Red Robin Gourmet Burgers Inc. (RRGB) Lowered to “Underperform” at Bank of America Corp.
Red Robin Gourmet Burgers Inc. (NASDAQ:RRGB) was downgraded by equities research analysts at Bank of America Corp. from a “buy” rating to an “underperform” rating in a research note issued to investors on Tuesday. They currently have a $50.00 target price on the stock. Bank of America Corp.’s target price points to a potential upside of 6.50% from the stock’s current price.
The analysts wrote, “Low valuation is a risk to our call, but low margins leave the company exposed to sharp corrections if sales remain weak.”
Several other research firms have also commented on RRGB. Maxim Group restated a “buy” rating and issued a $81.00 price target (down previously from $85.00) on shares of Red Robin Gourmet Burgers in a report on Tuesday, May 17th. Sterne Agee CRT restated a “neutral” rating on shares of Red Robin Gourmet Burgers in a report on Monday, May 16th. Zacks Investment Research lowered shares of Red Robin Gourmet Burgers from a “hold” rating to a “sell” rating in a report on Tuesday, July 26th. Jefferies Group lowered shares of Red Robin Gourmet Burgers from a “buy” rating to a “hold” rating and set a $55.00 price target on the stock. in a report on Tuesday, July 26th. Finally, Morgan Stanley restated a “hold” rating on shares of Red Robin Gourmet Burgers in a report on Wednesday, May 18th. One analyst has rated the stock with a sell rating, six have issued a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company’s stock. Red Robin Gourmet Burgers presently has a consensus rating of “Hold” and a consensus price target of $71.69.
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Red Robin Gourmet Burgers (NASDAQ:RRGB) traded down 3.85% during midday trading on Tuesday, hitting $46.95. 326,192 shares of the stock were exchanged. The firm has a 50 day moving average of $49.69 and a 200-day moving average of $55.87. Red Robin Gourmet Burgers has a 12-month low of $45.00 and a 12-month high of $82.66. The stock has a market cap of $623.82 million, a price-to-earnings ratio of 15.63 and a beta of 0.98.
Red Robin Gourmet Burgers (NASDAQ:RRGB) last posted its quarterly earnings results on Tuesday, August 9th. The company reported $0.75 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.80 by $0.05. Red Robin Gourmet Burgers had a net margin of 3.27% and a return on equity of 12.47%. The business earned $305.50 million during the quarter, compared to analysts’ expectations of $313.63 million. During the same quarter in the previous year, the business posted $0.78 EPS. The company’s quarterly revenue was up 4.3% on a year-over-year basis. On average, equities analysts expect that Red Robin Gourmet Burgers will post $3.20 earnings per share for the current year.
In other Red Robin Gourmet Burgers news, Director Stuart I. Oran sold 1,200 shares of Red Robin Gourmet Burgers stock in a transaction on Wednesday, June 22nd. The shares were sold at an average price of $52.62, for a total value of $63,144.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, COO Carin Stutz acquired 978 shares of the firm’s stock in a transaction on Friday, June 17th. The stock was acquired at an average cost of $50.99 per share, with a total value of $49,868.22. The disclosure for this purchase can be found here. 2.66% of the stock is currently owned by corporate insiders.
A number of institutional investors have recently added to or reduced their stakes in the company. Bayesian Capital Management LP acquired a new position in Red Robin Gourmet Burgers during the first quarter worth approximately $245,000. Renaissance Technologies LLC acquired a new position in Red Robin Gourmet Burgers during the first quarter worth approximately $3,595,000. Kennedy Capital Management Inc. acquired a new position in Red Robin Gourmet Burgers during the first quarter worth approximately $4,435,000. Wellington Management Group LLP increased its position in Red Robin Gourmet Burgers by 270.2% in the first quarter. Wellington Management Group LLP now owns 159,270 shares of the company’s stock worth $10,268,000 after buying an additional 116,252 shares in the last quarter. Finally, Geode Capital Management LLC increased its position in Red Robin Gourmet Burgers by 4.6% in the first quarter. Geode Capital Management LLC now owns 97,189 shares of the company’s stock worth $6,265,000 after buying an additional 4,264 shares in the last quarter.
Red Robin Gourmet Burgers Company Profile
Red Robin Gourmet Burgers, Inc, together with its subsidiaries, primarily develops, operates and franchises casual-dining restaurants and fast-casual restaurants in North America and focuses on serving a selection of gourmet burgers. The Company is primarily engaged in the sale of food and beverages at the Company-owned restaurants.
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