Brinker International (NYSE:EAT) Stock Price Up 8.4% – Should You Buy?

Brinker International, Inc. (NYSE:EAT) was up 8.4% during mid-day trading on Tuesday . The stock traded as high as $166.79 and last traded at $167.50. Approximately 875,932 shares traded hands during trading, a decline of 41% from the average daily volume of 1,491,188 shares. The stock had previously closed at $154.53.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on EAT shares. Wedbush increased their target price on Brinker International from $140.00 to $185.00 and gave the stock a “neutral” rating in a research report on Thursday, January 30th. BMO Capital Markets raised their price objective on Brinker International from $105.00 to $125.00 and gave the stock a “market perform” rating in a report on Monday, January 27th. Northcoast Research raised Brinker International from a “neutral” rating to a “buy” rating and set a $215.00 price objective on the stock in a research note on Thursday, January 30th. Wall Street Zen raised shares of Brinker International from a “hold” rating to a “buy” rating in a research report on Friday, January 31st. Finally, JPMorgan Chase & Co. raised their price target on shares of Brinker International from $140.00 to $160.00 and gave the company a “neutral” rating in a report on Thursday, January 30th. Thirteen research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to MarketBeat.com, Brinker International has a consensus rating of “Hold” and an average price target of $141.14.

Brinker International Price Performance

The company has a debt-to-equity ratio of 4.96, a quick ratio of 0.27 and a current ratio of 0.33. The business’s fifty day simple moving average is $146.46 and its 200 day simple moving average is $144.51. The stock has a market cap of $7.33 billion, a price-to-earnings ratio of 28.59, a price-to-earnings-growth ratio of 0.49 and a beta of 1.66.

Brinker International (NYSE:EAT) last issued its quarterly earnings results on Tuesday, April 29th. The restaurant operator reported $2.66 EPS for the quarter, beating analysts’ consensus estimates of $2.48 by $0.18. Brinker International had a return on equity of 879.47% and a net margin of 5.45%. The firm had revenue of $1.43 billion during the quarter, compared to the consensus estimate of $1.38 billion. During the same quarter in the prior year, the business posted $1.24 earnings per share. Brinker International’s revenue for the quarter was up 27.2% on a year-over-year basis. Research analysts predict that Brinker International, Inc. will post 8.3 EPS for the current fiscal year.

Insider Transactions at Brinker International

In other news, COO Douglas N. Comings sold 2,350 shares of the business’s stock in a transaction dated Friday, May 9th. The shares were sold at an average price of $135.91, for a total value of $319,388.50. Following the completion of the sale, the chief operating officer now owns 20,591 shares of the company’s stock, valued at approximately $2,798,522.81. The trade was a 10.24% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Ramona Hood sold 777 shares of the stock in a transaction dated Wednesday, May 7th. The stock was sold at an average price of $135.23, for a total transaction of $105,073.71. Following the transaction, the director now directly owns 8,568 shares in the company, valued at $1,158,650.64. The trade was a 8.31% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 1.72% of the company’s stock.

Institutional Trading of Brinker International

Several institutional investors and hedge funds have recently bought and sold shares of the company. Entropy Technologies LP bought a new stake in shares of Brinker International in the 4th quarter valued at approximately $410,000. Stephens Inc. AR bought a new stake in Brinker International during the fourth quarter valued at $661,000. Ifrah Financial Services Inc. bought a new stake in Brinker International during the fourth quarter valued at $280,000. Principal Financial Group Inc. raised its holdings in shares of Brinker International by 5.4% during the fourth quarter. Principal Financial Group Inc. now owns 287,456 shares of the restaurant operator’s stock worth $38,028,000 after purchasing an additional 14,634 shares during the period. Finally, LMG Wealth Partners LLC bought a new position in shares of Brinker International in the 4th quarter worth about $400,000.

About Brinker International

Brinker International, Inc, together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally. It operates and franchises Chili's Grill & Bar and Maggiano's Little Italy restaurant brands.