Topic: How To Invest

Q: Pat, may I have your advice on Portillo’s Inc., a recent U.S. IPO? Thanks.

Article Excerpt

A: Portillo’s Inc., $26.98, symbol PTLO on Nasdaq, (Shares outstanding: 35.8 million; Market cap: $2.0 billion; www.portillos.com), is a Chicago-based restaurant chain that got its start in 1963 when founder Dick Portillo opened the restaurant “The Dog House” in a small trailer. Today, the business has 67 restaurant locations in nine U.S. states. The company also ships food to all 50 states via its website. Portillo’s is best known for its Chicago-style hot dogs, Italian beef sandwiches, char-grilled burgers, fresh salads and “famous” chocolate cake. Portillo’s Home Kitchen is the company’s fast-growing catering business. That unit also ships food to all 50 states via its website. After suffering through COVID-19 for nearly two years, Portillo’s went public on October 20, 2021, selling shares to the public at $20 each. On the first day of trading, the company’s shares closed 45.5% higher. They reached a high of $57.73 in November 2021, but they have dropped since and are currently trading for 34.9% above…