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Stock impact report

Is Driven Brands A Value Opportunity After Footprint Changes And Debt Reduction Efforts? [Yahoo! Finance]

Driven Brands Holdings Inc. (DRVN) 
Company Research Source: Yahoo! Finance
The stock has been choppy lately, slipping about 2.9% over the last week but still up 5.6% over the past month. Longer horizons like the last year and last three years, at roughly -7.6% and -43.8%, remind us that sentiment has been bruised for a while. Recent headlines have circled around the company refining its store footprint and sharpening its focus on higher margin service lines. That has investors reassessing how durable its growth story really is. At the same time, updates on debt reduction efforts and capital allocation have added a new wrinkle to how the market views its risk profile, helping explain some of the renewed volatility. On our framework, Driven Brands scores a solid 5 out of 6 on valuation checks , suggesting the market may be underpricing the business on several fronts. We will break down what that means across different valuation methods, before finishing with a more intuitive way to decide what the stock is really worth to you. Driven Brands Holdings del Show less Read more
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