Wunderlich Securities Feels More Confident On Kona Grill Inc Following Recent NDR

In a report published Monday, Wunderlich Securities analyst Robert M. Derrington reiterated a Buy rating and $28.00 price target on

. In the report, Wunderlich Securities noted, “Our recent NDR with Kona Grill (KONA) CEO Berke Bakay reinforced our confidence in the company's near- and longer-term prospects. KONA, one of the industry's fastest growing companies, continues to find keen developer interest attracted by its high-energy, differentiated concept and strong demographic appeal. That has enabled the company to build a considerable development pipeline of sites with strong sales potential and favorable lease terms. That pipeline, along with Kona's attractive unit economics, steady SSS, and favorable cost of goods profile, has the company poised to double its sales and adjusted EBITDA through the next 5 years. Factoring valuation metrics for KONA (at a discount to its high-growth peers) at 2.0x 2015 EV/revenue, we reiterate our Buy rating and PT of $28.” Kona Grill Inc closed on Friday at $17.52.