Jack In The Box Inc. (NASDAQ:JACK) Given Consensus Recommendation of "Hold" by Brokerages

Key Points

• Consensus "Hold": Eighteen analysts cover JACK with an average recommendation of Hold (2 sell, 12 hold, 4 buy) and a mean 1‑year price target of about $21.65.
• Weak quarterly results and profitability: The company missed the quarter (EPS $1.00 vs. $1.10 expected) and reported revenue down 5.8% y/y, with negative net margin and ROE; the stock trades near $12.60 (1‑yr range $8.91–$29.40) and has a negative P/E.
• High institutional ownership: Institutional investors own roughly 99.79% of JACK, with recent notable buying (e.g., JPMorgan increased its stake by 45.5%).

Jack In The Box Inc. (NASDAQ:JACK - Get Free Report) has earned an average recommendation of "Hold" from the eighteen research firms that are covering the company, Marketbeat Ratings reports. Two investment analysts have rated the stock with a sell rating, twelve have assigned a hold rating and four have assigned a buy rating to the company. The average 1-year price target among analysts that have covered the stock in the last year is $21.6471.

Several brokerages have weighed in on JACK. Stifel Nicolaus reduced their price objective on Jack In The Box from $18.00 to $10.00 and set a "hold" rating on the stock in a research note on Tuesday, March 31st. Weiss Ratings reissued a "sell (e+)" rating on shares of Jack In The Box in a research note on Tuesday, April 21st. The Goldman Sachs Group boosted their price objective on Jack In The Box from $15.00 to $17.00 and gave the stock a "sell" rating in a research note on Wednesday, January 28th. Wall Street Zen raised Jack In The Box from a "sell" rating to a "hold" rating in a research note on Saturday, February 21st. Finally, Zacks Research upgraded Jack In The Box from a "strong sell" rating to a "hold" rating in a research report on Monday, January 19th.

Jack In The Box Price Performance

Shares of NASDAQ JACK opened at $12.60 on Friday. The business's 50 day moving average is $12.76 and its two-hundred day moving average is $16.99. Jack In The Box has a 1-year low of $8.91 and a 1-year high of $29.40. The stock has a market capitalization of $239.90 million, a P/E ratio of -2.05, a PEG ratio of 0.69 and a beta of 1.32.

Jack In The Box (NASDAQ:JACK - Get Free Report) last issued its quarterly earnings data on Wednesday, February 18th. The restaurant operator reported $1.00 earnings per share for the quarter, missing the consensus estimate of $1.10 by ($0.10). Jack In The Box had a negative return on equity of 7.12% and a negative net margin of 8.69%.The company had revenue of $349.52 million for the quarter, compared to the consensus estimate of $355.73 million. During the same period in the previous year, the firm earned $1.86 earnings per share. The company's revenue was down 5.8% compared to the same quarter last year. As a group, equities research analysts anticipate that Jack In The Box will post 3.36 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of JACK. JPMorgan Chase & Co. lifted its holdings in Jack In The Box by 45.5% during the third quarter. JPMorgan Chase & Co. now owns 389,327 shares of the restaurant operator's stock worth $7,697,000 after buying an additional 121,752 shares during the period. Assenagon Asset Management S.A. purchased a new stake in Jack In The Box during the fourth quarter worth $2,043,000. SG Americas Securities LLC lifted its holdings in Jack In The Box by 1,990.4% during the fourth quarter. SG Americas Securities LLC now owns 117,457 shares of the restaurant operator's stock worth $2,226,000 after buying an additional 111,838 shares during the period. Ruffer LLP purchased a new stake in Jack In The Box during the fourth quarter worth $3,223,000. Finally, Callodine Capital Management LP lifted its holdings in Jack In The Box by 4.7% during the third quarter. Callodine Capital Management LP now owns 1,695,504 shares of the restaurant operator's stock worth $33,520,000 after buying an additional 75,572 shares during the period. Hedge funds and other institutional investors own 99.79% of the company's stock.

Jack In The Box Company Profile

Jack in the Box NASDAQ: JACK is a publicly traded quick-service restaurant company best known for its Jack in the Box brand of fast-food restaurants. Founded in 1951 by Robert O. Peterson and headquartered in San Diego, California, the company has operated for decades as a franchisor and operator of drive-thru and dine-in restaurants. Its business model combines company-owned locations with franchise arrangements, and the company focuses on building brand recognition through menu innovation, marketing and service convenience.

The company’s core offerings center on a broad fast-food menu that includes hamburgers (notably the Jumbo Jack), tacos, breakfast items, sandwiches, salads, sides and specialty limited-time items.

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