Brinker International, Inc. [NYSE:EAT]: Analyst Rating and Earnings
Equities traders often pay a significant amount of attention to what top market analysts have to say about a potential stock investment. In regards to Brinker International, Inc. [EAT], the most recent average analyst recommendation we can read comes from the fiscal quarter ending in June. On average, stock market experts give EAT an Hold rating. Its stock price has been found in the range of 49.40 to 130.52. This is compared to its latest closing price of $44.65.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Brinker International, Inc. [EAT] is sitting at 2.79. This is compared to 1 month ago, when its average rating was 2.79.
For the quarter ending in Dec-18 Brinker International, Inc. [EAT] generated $0.79 billion in sales. That’s 1.24% higher than the average estimate of $0.78 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep your eyes on this company’s next financial results, which are scheduled to be made public on Tue 7 May (In 83 Days).
Fundamental Analysis of Brinker International, Inc. [EAT]
Now let’s turn to look at profitability: with a current Operating Margin for Brinker International, Inc. [EAT] sitting at +8.25 and its Gross Margin at +12.65, this company’s Net Margin is now 4.70%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 31.85, and its Return on Invested Capital has reached 24.30%. Its Return on Assets is 8.97.
Similarly, its Total Debt to Total Capital is 191.11, while its Total Debt to Total Assets stands at 108.15.
What about valuation? This company’s Enterprise Value to EBITDA is 7.68 and its Total Debt to EBITDA Value is 3.67. The Enterprise Value to Sales for this firm is now 0.99, and its Total Debt to Enterprise Value stands at 0.40.
Shifting the focus to workforce efficiency, Brinker International, Inc. [EAT] earns $53,617 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 63.78 and its Total Asset Turnover is 2.23. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.20 and its Current Ratio is 0.36. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Let’s now turn our attention to trading performance: Brinker International, Inc. [EAT] has 37.17M shares outstanding, amounting to a total market cap of $1.66B. Its stock price has been found in the range of 32.03 to 54.14. At its current price, it has moved by -17.53% from its 52-week high, and it has moved 39.40% from its 52-week low.
This stock’s Beta value is currently 0.10, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 46.30. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Brinker International, Inc. [EAT] a Reliable Buy?
Shares of Brinker International, Inc. [EAT], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.