Since 2012, Panera Bread has been driving growth in their restaurants and have invested in tablet kiosks (which is part of their Panera 2.0 initiative) to increase their sales and customer experience. At the end of last fiscal year, there were 410 stores converted to Panera 2.0 and an additional 200 are expected to convert this year. That will bring the total up to around a third of their 1,972 stores.
For over two years Lilitab has been helping to drive the same-store sales growth for Panera and the results are incredibly strong. The last six quarters are up 16.1% (an average of over 8% each year) and continue to rise. Companies are now jumping on board to invest in Panera’s stock which is growing far higher than the industry average.
According to Seeking Alpha’s website, they wouldn’t be surprised if the market was willing to pay 36 times the earnings for the company. Sticking with their original forecast of $6.64 per share, that gives a target of $239.04, which equals a 10% return from the last trade price!
Well done Panera! The future of food services is coming and you have been the pioneers. We’re happy to be a part of your 2.0 initiative game-changing success and can’t wait to see what the future holds for you.
To read the full article check out Seeking Alpha's blog post here.