Kura Sushi USA (KRUS) & Its Rivals Critical Review

Kura Sushi USA (NASDAQ:KRUS) is one of 382 publicly-traded companies in the “Hotels, Restaurants & Leisure” industry, but how does it contrast to its peers? We will compare Kura Sushi USA to similar businesses based on the strength of its dividends, risk, valuation, institutional ownership, profitability, analyst recommendations and earnings.

Profitability

This table compares Kura Sushi USA and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kura Sushi USA	-0.65%	-0.18%	-0.09%
Kura Sushi USA Competitors	2.45%	-40.43%	2.13%

Analyst Ratings

This is a breakdown of current ratings for Kura Sushi USA and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kura Sushi USA	1	5	4	1	2.45
Kura Sushi USA Competitors	3801	17252	25549	902	2.50

Kura Sushi USA currently has a consensus price target of $63.78, suggesting a potential upside of 72.05%. As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 58.55%. Given Kura Sushi USA’s higher possible upside, research analysts plainly believe Kura Sushi USA is more favorable than its peers.

Institutional & Insider Ownership

65.5% of Kura Sushi USA shares are owned by institutional investors. Comparatively, 48.7% of shares of all “Hotels, Restaurants & Leisure” companies are owned by institutional investors. 2.3% of Kura Sushi USA shares are owned by insiders. Comparatively, 22.3% of shares of all “Hotels, Restaurants & Leisure” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Kura Sushi USA has a beta of 1.38, suggesting that its stock price is 38% more volatile than the S&P 500. Comparatively, Kura Sushi USA’s peers have a beta of 1.44, suggesting that their average stock price is 44% more volatile than the S&P 500.

Valuation & Earnings

This table compares Kura Sushi USA and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Kura Sushi USA	$282.76 million	-$1.90 million	-205.94
Kura Sushi USA Competitors	$3.71 billion	$250.20 million	-159.66

Kura Sushi USA’s peers have higher revenue and earnings than Kura Sushi USA. Kura Sushi USA is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Kura Sushi USA peers beat Kura Sushi USA on 9 of the 13 factors compared.

Kura Sushi USA Company Profile

Kura Sushi USA, Inc. operates technology-enabled Japanese restaurants in the United States. The company was formerly known as Kula Sushi USA, Inc. and changed its name to Kura Sushi USA, Inc. in October 2017. The company was founded in 2008 and is headquartered in Irvine, California. Kura Sushi USA, Inc. is a subsidiary of Kura Sushi, Inc.