Mama's Creations: Getting Closer To A Buy

Mama's Creations delivered 55% revenue and 70% EBITDA growth, supported by strong organic performance and successful Crown integration. MAMA's $138.6 million cash balance positions it for a larger, strategically significant acquisition to advance its $1 billion revenue ambition. Sequential revenue growth has stalled, and valuation remains demanding with a forward P/E of 67x, prompting a continued Hold rating. I see the next acquisition as a critical test; more evidence of value-creating M&A is needed before upgrading to Buy.

Mama's Creations (MAMA) delivered another strong quarter with revenue up 55% and EBITDA up 70%, while its now $138.6 million cash balance gives management more firepower for M&A.