Should You Invest in Potbelly Corporation (PBPB) for the Long-Term?

Artko Capital, an investment management company, recently released its second quarter 2022 investor letter. A copy of the same can be downloaded here. In the second quarter, an average partnership interest in the fund was down 26.03% net of fees; to date, it is down 33.4% net of fees. However, investments in comparable indexes like Russell 2000, Russell Microcap, and the S&P 500 were down 17.2%, 19.0%, and 16.1%, respectively, in the second quarter. The majority of the fund’s performance was contributed by Currency Exchange International. For more information on the fund’s top picks in 2022, please check its top five holdings.

Artko Capital discussed companies like Potbelly Corporation (NASDAQ:PBPB). Headquartered in Chicago, Illinois, Potbelly Corporation (NASDAQ:PBPB) is a chain of restaurants specializing in Potbelly sandwiches. The stock of Potbelly Corporation (NASDAQ:PBPB) closed at $6.35 per share on August 18, 2022. In one month the stock returned 19.14% and its shares lost 0.63% of their value over the last 52 weeks. Potbelly Corporation (NASDAQ:PBPB) has a market capitalization of $182.252 million.

Here is what Artko Capital specifically said about Potbelly Corporation (NASDAQ:PBPB):

“Potbelly Corporation (NASDAQ:PBPB) – delivered 17.2% same-store sales (SSS) and 19% revenue growth in 2Q22, including record Average Unit Volume (AUV) at shop levels. The company reaffirmed its 2022 guidance which should result in nearly 20% revenue growth and sustainable cash flow generation. More importantly, the company’s continued commitment to having at least 25% of its locations be refranchised in the next couple of years while growing the overall location base, should result in substantial cash inflows and business model profitability. This was reaffirmed with the signing of a major delivery partnership with REEF, the largest operation of virtual restaurants, and reporting a healthy pipeline of new franchise candidates.”

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Potbelly Corporation (NASDAQ:PBPB) is not on the list of 30 Most Popular Stocks Among Hedge Funds. As per our database, Potbelly Corporation (NASDAQ:PBPB) was held by 6 hedge fund portfolios at the end of the first quarter, and 7 in the previous quarter.

We discussed Potbelly Corporation (NASDAQ:PBPB) in another article and shared Artko Capital’s views about the company in the previous quarter. For more investor letters from hedge funds and other prominent investors, you can check our hedge fund investor letters Q2 2022 page.

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