
Denny’s Dilemma: Turnaround Gem or Bankruptcy Trap?
📉 The stock has fallen significantly, around 50%, presenting a potential high-risk, high-reward scenario reminiscent of the 2007-2008 period where it multiplied investor capital significantly.
💰 Despite flat revenues, the company continues to generate free cash flow, although it carries substantial debt (around $400 million enterprise value vs. $174 million market cap) requiring $18 million annually for interest payments.
🤔 The key question is whether Denny's can turn its business around or if it faces potential bankruptcy, making it a speculative investment requiring careful analysis of its debt and cash flow sustainability.