Should You Invest in This Recent Sushi Chain IPO?
It seems like every new IPO is a technology company, but investors are finally being served up something new. Kura Sushi USA (NASDAQ: KRUS) went public on July 31 and is only the second restaurant IPO of 2019 after Luckin Coffee debuted in May. Should investors take a bite?
Kura Sushi USA is the American subsidiary of Kura Japan, a conveyor belt sushi chain in Japan with over 400 restaurants. The subsidiary was established in 2008 to bring this unique sushi restaurant to Americans and has ambitions to be a national chain.
The company describes itself as a technology-enabled restaurant where guests order food on digital displays at their table and items are delivered to them via a conveyor belt. This format is quite popular in Japan but is a novelty in the U.S., and that could drive store traffic to the extent that Americans are interested in something new. The highly automated system also reduces the number of servers needed, resulting in cost savings.
Source Fool.com
