Del Taco Restaurants (NASDAQ:TACO) was upgraded by Zacks Investment Research from a "hold" rating to a "buy" rating in a research note issued on Thursday, Zacks.com reports. The firm presently has a $11.00 price objective on the restaurant operator's stock. Zacks Investment Research's price objective would indicate a potential upside of 12.99% from the stock's current price.
According to Zacks, "Del Taco is the second largest Mexican-American QSR chain by units in the United States, serving more than three million guests each week. At Del Taco, menu items are made to order with fresh ingredients, including Cheddar cheese grated from 40-pound blocks, handmade pico de gallo salsa, lard-free beans slow-cooked from scratch, and marinated chicken grilled in the restaurant. The menu includes classic Mexican dishes such as tacos, burritos, quesadillas and nachos as well as American favorites including hamburgers, crinkle-cut fries and shakes. The company was founded on June 30, 2015 and is headquartered in Lake Forest, CA. "
Other research analysts have also issued research reports about the company. CL King lifted their target price on Del Taco Restaurants from $11.00 to $13.00 and gave the stock a "buy" rating in a research report on Thursday, September 17th. Jefferies Financial Group lifted their target price on Del Taco Restaurants from $8.50 to $10.00 and gave the stock a "buy" rating in a research report on Wednesday, September 16th. BidaskClub upgraded Del Taco Restaurants from a "buy" rating to a "strong-buy" rating in a research report on Wednesday, October 28th. Finally, Wedbush lifted their target price on Del Taco Restaurants from $11.00 to $13.00 and gave the company an "outperform" rating in a research note on Wednesday, October 7th. Two equities research analysts have rated the stock with a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company's stock. The company presently has an average rating of "Buy" and a consensus price target of $11.50.
Shares of NASDAQ:TACO opened at $9.74 on Thursday. The company has a debt-to-equity ratio of 0.72, a quick ratio of 0.24 and a current ratio of 0.27. Del Taco Restaurants has a one year low of $2.45 and a one year high of $10.43. The business's 50-day simple moving average is $9.20 and its 200 day simple moving average is $8.20. The company has a market cap of $363.36 million, a P/E ratio of -1.70 and a beta of 1.79.
Del Taco Restaurants (NASDAQ:TACO) last posted its quarterly earnings data on Thursday, October 15th. The restaurant operator reported $0.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.06. Del Taco Restaurants had a positive return on equity of 5.28% and a negative net margin of 42.94%. The company had revenue of $120.78 million for the quarter, compared to the consensus estimate of $120.36 million. Analysts predict that Del Taco Restaurants will post 0.29 earnings per share for the current year.
In related news, Director Eileen A. Aptman bought 88,952 shares of the business's stock in a transaction dated Thursday, December 10th. The shares were bought at an average cost of $7.40 per share, with a total value of $658,244.80. Following the completion of the transaction, the director now directly owns 45,511 shares of the company's stock, valued at $336,781.40. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Ari B. Levy purchased 30,000 shares of the stock in a transaction dated Monday, November 2nd. The shares were acquired at an average price of $7.39 per share, for a total transaction of $221,700.00. Following the acquisition, the director now directly owns 444,716 shares of the company's stock, valued at approximately $3,286,451.24. The disclosure for this purchase can be found here. Insiders bought a total of 164,452 shares of company stock worth $1,224,965 in the last three months. Company insiders own 16.50% of the company's stock.
Hedge funds have recently modified their holdings of the company. BNP Paribas Arbitrage SA grew its holdings in shares of Del Taco Restaurants by 454.2% during the third quarter. BNP Paribas Arbitrage SA now owns 7,316 shares of the restaurant operator's stock valued at $60,000 after buying an additional 5,996 shares in the last quarter. Acadian Asset Management LLC purchased a new position in Del Taco Restaurants in the third quarter valued at about $74,000. Man Group plc purchased a new position in Del Taco Restaurants in the second quarter valued at about $87,000. Meeder Asset Management Inc. purchased a new position in Del Taco Restaurants in the third quarter valued at about $122,000. Finally, Cornerstone Investment Partners LLC purchased a new position in Del Taco Restaurants in the third quarter valued at about $138,000. Institutional investors and hedge funds own 67.28% of the company's stock.
About Del Taco Restaurants
Del Taco Restaurants, Inc develops, franchises, owns, and operates Del Taco quick-service Mexican-American restaurants in the United States. The company's restaurants offer Mexican inspired and American classic dishes. As of October 15, 2020, it operated approximately 600 restaurants across 15 states.
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