Brinker International (NYSE:EAT) Trading Down 4.9% - Here's What Happened

Key Points

• Shares fell 4.9% mid-day to about $150.62, with only ~155,489 shares traded—an 87% decline from the stock's average daily volume.
• Wall Street is broadly positive with a consensus rating of "Moderate Buy", 15 Buys versus 6 Holds and an average price target of $185.68, implying significant upside from current levels.
• Brinker beat expectations last quarter (EPS $2.87 vs. $2.53; revenue $1.45B vs. $1.41B) and analysts project roughly 10.69 EPS for the year, while insiders sold about 97,678 shares (~$15.7M) over the past three months.

Shares of Brinker International, Inc. (NYSE:EAT - Get Free Report) were down 4.9% during mid-day trading on Tuesday . The stock traded as low as $151.81 and last traded at $150.6240. Approximately 155,489 shares were traded during trading, a decline of 87% from the average daily volume of 1,185,718 shares. The stock had previously closed at $158.31.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on EAT shares. KeyCorp raised Brinker International from a "sector weight" rating to an "overweight" rating and set a $177.00 price target on the stock in a research report on Thursday, April 2nd. TD Cowen dropped their price target on Brinker International from $192.00 to $188.00 and set a "buy" rating on the stock in a research report on Wednesday, April 15th. BMO Capital Markets upped their price target on Brinker International from $140.00 to $170.00 and gave the company a "market perform" rating in a research report on Tuesday, January 6th. JPMorgan Chase & Co. increased their target price on Brinker International from $187.00 to $190.00 and gave the stock an "overweight" rating in a research report on Monday, March 16th. Finally, Morgan Stanley increased their target price on Brinker International from $200.00 to $205.00 and gave the stock an "overweight" rating in a research report on Thursday, January 29th. Fifteen research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $185.68.

Brinker International Price Performance

The company has a debt-to-equity ratio of 1.19, a current ratio of 0.36 and a quick ratio of 0.31. The company has a 50-day simple moving average of $148.08 and a two-hundred day simple moving average of $143.09. The stock has a market capitalization of $6.37 billion, a price-to-earnings ratio of 14.80, a price-to-earnings-growth ratio of 1.12 and a beta of 1.34.

Brinker International (NYSE:EAT - Get Free Report) last issued its earnings results on Wednesday, January 28th. The restaurant operator reported $2.87 earnings per share for the quarter, topping the consensus estimate of $2.53 by $0.34. Brinker International had a return on equity of 134.92% and a net margin of 7.98%.The firm had revenue of $1.45 billion for the quarter, compared to analyst estimates of $1.41 billion. During the same period last year, the company earned $2.80 earnings per share. The firm's revenue for the quarter was up 6.9% on a year-over-year basis. Brinker International has set its FY 2026 guidance at 1.045-10.850 EPS. On average, equities research analysts predict that Brinker International, Inc. will post 10.69 earnings per share for the current year.

Insider Transactions at Brinker International

In other news, Director Ramona Hood sold 400 shares of the firm's stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $161.32, for a total transaction of $64,528.00. Following the transaction, the director directly owned 9,066 shares of the company's stock, valued at approximately $1,462,527.12. This trade represents a 4.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director James C. Katzman sold 447 shares of the firm's stock in a transaction on Wednesday, February 11th. The shares were sold at an average price of $164.19, for a total value of $73,392.93. Following the transaction, the director directly owned 28,994 shares in the company, valued at $4,760,524.86. This trade represents a 1.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 97,678 shares of company stock valued at $15,700,372 over the last three months. 1.43% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Transamerica Financial Advisors LLC increased its holdings in shares of Brinker International by 570.4% during the fourth quarter. Transamerica Financial Advisors LLC now owns 181 shares of the restaurant operator's stock valued at $26,000 after purchasing an additional 154 shares during the period. Caitong International Asset Management Co. Ltd acquired a new position in shares of Brinker International during the third quarter valued at $25,000. Salomon & Ludwin LLC acquired a new position in shares of Brinker International during the third quarter valued at $26,000. Allworth Financial LP increased its holdings in shares of Brinker International by 58.5% during the third quarter. Allworth Financial LP now owns 225 shares of the restaurant operator's stock valued at $28,000 after purchasing an additional 83 shares during the period. Finally, First Horizon Corp increased its holdings in shares of Brinker International by 116.0% during the fourth quarter. First Horizon Corp now owns 337 shares of the restaurant operator's stock valued at $48,000 after purchasing an additional 181 shares during the period.

Brinker International Company Profile

Brinker International, Inc NYSE: EAT is a leading global operator of casual dining restaurants. The company's portfolio is anchored by its flagship Chili's® Grill & Bar concept and Maggiano's® Little Italy full‐service restaurants, offering a range of American‐style menu items, handcrafted cocktails and family‐friendly dining experiences. Through dine‐in, takeout, delivery and catering services, Brinker seeks to meet consumer preferences across multiple channels.

The Chili's brand features signature items such as baby back ribs, burgers and fajitas alongside a rotating selection of limited‐time offerings and seasonal beverages.

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