![]() TrueCar) but this one is the worst we have ever witnessed. We’ve seen some busted “new to the capital markets” growth stories in the past (i.e. Source: Merger proxy Company Refuses to Provide Updated Guidance On Call The Only Chart You Must Read In this Report How in the world can anyone feel comfortable owning this stock given that in November 2018 the company provided both FY18 and FY19 guidance and then proceeded last week to a) massively miss their FY18 earnings guidance and b) refuse to provide updated FY19 earnings guidance!? It is also levered and rapidly burning cash. Waitr faces massive competitive threats – even the bulls acknowledge this point. There are a multitude of reasons to be short WTRH but rather than make you sit through a 15 page report we’ll get to the meat right now. Waitr is a company that only came into existence in the past few years and may not even have clear title to the name Waitr (see more on the v Waitr litigation below)…how often do you come across a company that is burning cash, levered, and may not even have a clear right to its name?Īs we will show in this report, we view WTRH as a company teetering on the brink of extinction due to undisclosed litigation risks, high leverage, alarming cash burn, a complete unwillingness on the part of management to provide any color on forward earnings, and a competitive landscape that makes WTRH look like a JV high school basketball team facing the Kobe/Shaq LA Lakers. We believe that Waitr Holdings is a stock running on fumes, backed by conflicted Wall Street brokers, and the worst way to play the trend in food delivery. As both friendly and hungry bears, we ourselves have become major customers of the food delivery industry. We fully buy into the idea that food delivery is a secular growth story as millennials increasingly shift to hermit lifestyles in their city apartments. actual employees NOT independent contractors) to go to restaurants, pick up food, and bring it to customer doors. The company employs mostly W-2 drivers (i.e. Waitr Holdings, headquartered in Lakes Charles, LA, is a food delivery business. ![]()
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