Stephens Initiates Coverage on Brinker International (NYSE:EAT)

Key Points

• Stephens initiated coverage on Brinker International with an overweight rating and a $220 price target, implying about 18.5% upside from the prior close.
• Other analysts remain generally positive, with the stock carrying an average Moderate Buy rating and an average target price of $189.20. In total, 15 analysts rate it a Buy and 7 rate it Hold.
• Brinker recently posted better-than-expected earnings, reporting $2.90 EPS versus estimates of $2.85, while revenue matched expectations at $1.47 billion. The company also raised its FY 2026 EPS guidance to 10.60–10.85.

Analysts at Stephens began coverage on shares of Brinker International (NYSE:EAT - Get Free Report) in a research report issued on Friday. The firm set an "overweight" rating and a $220.00 price target on the restaurant operator's stock. Stephens' target price would indicate a potential upside of 18.53% from the company's previous close.

A number of other analysts have also recently issued reports on the company. Weiss Ratings raised Brinker International from a "hold (c)" rating to a "hold (c+)" rating in a research note on Tuesday, June 16th. Zacks Research lowered shares of Brinker International from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 23rd. Barclays upped their price target on shares of Brinker International from $170.00 to $175.00 and gave the company an "equal weight" rating in a report on Thursday, April 30th. TD Cowen lowered their price objective on shares of Brinker International from $188.00 to $170.00 and set a "buy" rating for the company in a research report on Wednesday, April 29th. Finally, Citigroup dropped their price objective on shares of Brinker International from $190.00 to $186.00 and set a "buy" rating on the stock in a report on Monday, April 13th. Fifteen investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $189.20.

Brinker International Stock Performance

EAT stock opened at $185.60 on Friday. The company has a quick ratio of 0.35, a current ratio of 0.40 and a debt-to-equity ratio of 1.05. Brinker International has a twelve month low of $100.30 and a twelve month high of $192.20. The business's fifty day moving average is $155.45 and its 200-day moving average is $152.59. The company has a market cap of $7.96 billion, a P/E ratio of 18.20, a price-to-earnings-growth ratio of 1.11 and a beta of 1.24.

Brinker International (NYSE:EAT - Get Free Report) last posted its earnings results on Wednesday, April 29th. The restaurant operator reported $2.90 earnings per share for the quarter, topping the consensus estimate of $2.85 by $0.05. Brinker International had a return on equity of 123.22% and a net margin of 8.07%.The firm had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.47 billion. During the same period in the previous year, the company posted $2.66 earnings per share. The company's revenue for the quarter was up 3.2% on a year-over-year basis. Brinker International has set its FY 2026 guidance at 10.60-10.850 EPS. Equities research analysts forecast that Brinker International will post 10.75 EPS for the current year.

Hedge Funds Weigh In On Brinker International

Large investors have recently modified their holdings of the business. GAMMA Investing LLC increased its position in shares of Brinker International by 33.5% in the second quarter. GAMMA Investing LLC now owns 1,079 shares of the restaurant operator's stock valued at $181,000 after acquiring an additional 271 shares during the last quarter. Moody National Bank Trust Division acquired a new position in Brinker International during the second quarter valued at approximately $222,000. CoreCap Advisors LLC grew its stake in Brinker International by 33,000.0% in the second quarter. CoreCap Advisors LLC now owns 331 shares of the restaurant operator's stock valued at $56,000 after purchasing an additional 330 shares in the last quarter. Howard Financial Services LTD. bought a new position in Brinker International in the second quarter valued at approximately $212,000. Finally, Bank of America Corp DE increased its position in shares of Brinker International by 37.7% during the 1st quarter. Bank of America Corp DE now owns 242,648 shares of the restaurant operator's stock worth $34,643,000 after purchasing an additional 66,383 shares during the last quarter.

About Brinker International

Brinker International, Inc NYSE: EAT is a leading global operator of casual dining restaurants. The company's portfolio is anchored by its flagship Chili's® Grill & Bar concept and Maggiano's® Little Italy full‐service restaurants, offering a range of American‐style menu items, handcrafted cocktails and family‐friendly dining experiences. Through dine‐in, takeout, delivery and catering services, Brinker seeks to meet consumer preferences across multiple channels.

The Chili's brand features signature items such as baby back ribs, burgers and fajitas alongside a rotating selection of limited‐time offerings and seasonal beverages.

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