Wells Fargo analyst Zachary Fadem maintains $Brinker International (EAT.US)$ with a sell rating, and adjusts the target price from $50 to $85.
According to TipRanks data, the analyst has a success rate of 68.1% and a total average return of 13.7% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Brinker International (EAT.US)$'s main analysts recently are as follows:
The assessment of Brinker observed that comparable sales moderated at the beginning of the third quarter before finding equilibrium at reduced levels. It is noted that although all sectors are susceptible to the spending patterns of lower-income consumers, the quick-service segment's emphasis on value has proven to be efficacious. Additionally, it is mentioned that the trends of inflation and pricing appear to be diminishing.
As Q3 earnings reports for the restaurant industry commence in the final week of October, discussions primarily revolve around aligning expectations and preparations for the releases. The rationale for the increased market multiples, which subsequently lifted the valuation benchmarks for companies like McDonald's and Brinker, has been attributed to market expansion.
The firm acknowledges a previous misjudgment regarding Brinker, anticipating further positive adjustments in the future.
Note:
TipRanks, an independent third party, provides analysis data from financial analysts and calculates the Average Returns and Success Rates of the analysts' recommendations. The information presented is not an investment recommendation and is intended for informational purposes only.
Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
TipRanks provides a ranking of each analyst up to 5 stars, which is representative of all recommendations from the analyst. An analyst's past performance is evaluated on a scale of 1 to 5 stars, with more stars indicating better performance. The star level is determined by his/her total success rate and average return.
