TBBB

BBB Foods

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Consumer Defensive

industry

Discount Stores

Exchange

NYSE

County of HQ

Mexico

Next Earnings Date

05/06/26

Business Summary

BBB Foods operates in the discount retail segment, generating revenue through high-volume, low-price merchandise sales targeted at cost-sensitive consumers. The model relies on rapid inventory turnover, supplier negotiations, and tight cost control to produce cash flow. Scale and purchasing leverage form the backbone of any competitive moat in this category, as pricing power is minimal. Sustainable cash generation depends on operational efficiency and disciplined capital allocation rather than premium branding or product differentiation.

VALUATION

P/E

-

Market Cap ($M USD)

$4,436

Forward P/E

14.8

PEG

-

PRICE TO SALES

1

PRICE TO BOOK

18.8

EV / EBITDA

87.9

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

-$1.39

Next Year EPS Growth Estimate

$2.54

Next Year Revenue Growth Estimate

27.20%

Return on Equity (ROE)

-68.80%

Operating Margin

-0.90%

Debt-to-Equity

3.4

Piotroski F-Score

3

Altman Z-Score

3.7

Return on Invested Capital (ROIC)

-12.10%%

Current Ratio

0.6

Quick Ratio

Gainseekers Quantitative Analysis

Summary

TBBB screens as a statistical anomaly wrapped in operating distress. A Forward P/E of 14.8 would normally imply reasonable growth expectations, but it conflicts violently with an Operating Margin of -68.80%, ROIC of -12.10%, and an EPS Next Year estimate of -$1.39. The Altman Z-Score of 3.7 suggests the balance sheet is not in imminent distress, yet the Current Ratio of 0.6 and Debt/Equity of -0.90% raise structural red flags about liquidity quality. This is not a clean GARP setup — it is a balance-sheet-stable but operationally broken business where the market appears uncertain rather than decisively mispricing growth.

AI Exposure / Tech Reliance

As a Discount Stores operator within Consumer Defensive, TBBB operates in a segment where AI adoption is primarily operational — inventory optimization, shrink reduction, and pricing analytics. The industry can benefit from automation, but AI will not fix a -68.80% Operating Margin overnight. Competitive resilience will depend more on execution discipline than technological disruption.

The Bull Case

A value-oriented investor could argue that a 14.8 Forward P/E inside Consumer Defensive is not excessive, particularly with a 3.4 TTM Yield providing tangible shareholder return. Return on Equity of 27.20% is optically strong and suggests the company has historically generated meaningful returns on shareholder capital. The Altman Z-Score of 3.7 indicates low bankruptcy risk, giving management time to repair operations. With a Market Cap of $4,436M and Price/Sales of 1, the stock may be pricing in significant pessimism already, creating optionality if margins normalize even modestly.

The Bear Case

The bear case is brutal. Operating Margin at -68.80% combined with ROIC of -12.10% signals capital destruction, not value creation. A Current Ratio of 0.6 points to tight liquidity, while the Piotroski F-Score of 3 indicates weak fundamental momentum. EPS Next Year projected at -$1.39 undermines the credibility of the 14.8 Forward P/E, and the absence of a valid PEG ratio reinforces the lack of visible growth. This is a company generating negative operating economics in a low-margin industry — that is a structural, not cyclical, problem.

Market Sentiment & Smart Money

Short Interest %

25.20%

Analyst Consensus

2.28

Average Analyst Price Target

$38.67

Institutional Ownership %

112.00%

1-Year Beta

0.64

Insider Buying % (6 Mo)

0.00%%

Distance to 52-Week High

93.90%%

Distance to 52-Week Low

158.10%%