Muscle Maker initiated with a Buy at Alliance Global Partners

Alliance Global Partners initiated coverage of Muscle Maker with a Buy rating and $2.40 price target. The analyst says the newly formed Sadot subsidiary and Aggia partnership transform Muscle Maker from a restaurant business with a slow build via franchise expansion to a business model with high revenues and profits. The company is going from burning cash and a negative EBITDA to generating positive EBITDA operating cash flow, says the firm. It sees the stock’s risk/reward as attractive at this entry point.