Good Times Restaurants Inc. (GTIM) AI Stock Analysis
GTIM AI stock analysis summary
AI ResearchGood Times Restaurants Inc. (GTIM) operates quick-service and full-service dining concepts, generating $135.1M in revenue over the trailing twelve months. While annual revenue reached $141.6M in FY2025, operating cash flow dropped to $1.6M, resulting in negative free cash flow of -$1.5M. The company maintains a market cap of $14.7M with total debt standing at $35.9M.
- Market cap
- $14.7M
- Revenue (TTM)
- $135.1M
- P/E
- 6.6x fwd 30.6x
- 1Y return
- -1.4% S&P 500 16.8%
- Avg. target
- $5.00 259.7% vs last close
Bull case
- GTIM trades at a trailing P/E of 6.6x and a price-to-sales ratio of 0.1x, well below the US-listed Consumer Cyclical peer medians of 18.0x and 0.7x.
- Analysts have established a mean price target of $5.00, implying a 259.7% premium over the last close of $1.39.
- The company demonstrated strong earnings execution by recording 4 EPS beats across the last 4 quarters alongside a 28.6% quarterly earnings increase.
Bear case
- Free cash flow turned negative to -$1.5M in FY2025 as operating cash flow dropped to $1.6M against capital expenditures of $3.1M.
- Balance sheet liquidity is pressured by a low current ratio of 0.47 and net debt of $32.3M compared to cash of $3.6M.
- Operating margins deteriorated from 5.6% in FY2021 to just 0.2% in FY2025, reflecting significant profitability compression.
What Good Times Restaurants does
Good Times Restaurants Inc., along with its subsidiaries, operates within the restaurant industry in the United States. Founded in 1987 and headquartered in Golden, Colorado, the company's portfolio includes the ownership, operation, and franchising of Good Times Burgers & Frozen Custard, a quick-service drive-through concept known for burgers and frozen custard desserts. Additionally, the company owns, operates, or licenses Bad Daddy's Burger Bar, a full-service upscale casual dining restaurant offering gourmet burgers and craft beers. Establishments are strategically located across various regions to cater to diverse dining needs through company-operated locations and franchising opportunities.
Growth and profitability
Annual revenue expanded from $124.0M in FY2021 to $141.6M in FY2025, generating a 5-year revenue CAGR of 5.2%. Over that span, net income shifted from $16.8M in FY2021 to -$2.6M in FY2022, before reaching $1.0M in FY2025 as net margin compressed to 0.7%. Gross margin decreased from 14.8% in FY2021 to 9.6% in FY2025, while operating margin fell to 0.2%. For the latest quarter ending June 30, 2026, quarterly revenue fell 5.0% year-over-year. However, quarterly earnings grew 28.6% year-over-year, supporting trailing twelve month revenue of $135.1M, a profit margin of 1.7%, and an operating margin of 3.7%.
Balance sheet and cash flow
As of June 30, 2026, Good Times Restaurants held cash and short-term investments of $3.6M against total debt of $35.9M, resulting in net debt of $32.3M. Total assets stood at $80.2M and shareholders' equity was $35.3M. The company's liquidity is constrained with a current ratio of 0.47 and a debt-to-equity ratio of 1.01. Operating cash flow fell to $1.6M in FY2025, while capital expenditures of $3.1M led to free cash flow of -$1.5M. In FY2025, the company allocated $391,000 to share buybacks.
Valuation and performance
GTIM trades at a trailing P/E of 6.6x and an EV/EBITDA of 8.7x, below the median of its US-listed Consumer Cyclical peers of 18.0x and 11.1x, respectively. Its price-to-sales multiple of 0.1x is also lower than the peer median of 0.7x, while its forward P/E of 30.6x stands above the peer median of 14.1x. The company has a market cap of $14.7M and an enterprise value of $48.2M. Over the past year, the stock fell 1.4%, trailing the S&P 500 (SPY) return of 16.8%. Over five years, GTIM declined 72.5% versus an 83.0% gain for the S&P 500.
What analysts expect
Wall Street analysts report a mean price target of $5.00 for GTIM, representing an implied upside of 259.7% from the last close of $1.39 on October 16, 2026. The company has demonstrated a consistent earnings track record, delivering 4 EPS beats over the last 4 quarters. No consensus rating counts, revenue projections, or upcoming earnings dates are provided in the available records.
Key risks and what to watch
- A current ratio of 0.47 indicates limited short-term liquidity to service near-term obligations.
- Total debt of $35.9M exceeds shareholders' equity of $35.3M, leaving a debt-to-equity ratio of 1.01.
- Quarterly revenue declined 5.0% year-over-year in the period ending June 30, 2026, signaling top-line pressure.
- Over a 5-year period, the stock declined 72.5% while the broader S&P 500 gained 83.0%.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this GTIM AI stock analysis
This page is an AI-written research summary of Good Times Restaurants Inc. (GTIM). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: GTIM income statement, GTIM balance sheet, GTIM key metrics, GTIM chart. See the GTIM stock overview for the latest quote and news.
GTIM AI stock analysis FAQ
What is Good Times Restaurants Inc.'s stock ticker and exchange?
Good Times Restaurants Inc. trades under the ticker GTIM on the NASDAQ exchange.
Does GTIM pay a dividend?
Good Times Restaurants Inc. does not currently have a recorded dividend payment.
What are the price targets for GTIM?
Analysts have set a mean price target of $5.00 for GTIM, which is 259.7% above its last closing price of $1.39 on October 16, 2026.
What was GTIM's financial performance in FY2025?
In FY2025, GTIM generated $141.6M in revenue, down 0.5% year-over-year, with net income of $1.0M and free cash flow of -$1.5M.
How much debt does Good Times Restaurants have?
As of June 30, 2026, the company held total debt of $35.9M and cash and short-term investments of $3.6M, resulting in net debt of $32.3M.