We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Brinker International (EAT) Stock Sinks As Market Gains: Here's Why
Read MoreHide Full Article
Brinker International (EAT - Free Report) closed the most recent trading day at $199.56, moving -5.25% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.14% for the day. Elsewhere, the Dow saw an upswing of 0.61%, while the tech-heavy Nasdaq appreciated by 1.69%.
The operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy's shares have seen a decrease of 9.79% over the last month, not keeping up with the Retail-Wholesale sector's loss of 8.01% and the S&P 500's loss of 2.85%.
The upcoming earnings release of Brinker International will be of great interest to investors. It is anticipated that the company will report an EPS of $2.46, marking a 27.46% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.45 billion, indicating a 7.26% increase compared to the same quarter of the previous year.
EAT's full-year Zacks Consensus Estimates are calling for earnings of $12.88 per share and revenue of $6.28 billion. These results would represent year-over-year changes of +19.93% and +8.15%, respectively.
Any recent changes to analyst estimates for Brinker International should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.86% lower. Brinker International is currently a Zacks Rank #3 (Hold).
In terms of valuation, Brinker International is presently being traded at a Forward P/E ratio of 15.8. This expresses a discount compared to the average Forward P/E of 20.32 of its industry.
We can also see that EAT currently has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.69 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
View the Zacks #1 Rank List
Image: Bigstock
Brinker International (EAT) Stock Sinks As Market Gains: Here's Why
Brinker International (EAT - Free Report) closed the most recent trading day at $199.56, moving -5.25% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.14% for the day. Elsewhere, the Dow saw an upswing of 0.61%, while the tech-heavy Nasdaq appreciated by 1.69%.
The operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy's shares have seen a decrease of 9.79% over the last month, not keeping up with the Retail-Wholesale sector's loss of 8.01% and the S&P 500's loss of 2.85%.
The upcoming earnings release of Brinker International will be of great interest to investors. It is anticipated that the company will report an EPS of $2.46, marking a 27.46% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.45 billion, indicating a 7.26% increase compared to the same quarter of the previous year.
EAT's full-year Zacks Consensus Estimates are calling for earnings of $12.88 per share and revenue of $6.28 billion. These results would represent year-over-year changes of +19.93% and +8.15%, respectively.
Any recent changes to analyst estimates for Brinker International should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.86% lower. Brinker International is currently a Zacks Rank #3 (Hold).
In terms of valuation, Brinker International is presently being traded at a Forward P/E ratio of 15.8. This expresses a discount compared to the average Forward P/E of 20.32 of its industry.
We can also see that EAT currently has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.69 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.