Head-To-Head Analysis: Latitude 360 (OTCMKTS:LATX) and FAT Brands (NASDAQ:FAT)

Latitude 360 (OTCMKTS:LATX) and FAT Brands (NASDAQ:FAT) are both retail/wholesale companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Earnings & Valuation

This table compares Latitude 360 and FAT Brands”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Latitude 360	N/A	N/A	N/A	N/A	N/A
FAT Brands	$592.65 million	0.01	-$189.85 million	($13.35)	-0.03

Latitude 360 has higher earnings, but lower revenue than FAT Brands.

Profitability

This table compares Latitude 360 and FAT Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Latitude 360	N/A	N/A	N/A
FAT Brands	-39.33%	N/A	-17.99%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Latitude 360 and FAT Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Latitude 360	0	0	0	0	0.00
FAT Brands	1	2	1	0	2.00

FAT Brands has a consensus target price of $10.00, indicating a potential upside of 2,635.98%. Given FAT Brands’ stronger consensus rating and higher probable upside, analysts clearly believe FAT Brands is more favorable than Latitude 360.

Insider & Institutional Ownership

6.9% of FAT Brands shares are owned by institutional investors. 24.5% of Latitude 360 shares are owned by insiders. Comparatively, 15.7% of FAT Brands shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

FAT Brands beats Latitude 360 on 5 of the 8 factors compared between the two stocks.

About Latitude 360

Latitude 360, Inc. operates as a casual dining restaurant/entertainment company in the United States. The company plans, develops, constructs, and operates restaurant/entertainment venues. Its restaurant/entertainment venues feature a grille and bar; luxury bowling lanes; a dine-in movie theater with home theater-style seating; game room; a dine-in live performance theater; a HD sports theater; a bar with a dance floor and stage for the DJs and regional bands every weekend; and a luxury boutique cigar lounge. The company operates three restaurant/entertainment venues in Jacksonville, Florida, Pittsburgh, Pennsylvania, and Indianapolis, Indiana. Its restaurant/entertainment venues serve consumers and corporate clients. The company is headquartered in Jacksonville, Florida. On January 10, 2017, an involuntary petition for reorganization under Chapter 11 was filed against Latitude 360, Inc. in the U.S. Bankruptcy Court for the Middle District of Florida. On February 7, 2017, the involuntary petition was approved by the Court.

About FAT Brands

FAT Brands Inc., a multi-brand restaurant franchising company, acquires, develops, markets, and manages quick service, fast casual, casual dining, and polished casual dining restaurant concepts worldwide. It owns restaurant brands, including Round Table Pizza, Marble Slab Creamery, Great American Cookies, Hot Dog on a Stick, Pretzelmaker, Fazoli's, Fatburger, Johnny Rockets, Elevation Burger, Yalla Mediterranean, Buffalo's Cafe and Buffalo's Express, Hurricane Grill & Wings, Ponderosa Steakhouse/Bonanza Steakhouse, Native Grill & Wings, Smokey Bones, and Twin Peaks. The company was incorporated in 2017 and is headquartered in Beverly Hills, California. FAT Brands Inc. is a subsidiary of Fog Cutter Holdings, LLC.