Nathan's Famous, Inc. (NATH) AI Stock Analysis

Nathan's Famous, Inc., established in 1916 and headquartered in Jericho, New York, operates within the foodservice industry. The company manages a network of owned and franchised restaurants known for its hot dogs and signature menu items. Beyond restaurants, it leverages brand licensing agreements to distribute retail products including hot dogs, sausages, corned beef, proprietary spices, sauerkraut, pickles, French fries, onion rings, and miniature bagel dogs through supermarkets, club stores, and mass merchandisers. It also partners with suppliers to distribute bulk hot dogs and sausages across foodservice channels.

Nathan's Famous increased annual revenue from $114.9M in FY2022 to $162.1M in FY2026, delivering a 5-year revenue CAGR of 16.4%. In FY2026, revenue rose 9.4%, though net income decreased from $24.0M in FY2025 to $20.0M as gross margin narrowed from 35.1% to 30.2% and operating margin fell from 24.6% to 18.6%. EPS was $4.85 in FY2026, compared to $5.87 in FY2025. In the trailing twelve months, revenue reached $169.1M with a profit margin of 11.8%. For the latest quarter ended June 30, 2026, quarterly revenue grew 15.0% year-over-year, while quarterly earnings declined 0.9%.

As of June 30, 2026, the company held $24.7M in cash and short-term investments against total debt of $51.0M, resulting in net debt of $26.3M. Total assets stood at $64.8M, while shareholders' equity was -$7.2M, reflecting negative equity. The company maintains a current ratio of 2.45. In FY2026, operating cash flow was $18.2M and capital expenditures were $370,000, yielding free cash flow of $17.9M. Nathan's Famous paid $18.4M in dividends during FY2026, while its share count changed by 0.3% over five years.

At a last close of $101.90 on October 16, 2026, Nathan's Famous carried a market capitalization of $417.6M and an enterprise value of $413.1M. The stock trades at a trailing P/E of 21.1x and a forward P/E of 24.6x, above the median of its US-listed Consumer Cyclical peers at 18.0x trailing and 14.1x forward. Its price-to-sales ratio is 2.5x versus the peer median of 0.7x, and EV to EBITDA is 13.0x compared to the peer median of 11.1x. Over the past year, the stock declined 3.5%, underperforming the S&P 500 (SPY) return of 16.8%, but gained 84.8% over five years versus 83.0% for the S&P 500.

The company pays a quarterly dividend with an annualized forward rate of $2.00, representing a dividend yield of 1.96% as of October 16, 2026. The payout ratio stands at 82.8%. Nathan's Famous has paid dividends for 10 consecutive years, generating a 5-year annualized dividend growth rate of 26.3%. Its last ex-dividend date was June 22, 2026.

Analyst rating counts and target estimates are not provided for the company. The next scheduled earnings date is November 5, 2026. In the latest quarter ended June 30, 2026, quarterly revenue grew 15.0% year-over-year, while quarterly earnings fell 0.9%. Over the trailing twelve months, Nathan's Famous delivered an EPS of $4.83 alongside an operating margin of 23.9%.

This page is an AI-written research summary of Nathan's Famous, Inc. (NATH). 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: NATH income statement, NATH balance sheet, NATH key metrics, NATH chart. See the NATH stock overview for the latest quote and news.