Brinker International (NYSE:EAT) Releases Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• Brinker International reported $2.49 EPS for the quarter, exceeding expectations by $0.02 EPS, with a revenue of $1.46 billion, surpassing the consensus estimate of $1.42 billion.
• The company's net margin stood at 7.12%, and it updated its FY 2026 guidance to 9.900-10.50 EPS.
• Shares of Brinker International rose 0.3% to $157.83 following the earnings announcement, with multiple firms increasing their target price for the stock.

Brinker International (NYSE:EAT - Get Free Report) issued its quarterly earnings results on Wednesday. The restaurant operator reported $2.49 EPS for the quarter, topping analysts' consensus estimates of $2.47 by $0.02, Zacks reports. Brinker International had a net margin of 7.12% and a return on equity of 211.86%. The business had revenue of $1.46 billion during the quarter, compared to the consensus estimate of $1.42 billion. During the same period in the previous year, the firm posted $1.61 earnings per share. The company's quarterly revenue was up 21.0% compared to the same quarter last year. Brinker International updated its FY 2026 guidance to 9.900-10.50 EPS.

Brinker International Stock Up 0.3%

Shares of NYSE:EAT traded up $0.45 during midday trading on Thursday, reaching $157.83. The company had a trading volume of 1,812,302 shares, compared to its average volume of 1,407,687. The company has a debt-to-equity ratio of 1.15, a current ratio of 0.31 and a quick ratio of 0.23. The stock's fifty day moving average price is $168.26 and its 200-day moving average price is $158.40. The stock has a market capitalization of $7.02 billion, a P/E ratio of 18.99, a PEG ratio of 0.36 and a beta of 1.68. Brinker International has a one year low of $65.26 and a one year high of $192.21.

Wall Street Analyst Weigh In

Several research firms recently issued reports on EAT. Evercore ISI raised their target price on shares of Brinker International from $180.00 to $190.00 and gave the stock an "in-line" rating in a research report on Thursday. Barclays raised their target price on shares of Brinker International from $166.00 to $170.00 and gave the stock an "equal weight" rating in a research report on Thursday. UBS Group raised their target price on shares of Brinker International from $155.00 to $165.00 and gave the stock a "neutral" rating in a research report on Thursday. Wells Fargo & Company raised their target price on shares of Brinker International from $150.00 to $165.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 17th. Finally, Morgan Stanley raised their target price on shares of Brinker International from $149.00 to $161.00 and gave the stock an "equal weight" rating in a research report on Thursday. Thirteen investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $171.41.

Insider Activity

In related news, Director Joseph Michael Depinto sold 10,000 shares of Brinker International stock in a transaction on Thursday, June 5th. The shares were sold at an average price of $170.36, for a total value of $1,703,600.00. Following the completion of the sale, the director owned 99,297 shares in the company, valued at approximately $16,916,236.92. The trade was a 9.15% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.72% of the company's stock.

Institutional Trading of Brinker International

Institutional investors have recently added to or reduced their stakes in the business. Canada Pension Plan Investment Board boosted its holdings in shares of Brinker International by 23.8% during the second quarter. Canada Pension Plan Investment Board now owns 119,300 shares of the restaurant operator's stock valued at $21,513,000 after acquiring an additional 22,900 shares during the period. California Public Employees Retirement System boosted its holdings in shares of Brinker International by 28.3% during the second quarter. California Public Employees Retirement System now owns 84,474 shares of the restaurant operator's stock valued at $15,233,000 after acquiring an additional 18,627 shares during the period. Baird Financial Group Inc. acquired a new stake in Brinker International in the second quarter worth about $3,222,000. Sei Investments Co. lifted its holdings in Brinker International by 59.3% in the second quarter. Sei Investments Co. now owns 40,253 shares of the restaurant operator's stock worth $7,257,000 after purchasing an additional 14,979 shares during the period. Finally, Alliancebernstein L.P. lifted its holdings in Brinker International by 13.7% in the second quarter. Alliancebernstein L.P. now owns 87,360 shares of the restaurant operator's stock worth $15,754,000 after purchasing an additional 10,535 shares during the period.

Brinker International Company Profile

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.

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