Investors were pleased with Papa Murphy’s for the first year after its 2014 initial public offering at $11 per share. (Links to an external site.) Its stock appreciated and briefly broke $20 in June 2015. But the excitement quickly dwindled. After losing three-quarters of its value over the next year, its stock hovered around $5 per share. Then, in 2019, MTY Group, a Canadian firm that owns Cold Stone Creamery and other brands, bought the company for a mere $6.45 per share. (Links to an external site.) During the same period, Domino’s Pizza’s stock appreciated from $79 to $279. And until 2017, Papa John’s stock was also flying high. So what is wrong with Papa Murphy’s? More specifically, (a) what is the most significant problem that is causing Papa Murphy’s poor performance, and (b) what should they do to fix the problem? Use profitability analysis to help you identify Papa Murphy's most significant problem, and then determine a strategic action that may improve Papa Murphy's performance.