Potbelly initiated with a Buy at Lake Street

Lake Street initiated coverage of Potbelly with a Buy rating and $11 price target. The fast-casual neighborhood sandwich shop company has “worked through an expansive turnaround” and with the stores running efficiently, has embarked on a franchise growth acceleration initiative, the analyst noted. Selling company-operated locations to franchisees and signing development agreements with the new owners “will be transformative to the company,” the analyst tells investors.