GyG has announced that its sales have grown to over $278 million in the first 3 months of the financial year.
👉 Background: Guzman y Gomez is the Mexican-style fast food chain that started in Sydney in 2006. Last June, GyG became one of the most widely debated stocks to list on the sharemarket, with a market valuation of $3.3 billion.
👉 What happened: Now, GyG has announced that its sales have grown to over $278 million in the first 3 months of the financial year. And it was on track to hit its prospectus forecasts.
👉 What else: Its share price is also up more than 29% since its listing - quite the fiesta for investors. And, a big reason for this is the limited number of shares available in the free float.
💡The free float refers to the portion of a company’s shares that are available for trading by the general public.
💡A lower free float means that more investors are chasing fewer shares - creating an imbalance between supply and demand of shares. GyG has a very limited free float with just 15% of its stock is considered available to the public.
💡And since GyG's performance has been in-line with its ambitious expectations, investors have been gobbling up shares faster than you can say "more guac please".
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