Bloomin' Brands (NASDAQ:BLMN) Trading Down 5.9% - Should You Sell?

Key Points

• Bloomin' Brands shares fell 5.9% to about $8.39, on unusually light trading volume. The stock’s average analyst rating is “Hold,” with an average price target of $9.75.
• Recent analyst actions were mixed: Citigroup lowered its target to $8.75, while Morgan Stanley raised its target to $12; overall, eight analysts rate the stock Hold, two Sell, and one Strong Buy.
• The company beat quarterly expectations with $0.39 in adjusted EPS versus a $0.29 consensus and $1.02 billion in revenue, up 1.3% year over year. However, its net margin remained low at 0.70%, and management expects full-year 2026 EPS of $0.90–$1.00.

Bloomin' Brands, Inc. (NASDAQ:BLMN - Get Free Report)'s stock price dropped 5.9% on Tuesday . The stock traded as low as $8.51 and last traded at $8.3850. Approximately 74,323 shares traded hands during trading, a decline of 97% from the average daily volume of 2,451,992 shares. The stock had previously closed at $8.91.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on BLMN shares. Citigroup cut their target price on Bloomin' Brands from $9.50 to $8.75 and set a "neutral" rating on the stock in a research report on Friday, July 24th. BMO Capital Markets reiterated a "market perform" rating and set a $12.00 price target on shares of Bloomin' Brands in a research note on Thursday, August 6th. Deutsche Bank Aktiengesellschaft reissued a "hold" rating and issued a $11.00 price objective on shares of Bloomin' Brands in a report on Thursday, August 6th. Morgan Stanley lifted their target price on Bloomin' Brands from $8.00 to $12.00 and gave the stock an "equal weight" rating in a report on Thursday, August 6th. Finally, Wall Street Zen upgraded Bloomin' Brands from a "hold" rating to a "buy" rating in a research report on Saturday, August 8th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $9.75.

Bloomin' Brands Stock Performance

The company has a market capitalization of $701.91 million, a PE ratio of 26.42, a PEG ratio of 2.24 and a beta of 1.23. The firm has a 50-day moving average of $9.57 and a two-hundred day moving average of $7.88. 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 posted its earnings results on Wednesday, August 5th. The restaurant operator reported $0.39 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.10. The firm had revenue of $1.02 billion during the quarter, compared to analyst estimates of $1 billion. Bloomin' Brands had a net margin of 0.70% and a return on equity of 28.95%. The business's quarterly revenue was up 1.3% on a year-over-year basis. During the same period in the previous year, the firm earned $0.32 EPS. 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. Research analysts anticipate that Bloomin' Brands, Inc. will post 0.98 EPS for the current year.

Hedge Funds Weigh In On Bloomin' Brands

A number of large investors have recently bought and sold shares of BLMN. BlackRock Inc. purchased a new position in shares of Bloomin' Brands during the 2nd quarter valued at approximately $62,563,000. Miller Value Partners LLC acquired a new position in Bloomin' Brands during the second quarter worth $23,635,000. Arrowstreet Capital Limited Partnership lifted its holdings in Bloomin' Brands by 79.9% during the first quarter. Arrowstreet Capital Limited Partnership now owns 3,908,998 shares of the restaurant operator's stock valued at $21,109,000 after purchasing an additional 1,736,001 shares in the last quarter. Dimensional Fund Advisors LP grew its position in shares of Bloomin' Brands by 84.9% in the first quarter. Dimensional Fund Advisors LP now owns 2,208,122 shares of the restaurant operator's stock valued at $11,924,000 after purchasing an additional 1,013,953 shares during the period. Finally, Prosperitas Financial LLC acquired a new stake in shares of Bloomin' Brands in the second quarter valued at about $6,289,000.

About Bloomin' Brands

Bloomin' Brands, Inc is a restaurant company that owns, operates and franchises a portfolio of casual dining and upscale-casual restaurant concepts. Its brands include Outback Steakhouse, known for steaks and other Australian-inspired menu offerings; Carrabba's Italian Grill, which specializes in Italian-American cuisine; Bonefish Grill, focused on seafood and grilled dishes; and Fleming's Prime Steakhouse & Wine Bar, which offers prime steaks, seafood and wine. The company also operates additional concepts, including Aussie Grill and Tender Shack.

Bloomin' Brands serves customers primarily in the United States, with restaurants and franchise operations in select international markets.

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