The Goldman Sachs Group Initiates Coverage on Jersey Mike's (NYSE:JMKE)

Key Points

• Goldman Sachs initiated coverage of Jersey Mike’s with a “neutral” rating and a $26 price target, implying 10.41% upside from the prior close.
• Analyst sentiment is broadly positive: the stock has a “Moderate Buy” consensus rating and an average price target of $28.32, though Wells Fargo issued a more cautious “equal weight” rating.
• Jersey Mike’s shares opened at $23.55 and were down 1.3%; meanwhile, Abu Dhabi Investment Authority sold 4.4 million shares, while the CFO purchased 3,000 shares.

Equities researchers at The Goldman Sachs Group assumed coverage on shares of Jersey Mike's (NYSE:JMKE - Get Free Report) in a research note issued to investors on Tuesday,Benzinga reports. The brokerage set a "neutral" rating and a $26.00 price target on the stock. The Goldman Sachs Group's price target would suggest a potential upside of 10.41% from the company's previous close.

Other analysts also recently issued reports about the stock. TD Cowen began coverage on shares of Jersey Mike's in a research note on Monday. They issued a "buy" rating and a $26.00 price target for the company. Bank of America started coverage on Jersey Mike's in a research note on Monday. They set a "buy" rating and a $27.00 price objective on the stock. Royal Bank Of Canada began coverage on Jersey Mike's in a report on Monday. They issued an "outperform" rating and a $28.00 price objective on the stock. Melius Research initiated coverage on Jersey Mike's in a research note on Thursday, July 30th. They issued a "buy" rating and a $30.00 target price for the company. Finally, Wells Fargo & Company initiated coverage on Jersey Mike's in a research report on Monday. They set an "equal weight" rating and a $25.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and four have given a Hold rating to the company. According to data from MarketBeat, Jersey Mike's currently has an average rating of "Moderate Buy" and an average target price of $28.32.

Jersey Mike's Stock Down 1.3%

Shares of Jersey Mike's stock opened at $23.55 on Tuesday. Jersey Mike's has a 52-week low of $20.63 and a 52-week high of $24.99.

Insiders Place Their Bets

In other news, major shareholder Abu Dhabi Investment Authority sold 4,411,064 shares of Jersey Mike's stock in a transaction that occurred on Friday, July 31st. The stock was sold at an average price of $21.85, for a total value of $96,381,748.40. Following the sale, the insider directly owned 36,114,272 shares in the company, valued at approximately $789,096,843.20. This trade represents a 10.88% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Michele Allen purchased 3,000 shares of the business's stock in a transaction that occurred on Friday, July 31st. The stock was bought at an average price of $23.00 per share, for a total transaction of $69,000.00. Following the acquisition, the chief financial officer owned 1,500 shares of the company's stock, valued at $34,500. This represents a -200.00% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders have acquired 31,584 shares of company stock worth $726,432.

More Jersey Mike's News

Here are the key news stories impacting Jersey Mike's this week:

• Positive Sentiment: Analyst sentiment remains strongly favorable. Jefferies upgraded Jersey Mike’s to “strong buy,” Royal Bank of Canada raised its view to “moderate buy,” and Wells Fargo initiated an upgrade to “hold.” The latest calls add to a large group of firms rating the stock Buy, Outperform, or Overweight. Zacks.com analyst rating coverage
• Positive Sentiment: Initial post-IPO coverage from major banks included price targets ranging from $27 to $29, with UBS at $28 and Bank of America at $27. Loop Capital issued the most aggressive target at $40, indicating that analysts see meaningful upside from the IPO price. Jersey Mike's gets initial Buy ratings across major banks
• Positive Sentiment: Analysts cited Jersey Mike’s franchise-heavy, high-margin operating model, continued same-store sales opportunities, and substantial domestic and international unit-growth potential. Some analysts believe the chain could eventually challenge Subway’s position as the leading sandwich chain. Jersey Mike's could overtake Subway as top sandwich chain
• Neutral Sentiment: Wells Fargo’s “hold” rating provides a more cautious counterpoint to the otherwise optimistic coverage, suggesting that some investors may wait for additional public-company results before assigning a higher valuation. Zacks.com rating update

Jersey Mike's Company Profile

We are Jersey Mike's: A high-growth franchisor of fast casual, submarine-style sandwich restaurants specializing in authentic, hand-crafted, craveable subs. Built over 70 years on one uncompromising belief – that a truly great sub sandwich can change your day and that a truly great brand changes its community – Jersey Mike's is now one of the largest and fastest-growing limited-service restaurant brands based on U.S. systemwide sales and unit growth, with 3,300 stores across all 50 states and two countries – nearly all of which are franchised.

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