Tattooed Chef Inc (TTCFQ)

[Green gold]

$45 price target

This is a phenomenal deal and here’s the simple way of arriving at $45 price target.

Page 25 of today’s presentation shows peer valuations. The average growth adjusted revenue multiple is 0.25x for peers vs 0.04x for tattooed chef. Implies 525% upside.

Page 23 shows the transition overview on a pro forma basis you’re getting this business on a 2.2x sales multiple vs 13x for beyond meat. Not apples to apples obviously so let’s take very aggressive 50% discount and you still have 3x upside.

I’d be shocked if a single institution investor is willing to sell anywhere below $25. And most will model $45. As they’re target based on today’s deal details.