Dine Brands Global, Inc. (NYSE:DIN) Given Average Recommendation of "Reduce" by Brokerages

Key Points

• Analysts hold a cautious view: Dine Brands Global has a consensus “Reduce” rating, with one sell and eight hold recommendations. The average 12-month price target is $32.83, above the reported $28.27 share price.
• Recent results were mixed: The company reported quarterly EPS of $1.16, below the $1.20 consensus estimate, while revenue rose 4.4% year over year to $240.9 million.
• Institutional ownership remains high: Hedge funds and other institutional investors own 92.83% of DIN. The company also declared a $0.19 quarterly dividend, equivalent to a 2.7% annualized yield, though its payout ratio is elevated at 161.7%.

Dine Brands Global, Inc. (NYSE:DIN - Get Free Report) has been assigned a consensus rating of "Reduce" from the nine brokerages that are presently covering the company, MarketBeat reports. One equities research analyst has rated the stock with a sell recommendation and eight have issued a hold recommendation on the company. The average 1-year price target among analysts that have updated their coverage on the stock in the last year is $32.8333.

A number of research firms recently weighed in on DIN. Zacks Research cut Dine Brands Global from a "hold" rating to a "strong sell" rating in a report on Tuesday, August 4th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Dine Brands Global in a report on Friday, September 4th. Benchmark reiterated a "hold" rating on shares of Dine Brands Global in a research report on Monday, August 10th. Freedom Broker upgraded Dine Brands Global to a "hold" rating in a research report on Monday, August 24th. Finally, Mizuho set a $38.00 target price on Dine Brands Global in a report on Thursday, August 6th.

Hedge Funds Weigh In On Dine Brands Global

Several large investors have recently added to or reduced their stakes in DIN. AdvisorShares Investments LLC lifted its position in shares of Dine Brands Global by 8.2% in the 4th quarter. AdvisorShares Investments LLC now owns 3,758 shares of the restaurant operator's stock worth $121,000 after buying an additional 284 shares during the last quarter. Quadrant Capital Group LLC grew its holdings in shares of Dine Brands Global by 8.8% during the fourth quarter. Quadrant Capital Group LLC now owns 3,821 shares of the restaurant operator's stock valued at $123,000 after purchasing an additional 309 shares during the last quarter. Russell Investments Group Ltd. grew its holdings in shares of Dine Brands Global by 1.2% during the fourth quarter. Russell Investments Group Ltd. now owns 28,282 shares of the restaurant operator's stock valued at $909,000 after purchasing an additional 326 shares during the last quarter. Garton & Associates Financial Advisors LLC acquired a new stake in shares of Dine Brands Global during the 4th quarter worth approximately $26,000. Finally, Public Employees Retirement System of Ohio bought a new position in Dine Brands Global during the 2nd quarter worth $35,000. 92.83% of the stock is currently owned by hedge funds and other institutional investors.

Dine Brands Global Stock Down 3.0%

Shares of DIN opened at $28.27 on Friday. The company has a 50-day simple moving average of $34.55 and a 200-day simple moving average of $31.49. The company has a market capitalization of $357.89 million, a PE ratio of 60.15 and a beta of 0.94. Dine Brands Global has a 52-week low of $22.85 and a 52-week high of $39.68.

Dine Brands Global (NYSE:DIN - Get Free Report) last released its quarterly earnings data on Wednesday, August 5th. The restaurant operator reported $1.16 EPS for the quarter, missing analysts' consensus estimates of $1.20 by ($0.04). Dine Brands Global had a negative return on equity of 20.34% and a net margin of 0.75%.The company had revenue of $240.90 million for the quarter, compared to analysts' expectations of $237.28 million. During the same period in the prior year, the firm posted $1.17 EPS. The firm's quarterly revenue was up 4.4% on a year-over-year basis. On average, research analysts anticipate that Dine Brands Global will post 4.25 EPS for the current year.

Dine Brands Global Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Shareholders of record on Wednesday, September 16th will be given a dividend of $0.19 per share. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a $0.76 annualized dividend and a yield of 2.7%. Dine Brands Global's dividend payout ratio (DPR) is presently 161.70%.

Dine Brands Global Company Profile

Dine Brands Global, Inc is a leading franchisor and operator of full‐service restaurants in the casual dining and breakfast segments. The company's primary brands include IHOP®, known for its wide variety of breakfast offerings and pancakes, and Applebee's Neighborhood Grill + Bar®, a casual dining concept featuring a range of American entrées, appetizers and cocktails. Through its franchise model, Dine Brands works with independent restaurant owners to develop, market and support both domestic and international locations.

The origins of Dine Brands Global date back to the founding of the International House of Pancakes (IHOP) in 1958 in California.

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