NASDAQ
According to Zyberno, EUROPEAN WAX CENTER, INC. (EWCZ) shows a Value Trap signal — WEAK BUSINESS (42/100) with an apparent Margin of Safety of +97.9%, but a Brina Gap of -20.6% reveals the current price still assumes faster growth than the business can deliver.
According to Zyberno's DCF model, EUROPEAN WAX CENTER, INC. (EWCZ) trades at $5.82 against an estimated intrinsic value per share of $191.21 — a +97.9% Margin of Safety based on Owner Earnings of $49.12M TTM, projected at 43.3% growth for 10 years with a 2.5% terminal growth rate. The Brina Gap of -20.6% weakens the case: based on the company's ROIC (14.1%) and reinvestment rate (-112.1%), the business can fundamentally grow at -15.9% — but the current enterprise value implies the market expects 4.7%. This places EWCZ in the Value Trap quadrant of the Brina Matrix — a value-trap signal where the apparent discount is undermined by overpriced growth expectations. Zyberno's model translates this into a 5-year expected return of 211.4% annually.
Over the trailing twelve months, EWCZ generated $49.12M in Owner Earnings. Capital was deployed as follows: $6.09M returned via share buybacks, $2.17M invested in capital expenditures. Reinvestment rate: -112.1%. Owner Earnings have grown at 43.3% annually over the trailing five years using log-linear regression.