MHGU) saw its shares rise by 5.4% to $12.12, despite a significant decrease in trading volume, down 65% from its average daily volume.
• The company reported a loss of ($0.04) earnings per share (EPS), missing estimates by ($0.58) and generating revenue of $163.50 million, below the $181.00 million expected.
• Meritage Hospitality operates various restaurant brands, including Wendy's, Morning Belle, and Stan's Tacos, across multiple states in the U.S.

Meritage Hospitality Group Inc. (OTCMKTS:MHGU - Get Free Report) shares rose 5.4% during trading on Monday . The company traded as high as $12.12 and last traded at $12.12. Approximately 120 shares changed hands during mid-day trading, a decline of 65% from the average daily volume of 343 shares. The stock had previously closed at $11.50.

Meritage Hospitality Group Price Performance

The company has a 50 day moving average of $12.77 and a 200 day moving average of $13.38. The company has a current ratio of 0.30, a quick ratio of 0.27 and a debt-to-equity ratio of 1.14. The firm has a market cap of $80.81 million, a price-to-earnings ratio of -23.76 and a beta of -0.08.

Meritage Hospitality Group (OTCMKTS:MHGU - Get Free Report) last announced its quarterly earnings results on Tuesday, August 12th. The company reported ($0.04) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.54 by ($0.58). The business had revenue of $163.50 million during the quarter, compared to the consensus estimate of $181.00 million. Meritage Hospitality Group had a negative return on equity of 0.54% and a negative net margin of 0.10%. Equities research analysts predict that Meritage Hospitality Group Inc. will post 0.97 EPS for the current fiscal year.

Meritage Hospitality Group Company Profile

Meritage Hospitality Group Inc operates quick-service and casual dining restaurants. The company operates restaurants under the Wendy's, Morning Belle, and Stan's Tacos, as well as Taco John's brand names in Arkansas, Connecticut, Florida, Georgia, Indiana, Massachusetts, Michigan, Missouri, Mississippi, North Carolina, South Carolina, Ohio, Oklahoma, Tennessee, Texas, and Virginia.

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