Odd Burger Corp. (ODD:TSX.V; ODDAF:OTC; IA9:FRA) is a technology company that is transforming the fast food industry, and the way that it is doing this is by producing a range of plant-based foods that have universal appeal, even to die-hard traditional consumers of fast food.
Most importantly, although the company's food products are technically classed as Vegan, you do not have to be Vegan to really like them. The reason that Odd Burger is so attractive to investors here is that, after years of research and investment and the appointment of an exceptionally experienced management team, the company has arrived at the point of liftoff within an accelerating growth curve.
The company offers a full menu including all of the classics demanded by fast food customers at comparable prices to established fast food chains, and since they are plant-based, they will be of increasing appeal to more health-conscious consumers going forward.
The following slide, lifted from the company's investor deck, shows the projected growth of the Global Fast Food Market, which through 2028 has an impressive projected compound annual growth rate (CAGR) of 6.05%, the projected growth of the Vegan Food Market, which has a more impressive CAGR of 18.1%.
Where the circles overlap is the Vegan Fast Food Market, which has a CAGR in between these two figures, which is still an impressive 11.6% CAGR.
Currently, the company is operating in Canada, where it all started, and it is rapidly expanding within Canada and also into the United States.
The slide below overviews the company.
A most important point to note is that Odd Burger produces its own food under the food technology division Preposterous Foods, which was launched in 2018 under the guidance of Co-Founder and Food Scientist James McInnes.
Some of the output of the Preposterous Foods division is marketed as CPG (consumer packaged goods) with over 440 retailers and is enjoying very rapid sales growth.
Odd Burger's locations are optimized for maximum efficiency, having an affordable build cost, compact footprint (size), automated cooking technology — the grill / stove is not on all the time and operates according to demand, thus saving energy, have self-checkout and can be operated with as little as one staff member.
Below shows how the franchise operates.
ODD-O-MATION: The company is currently developing proprietary automation technology, which would allow customers to customize their orders according to personal preference, and an interesting feature is that recipe profiles could be digitally saved and prepared exactly the same way at any Odd Burger location.
With regards to the competition, Odd Burger checks all the boxes that the others don't.
A crucial factor that has a bearing on the future success of the company is the strength of the management team, and it is taken as an indication of the potential of the company that has attracted such people.
In addition to co-founder and CEO James McInnes, who is the food scientist behind Preposterous Foods, and co-founder Vasiliki McInnes, who is an experienced leader and public health specialist, board members include Utsang Desai, the president of Sai-Ganesh Enterprises Ltd., which specializes in franchising and commercial construction across Canada.
Desai brings years of experience in franchise sales, restaurant operations, commercial construction, commercial real estate, and an extensive network of industry contacts.
Michael Fricker was CFO at Bento Sushi — North America's second-largest sushi brand with over 900 franchised locations.
Francois Arbour is a serial entrepreneur, technologist, and investor with more than 20 years of experience in digital marketing, e-commerce, and technology. Francois has invested in more than 80 startups, including companies like Oura Ring, Fightcamp, Palantir, and Instacart
Last but not least, Marc Goodman is the Vice President and General Manager at 7-Eleven, which oversees over 620 operating locations. The credentials of these board members speak for themselves.
Lastly, the following slide shows the company's capitalization. Of the 92.6 million shares in issue, 62% are owned by insiders, and 10% are owned by those close to management, which only leaves 26% or under 24 million shares in the float.
Turning now to the charts for Odd Burger, we see on the long-term 6-year chart that back in the Spring of 2021, a dramatic spike out of a long base pattern occurred that was followed by a reversal into a 2-year bear market that hit bottom in the Spring of 2023. Another large base pattern then formed that may be described as a hybrid between a Cup & Handle base and a Double Bottom since it has the characteristics of both.
In October of last year, the price started to ascend out of this base pattern on good volume, and while it looks like it has already broken out of it, we can also see that it has run into a zone of quite strong resistance at the underside of the large trading range that developed during a good part of 2022 which is currently acting to constrain the advance.
Looking at recent action in much more detail on a 7-month chart, we see that the strong advance that began in the middle of October has consisted of an initial vigorous impulse wave, or move in the direction of the primary trend, followed by a normal correction and then another impulse wave into the middle of January that was not so strong as the first, since upside volume was not as great hence the sagging Accumulation line and the MACD indicator did not reach the levels attained on the first impulse wave.
This diminution of upside vigor, which may be only temporary, could mean that we will see a longer period of consolidation around current levels before another significant upleg gains traction. Overall, however, this remains a very favorable picture, with the strong volume driving the October – November advance having long-term bullish implications and moving averages now in decidedly bullish alignment.
Odd Burger is therefore rated as a Strong Buy here with an awareness that it could consolidate in this area for a while longer, as buyers here can take advantage of the reaction of the past several weeks back to the zone of support shown near to the rising 50-day moving average.
The first target for the expected advance is CA$0.44 – CA$0.46. The second target is CA$0.60, with a higher target at CA$1.70 – CA$1.80.
Odd Burger Corp.'s website.
Odd Burger Corp. (ODD:TSX.V; ODDAF:OTC; IA9:FRA) closed for trading at CA$0.315, US$0.22455 on February 19, 2025.
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Important Disclosures:
- Odd Burger Corp. has a consulting relationship with Street Smart an affiliate of Streetwise Reports. Street Smart Clients pay a monthly consulting fee between US$8,000 and US$20,000.
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For this article, the Company has paid Street Smart, an affiliate of Streetwise Reports, US$3,000.
- Author Certification and Compensation: [Clive Maund of clivemaund.com] was retained and compensated as an independent contractor by Street Smart to write this article. Mr. Maund is a technical analyst who analyzes historical trading data and he received his UK Technical Analysts’ Diploma in 1989. The recommendations and opinions expressed in this content reflect the personal, independent, and objective views of the author regarding any and all of the companies discussed. No part of the compensation received by the author was, is, or will be directly or indirectly tied to the specific recommendations or views expressed.
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Clivemaund.com Disclosures
The above represents the opinion and analysis of Mr. Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction, and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks cannot be construed as a recommendation or solicitation to buy and sell securities.
