The Chefs' Warehouse Stock Price and Value Analysis

Should you buy The Chefs' Warehouse stock? (NasdaqGS:CHEF). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantagesNeutral
None.
  • This company is making money at a modest rate.
  • This company is less known than others.
  • This stock looks overpriced.
  • This company has wild ups and downs.
  • This company pays no dividend.

Inside the CHEF Numbers

CHEF Price
(The Chefs' Warehouse stock price per share)
$30.72
[?] CHEF Fair Price
(based on intrinsic value)
$8.89
[?] CHEF Safety Price (based on a variable margin of safety) $5.33
[?] PE Ratio versus Sector 208% higher than other Consumer Goods stocks
[?] PE Ratio versus Industry 52% higher than other Food Distribution stocks
[?] Free Cash Flow Jitter 876%

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 3,254,791 shares shorted. With 32,491,391 shares available for purchase and an average trading volume over the past 10 trading days of 230,910, it would take at least 14.095 days for all of the short holders to cover their shorts.

What does this mean to you? At this volume, it'll take more than two trading weeks for shorts to cover. This may indicate a short squeeze play would work! If this stock has good fundamentals and it'll take a while for the short holders to cover, buying now could net you bigger short-term technical gains if and as the price rises.

Is The Chefs' Warehouse Stock on Sale?

We believe that The Chefs' Warehouse may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

The Chefs' Warehouse looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy CHEF Stock?

Does The Chefs' Warehouse have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.