Goldman Sachs Initiated Coverage on BBB Foods (TBBB) With a Buy Rating

BBB Foods Inc. (NYSE:TBBB) is one of the 11 Hot New Stocks to Invest in Now. On July 8, Goldman Sachs initiated coverage of BBB Foods Inc. (NYSE:TBBB) with a price target of $29.

The firm noted BBB Foods Inc. (NYSE:TBBB) to be a rare compounder in its Latam Retail coverage universe. Goldman Sachs elaborated that this is also reflected by the company’s current valuation of 91 times its forward earnings.

Goldman Sachs Initiated Coverage on BBB Foods (TBBB) With a Buy Rating

A B2B food distributor making sure grocery shelves are fully stocked with food.

During the fiscal first quarter of 2025, BBB Foods Inc. (NYSE:TBBB) delivered revenue of $873.81 million, up 14.83% year-over-year and ahead of estimates by $34.29 million. The growth was driven by a 13.5% growth in same-store sales. Notably, the company opened 117 new stores during the quarter to reach 2,889 total stores.

BBB Foods Inc. (NYSE:TBBB) is a Mexican holding company that operates grocery retail stores and distribution centers.

While we acknowledge the potential of TBBB to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TBBB and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.