Shares of Brinker International, Inc. (NYSE:EAT) recorded -3.06% loss during trading session on August 13th, 2019. The script traded as low as $37.50 and last traded at $38.64. 4.83 million shares changed exchanged hands during trading, a drop of -531217.38% from the 30-day average session volume of 909.38K shares. The firm had previously closed at $39.86. The company has $37.24M outstanding shares, a price-to-earnings ratio of 10.24, price-to-earnings-growth ratio of 0.45 and a beta of 0.22. The company has a RSI of 44.33, ATR of 1.35 and a volatility of 4.41% this week. EAT has a 52 week low price of $36.82 and a 52 week high price of $53.61.
Investors have identified the tech company Brinker International, Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 1.44B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Brinker International, Inc. (EAT) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For EAT, the company has in raw cash 12.2 million on their books with 192.6 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 0 total, with 17.6 million as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
EAT were able to record 22.6 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 1.3 million. In cash movements, the company had a total of 150.6 million as operating cash flow.
Potential earnings growth for Brinker International, Inc. (EAT)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Brinker International, Inc. recorded a total of 839.3 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.03% coming in sequential stages and their sales for the third quarter increasing by 0.06%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 695.4 million trying to sell their products during the last quarter, with the result yielding a gross income of 143.9 million. This allows shareholders to hold on to 37.24M with the revenue now reading 1330 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.45 cents a share).
Is the stock of EAT attractive?
Having a look at the company’s valuation, the company is expected to record 4.03 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on EAT sounds very interesting.
In related news, EVP, President of Maggiano’s Baltes Kelly C. bought 800 shares of the company’s stock in a transaction that recorded on May 8th, 2019. The purchase was performed at an average price of 42.05, for a total value of 33,640. As the purchase deal closes, the EVP, President of Maggiano’s Baltes Kelly C. now bought 800 shares of the company’s stock, valued at 33,640. Also, SVP, Chief Supply Chain Off. Lousignont Charles A bought 2,590 shares of the company’s stock in a deal that was recorded on February 6th, 2019. The shares were bought at an average cost of 43.00 per share, with a total market value of 16,236. Following this completion of disposal, the EVP, President of Maggiano’s now holds 800 shares of the company’s stock, valued at 33,396. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.48%.
2 out of 22 analysts covering the stock have rated it a Buy, while 13 have maintained a Hold recommendation on Brinker International, Inc. stock. 0 analysts has assigned a Sell rating on the EAT stock. The 12-month mean consensus price target for the company’s shares has been set at $45.00.