Sign in

    Brian Kennedy • Capital Markets

    Brian Kennedy is a Managing Director and Senior Analyst at Capital Markets, specializing in the coverage of major industrial and infrastructure companies such as Caterpillar, United Rentals, and Oshkosh Corporation. He is recognized for his highly accurate equity research and investment recommendations, maintaining a success rate above 60% and delivering average returns exceeding 12% annually based on third-party rankings. Kennedy began his career as an equity associate in 2003 at Citi, transitioned to BTIG in 2010, and has held leadership analyst roles at firms including Jefferies before joining Capital Markets in 2019. He holds FINRA Series 7, 63, and 86/87 licenses, and has been highlighted in industry rankings for his analytical rigor and insights.

    Brian Kennedy's questions to Edible Garden AG Inc (EDBL) leadership

    Brian Kennedy's questions to Edible Garden AG Inc (EDBL) leadership • Q4 2024

    Question

    Brian Kennedy of Capital Markets asked for clarification on the Q4 gross profit drag compared to the strong full-year improvement and whether a normalized gross margin approaching 30-40% was a fair assumption. He also commented on the company's debt reduction and perceived undervaluation.

    Answer

    CEO James Kras explained the Q4 margin dip was a strategic investment in labor to ensure high fill rates for key retailers during the peak holiday season, which he does not expect to repeat to the same degree. He confirmed a target gross profit of 35-40% is achievable as the product mix shifts to higher-margin items. Interim CFO Kostas Dafoulas added that margins should normalize in 2025 and highlighted the recent paydown of $3.2 million in debt, which strengthens the balance sheet for future investments.

    Ask Fintool Equity Research AI