Jack In The Box (NASDAQ:JACK) Price Target Cut to $15.00 by Analysts at Citigroup

Key Points

• Citigroup cut its price target on Jack In The Box from $24 to $15 and kept a "neutral" rating, a level that Citigroup says implies about a 22.5% upside from the current share price.
• Analyst views are mixed: the consensus rating is a "Hold" with a consensus price target of $21.65, while individual shops have recently moved targets both down (e.g., Morgan Stanley to $15, Stifel to $10) and up (Truist to $18).
• The company is showing weak fundamentals: shares traded around $12.25, market cap ~$233M, and latest quarter missed EPS estimates ($1.00 vs. $1.10), with negative net margin and year-over-year revenue decline of 5.8%.

Jack In The Box (NASDAQ:JACK - Get Free Report) had its price objective decreased by research analysts at Citigroup from $24.00 to $15.00 in a research note issued on Wednesday,Benzinga reports. The brokerage presently has a "neutral" rating on the restaurant operator's stock. Citigroup's target price indicates a potential upside of 22.49% from the company's current price.

JACK has been the subject of several other reports. Morgan Stanley cut their price target on shares of Jack In The Box from $19.00 to $15.00 and set an "equal weight" rating for the company in a report on Tuesday, April 21st. Sanford C. Bernstein set a $23.00 price target on shares of Jack In The Box in a report on Thursday, February 19th. Stifel Nicolaus cut their price target on shares of Jack In The Box from $18.00 to $10.00 and set a "hold" rating for the company in a report on Tuesday, March 31st. Wall Street Zen raised shares of Jack In The Box from a "sell" rating to a "hold" rating in a report on Saturday, February 21st. Finally, Truist Financial raised their price target on shares of Jack In The Box from $16.00 to $18.00 and gave the company a "hold" rating in a report on Thursday, January 8th. Four research 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. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $21.65.

Jack In The Box Stock Performance

Jack In The Box stock traded down $0.75 during mid-day trading on Wednesday, reaching $12.25. The company's stock had a trading volume of 494,346 shares, compared to its average volume of 740,500. Jack In The Box has a 12-month low of $8.91 and a 12-month high of $29.40. The company has a market capitalization of $233.11 million, a P/E ratio of -2.00, a PEG ratio of 0.74 and a beta of 1.32. The firm's fifty day moving average price is $13.06 and its two-hundred day moving average price is $17.05.

Jack In The Box (NASDAQ:JACK - Get Free Report) last released its quarterly earnings data on Wednesday, February 18th. The restaurant operator reported $1.00 earnings per share for the quarter, missing analysts' consensus estimates of $1.10 by ($0.10). Jack In The Box had a negative net margin of 8.69% and a negative return on equity of 7.12%. The business had revenue of $349.52 million during the quarter, compared to analysts' expectations of $355.73 million. During the same quarter in the prior year, the firm posted $1.86 earnings per share. The firm's quarterly revenue was down 5.8% on a year-over-year basis. On average, research analysts predict that Jack In The Box will post 3.36 EPS for the current fiscal year.

Hedge Funds Weigh In On Jack In The Box

Hedge funds have recently modified their holdings of the company. Allworth Financial LP increased its position in shares of Jack In The Box by 322.6% in the fourth quarter. Allworth Financial LP now owns 1,475 shares of the restaurant operator's stock valued at $28,000 after acquiring an additional 1,126 shares during the period. US Bancorp DE increased its position in shares of Jack In The Box by 96.7% in the third quarter. US Bancorp DE now owns 1,420 shares of the restaurant operator's stock valued at $28,000 after acquiring an additional 698 shares during the period. Northwestern Mutual Wealth Management Co. increased its position in shares of Jack In The Box by 3,604.0% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,852 shares of the restaurant operator's stock valued at $35,000 after acquiring an additional 1,802 shares during the period. Quent Capital LLC purchased a new position in shares of Jack In The Box in the third quarter valued at about $42,000. Finally, Hantz Financial Services Inc. increased its position in shares of Jack In The Box by 136.0% in the third quarter. Hantz Financial Services Inc. now owns 2,318 shares of the restaurant operator's stock valued at $46,000 after acquiring an additional 1,336 shares during the period. Hedge funds and other institutional investors own 99.79% of the company's stock.

About Jack In The Box

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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