Bloomin' Brands (NASDAQ:BLMN) Stock Price Down 5% - Time to Sell?

Key Points

• Bloomin’ Brands shares fell 5% to about $9.83 in light trading, with volume roughly 90% below the average daily level.
• Analysts remain cautious: all 11 tracked analysts rate the stock a Hold, with a consensus price target of $10.60, although individual targets range from $8.75 to $13.00.
• The company exceeded quarterly expectations with $0.39 EPS versus $0.29 expected and $1.02 billion in revenue, but its low margins, high leverage, and weak liquidity remain notable risks.

Bloomin' Brands, Inc. (NASDAQ:BLMN - Get Free Report) fell 5% on Wednesday. The stock traded as low as $9.87 and last traded at $9.8250. Approximately 249,143 shares changed hands during trading, a decline of 90% from the average daily volume of 2,486,458 shares. The stock had previously closed at $10.34.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on BLMN shares. Deutsche Bank Aktiengesellschaft restated a "hold" rating and set a $11.00 price objective on shares of Bloomin' Brands in a research report on Thursday, August 6th. JPMorgan Chase & Co. upgraded Bloomin' Brands from an "underweight" rating to a "neutral" rating and lifted their target price for the stock from $6.00 to $13.00 in a research report on Tuesday, September 29th. Citigroup lowered their target price on shares of Bloomin' Brands from $9.50 to $8.75 and set a "neutral" rating for the company in a research note on Friday, July 24th. Veritas Investment Research set a $13.00 price target on shares of Bloomin' Brands in a report on Tuesday, September 29th. Finally, Morgan Stanley raised their price target on shares of Bloomin' Brands from $8.00 to $12.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 6th. Eleven investment analysts have rated the stock with a Hold rating. According to data from MarketBeat.com, Bloomin' Brands currently has an average rating of "Hold" and a consensus target price of $10.60.

Bloomin' Brands Trading Down 3.0%

The stock's 50 day moving average is $9.39 and its two-hundred day moving average is $8.40. The company has a market capitalization of $858.43 million, a PE ratio of 32.34, a price-to-earnings-growth ratio of 2.60 and a beta of 1.26. The company has a quick ratio of 0.18, a current ratio of 0.25 and a debt-to-equity ratio of 1.62.

Bloomin' Brands (NASDAQ:BLMN - Get Free Report) last issued its earnings results on Wednesday, August 5th. The restaurant operator reported $0.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.10. Bloomin' Brands had a net margin of 0.70% and a return on equity of 28.95%. The company had revenue of $1.02 billion for the quarter, compared to analysts' expectations of $1 billion. During the same period in the prior year, the business earned $0.32 EPS. The firm's quarterly revenue was up 1.3% on a year-over-year basis. Bloomin' Brands has set its FY 2026 guidance at 0.900-1.000 EPS and its Q3 2026 guidance at -0.270--0.220 EPS. As a group, sell-side analysts predict that Bloomin' Brands, Inc. will post 0.96 EPS for the current fiscal year.

Hedge Funds Weigh In On Bloomin' Brands

A number of large investors have recently bought and sold shares of BLMN. HighTower Advisors LLC grew its position in shares of Bloomin' Brands by 7.8% in the 2nd quarter. HighTower Advisors LLC now owns 24,844 shares of the restaurant operator's stock worth $227,000 after buying an additional 1,808 shares during the last quarter. Nisa Investment Advisors LLC lifted its position in Bloomin' Brands by 148.2% during the third quarter. Nisa Investment Advisors LLC now owns 5,265 shares of the restaurant operator's stock valued at $41,000 after acquiring an additional 3,144 shares during the last quarter. Allworth Financial LP boosted its stake in Bloomin' Brands by 146.3% in the second quarter. Allworth Financial LP now owns 6,069 shares of the restaurant operator's stock valued at $55,000 after acquiring an additional 3,605 shares in the last quarter. IFP Advisors Inc grew its holdings in Bloomin' Brands by 357.4% in the second quarter. IFP Advisors Inc now owns 5,022 shares of the restaurant operator's stock worth $46,000 after purchasing an additional 3,924 shares during the last quarter. Finally, State of Alaska Department of Revenue purchased a new position in Bloomin' Brands in the third quarter worth $37,000.

About Bloomin' Brands

Bloomin' Brands, Inc is a restaurant company that owns and operates a portfolio of casual dining and upscale casual dining brands. Its best-known concept is Outback Steakhouse, which specializes in steaks, seafood, chicken, burgers and other American-style dishes with an Australian-inspired theme.

The company's other restaurant brands include Carrabba's Italian Grill, which serves Italian-American cuisine; Bonefish Grill, focused on seafood and wood-grilled specialties; and Fleming's Prime Steakhouse & Wine Bar, an upscale steakhouse concept.

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