Jack In The Box (NASDAQ:JACK) Price Target Cut to $12.00 by Analysts at TD Cowen

Key Points

• TD Cowen cut its price target on Jack In The Box from $16.00 to $12.00 and maintains a "hold" rating, implying about a 5.45% upside from the prior close.
• Analyst views are mixed but skew toward caution—12 Hold, 4 Buy and 2 Sell—with an average price target of $22.41 and individual targets ranging from $11 (Mizuho) to $19 (Morgan Stanley) and higher.
• Operationally, JACK recently missed quarterly estimates (EPS $1.00 vs. $1.10 expected) and reported a negative net margin and ROE, while shares trade near $11.38 and the company has a market cap of about $216.7 million.

Jack In The Box (NASDAQ:JACK - Get Free Report) had its price target reduced by TD Cowen from $16.00 to $12.00 in a research report issued to clients and investors on Tuesday,Benzinga reports. The brokerage presently has a "hold" rating on the restaurant operator's stock. TD Cowen's target price suggests a potential upside of 5.45% from the stock's previous close.

Other equities research analysts have also issued reports about the stock. Zacks Research upgraded shares of Jack In The Box from a "strong sell" rating to a "hold" rating in a report on Monday, January 19th. Wall Street Zen upgraded shares of Jack In The Box from a "sell" rating to a "hold" rating in a report on Saturday, February 21st. Weiss Ratings reiterated a "sell (e+)" rating on shares of Jack In The Box in a report on Thursday, January 22nd. Mizuho cut their target price on shares of Jack In The Box from $18.00 to $11.00 and set a "neutral" rating on the stock in a report on Thursday, April 2nd. Finally, Morgan Stanley cut their target price on shares of Jack In The Box from $20.00 to $19.00 and set an "equal weight" rating on the stock in a report on Tuesday, January 20th. Four analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $22.41.

Jack In The Box Price Performance

Shares of JACK stock opened at $11.38 on Tuesday. The stock has a market cap of $216.68 million, a PE ratio of -1.85, a price-to-earnings-growth ratio of 0.63 and a beta of 1.32. The stock has a 50-day moving average of $14.95 and a 200-day moving average of $17.56. Jack In The Box has a one year low of $8.91 and a one year high of $29.40.

Jack In The Box (NASDAQ:JACK - Get Free Report) last announced its quarterly earnings results on Wednesday, February 18th. The restaurant operator reported $1.00 EPS for the quarter, missing analysts' consensus estimates of $1.10 by ($0.10). The company had revenue of $349.52 million during the quarter, compared to the consensus estimate of $355.73 million. Jack In The Box had a negative net margin of 8.69% and a negative return on equity of 7.12%. The business's revenue was down 5.8% compared to the same quarter last year. During the same period last year, the company earned $1.86 earnings per share. As a group, research analysts anticipate that Jack In The Box will post 5.33 earnings per share for the current year.

Insider Activity at Jack In The Box

In related news, CEO Lance F. Tucker sold 3,150 shares of the firm's stock in a transaction on Wednesday, January 28th. The shares were sold at an average price of $21.83, for a total transaction of $68,764.50. Following the sale, the chief executive officer directly owned 204,068 shares in the company, valued at $4,454,804.44. This trade represents a 1.52% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 1.40% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Jack In The Box

A number of hedge funds and other institutional investors have recently made changes to their positions in JACK. Marshall Wace LLP raised its holdings in shares of Jack In The Box by 192.9% during the third quarter. Marshall Wace LLP now owns 744,141 shares of the restaurant operator's stock worth $14,712,000 after acquiring an additional 490,071 shares during the period. Windward Management LP acquired a new stake in shares of Jack In The Box during the fourth quarter worth $7,394,000. Janus Henderson Group PLC acquired a new stake in shares of Jack In The Box during the fourth quarter worth $5,591,000. Nantahala Capital Management LLC raised its holdings in shares of Jack In The Box by 44.3% during the fourth quarter. Nantahala Capital Management LLC now owns 865,990 shares of the restaurant operator's stock worth $16,411,000 after acquiring an additional 265,990 shares during the period. Finally, Readystate Asset Management LP acquired a new stake in shares of Jack In The Box during the fourth quarter worth $4,268,000. 99.79% of the stock is currently owned by institutional investors and hedge funds.

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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