Red Robin Gourmet Burgers Stock Rating Lowered by Wunderlich (RRGB)
Red Robin Gourmet Burgers (NASDAQ:RRGB) was downgraded by equities research analysts at Wunderlich from a “buy” rating to a “hold” rating in a research note issued to investors on Tuesday, TheFlyOnTheWall.com reports. They currently have a $70.00 target price on the stock. Wunderlich’s price target would indicate a potential upside of 3.44% from the stock’s previous close.
The analysts wrote, “We are lowering our rating on Red Robin (RRGB) to Hold from Buy based on its improved valuation and appreciation its shares have enjoyed the past 12 months. We believe Red Robin management has done an exemplary job of improving its business, its operating systems and its pipeline of compelling new menu additions. However, given the 110% appreciation its shares have enjoyed over the past 12 months, we believe much of that work has been reflected in RRGB’s improved valuation, trading at a premium to most casual dining peers versus its previous historical discount. Having attained 96% of our price target juxtaposed with the potential risk from increased competition including new better-burger competitors, we have adopted a more cautious approach and have moved our rating to Hold from Buy.”
Red Robin Gourmet Burgers (NASDAQ:RRGB) traded down 0.95% on Tuesday, hitting $67.03. 36,371 shares of the company’s stock traded hands. Red Robin Gourmet Burgers has a 52 week low of $27.18 and a 52 week high of $69.13. The stock’s 50-day moving average is $61.3 and its 200-day moving average is $52.79. The company has a market cap of $959.7 million and a price-to-earnings ratio of 31.90.
Red Robin Gourmet Burgers (NASDAQ:RRGB) last issued its earnings data on Thursday, August 15th. The company reported $0.77 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.66 by $0.11. The company had revenue of $238.30 million for the quarter, compared to the consensus estimate of $239.61 million. During the same quarter in the prior year, the company posted $0.52 earnings per share. The company’s quarterly revenue was up 6.5% on a year-over-year basis. Analysts expect that Red Robin Gourmet Burgers will post $2.29 EPS for the current fiscal year.
A number of other analysts have also recently weighed in on RRGB. Analysts at Jefferies Group upgraded shares of Red Robin Gourmet Burgers (NASDAQ:RRGB) from a “hold” rating to a “buy” rating in a research note to investors on Tuesday, August 20th. They now have a $72.00 price target on the stock, up previously from $53.00. Separately, analysts at Zacks reiterated a “neutral” rating on shares of Red Robin Gourmet Burgers (NASDAQ:RRGB) in a research note to investors on Monday, August 19th. They now have a $65.00 price target on the stock. Finally, analysts at Raymond James raised their price target on shares of Red Robin Gourmet Burgers (NASDAQ:RRGB) from $70.00 to $74.00 in a research note to investors on Friday, August 16th.
One analyst has rated the stock with a sell rating, nine have given a hold rating and three have assigned a buy rating to the company’s stock. The stock currently has an average rating of “Hold” and a consensus target price of $59.25.
Red Robin Gourmet Burgers, Inc (NASDAQ:RRGB) together with its subsidiaries, is a casual dining restaurant chain focused on serving gourmet burgers.
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