Kura Sushi USA, Inc. Class A (KRUS)

In the past six months, Benchmark lowered its price target for KRUS to $85 from $102 due to slowing customer traffic, while maintaining a "Buy" rating, and Barclays reduced its price target from $75 to $67, keeping an "Equal-Weight" rating. Shares fell by 3.8% following Benchmark's price target reduction, and a previous stock drop was linked to concerns over potential tariffs on Chinese products. Kura Sushi USA announced better-than-expected fiscal third-quarter 2025 earnings, with total sales increasing by 17.3% year-on-year to $73.97 million, and it raised its full-year revenue guidance, however, comparable restaurant sales decreased by 2.1% for the same quarter, primarily due to a reduction in traffic. A Seeking Alpha article downgraded Kura Sushi to a "sell" rating, citing tariffs, waning consumer confidence, a 5.3% year-over-year decline in comparable sales in Q2, and an 8.5% drop in customer traffic.

Kura Sushi USA's business is susceptible to seasonal fluctuations that can impact operating results and food costs. The summer months may represent a period of heightened demand or strategic focus for the company.

Kura Sushi USA, Inc. is a technology-enabled Japanese restaurant concept offering a revolving sushi service model. It operates in the Foodservice sector and Restaurants industry, providing a menu of over 140 sushi items, side dishes, and desserts made with high-quality ingredients free from artificial additives.

Kura Sushi USA, Inc. operates approximately 79 locations across 22 states and Washington D.C. It is a subsidiary of Kura Sushi, Inc., which has 543 locations in Japan and 56 in Taiwan.

Kura Sushi USA's brand reputation is centered on providing an authentic Japanese dining experience through its innovative revolving sushi service model, emphasizing fresh, premium ingredients without artificial additives. The company uses technology to enhance the dining experience, and collaborations with popular characters positively impact its appeal. Increasing consumer interest in authentic Japanese cuisine and technology-driven dining further supports its brand positioning.

Kura Sushi, Inc. holds 76% of the voting power in Kura Sushi USA, Inc. Institutional investors and hedge funds collectively own approximately 65.49% of Kura Sushi USA's shares. Major institutional shareholders include Fmr Llc, Stephens Inc /ar/, 12 West Capital Management LP, BlackRock, Inc., Vanguard Group Inc, Hood River Capital Management LLC, Fred Alger Management, Llc, Ameriprise Financial Inc, and Granahan Investment Management Inc/ma. Voya Investment Management Llc increased its position as of September 30, 2025.