Brinker International (NYSE:EAT) Shares Gap Up After Strong Earnings

Brinker International, Inc. (NYSE:EAT - Get Free Report) shares gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $154.61, but opened at $176.58. Brinker International shares last traded at $176.31, with a volume of 1,197,838 shares traded.

The restaurant operator reported $2.80 EPS for the quarter, beating the consensus estimate of $1.37 by $1.43. Brinker International had a net margin of 4.11% and a negative return on equity of 839.19%.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on EAT shares. Wedbush upped their target price on shares of Brinker International from $140.00 to $185.00 and gave the company a "neutral" rating in a report on Thursday. Barclays upped their target price on shares of Brinker International from $150.00 to $190.00 and gave the company an "equal weight" rating in a report on Thursday. KeyCorp downgraded shares of Brinker International from an "overweight" rating to a "sector weight" rating and set a $115.00 price target for the company. in a research report on Friday, January 24th. Argus upgraded shares of Brinker International from a "hold" rating to a "buy" rating and set a $150.00 price target for the company in a research report on Tuesday, December 24th. Finally, The Goldman Sachs Group upped their price target on shares of Brinker International from $162.00 to $208.00 and gave the company a "buy" rating in a research report on Thursday. Sixteen research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat, Brinker International currently has a consensus rating of "Hold" and a consensus price target of $135.48.

Hedge Funds Weigh In On Brinker International

Large investors have recently made changes to their positions in the stock. Wolff Wiese Magana LLC grew its stake in Brinker International by 100.0% in the 4th quarter. Wolff Wiese Magana LLC now owns 200 shares of the restaurant operator's stock valued at $26,000 after acquiring an additional 100 shares during the last quarter. GAMMA Investing LLC boosted its stake in shares of Brinker International by 123.9% during the 4th quarter. GAMMA Investing LLC now owns 309 shares of the restaurant operator's stock worth $41,000 after purchasing an additional 171 shares during the last quarter. R Squared Ltd acquired a new stake in shares of Brinker International during the 4th quarter worth about $83,000. Xponance Inc. acquired a new stake in shares of Brinker International during the 2nd quarter worth about $202,000. Finally, Burford Brothers Inc. acquired a new stake in shares of Brinker International during the 3rd quarter worth about $203,000.

Brinker International Price Performance

The company has a market capitalization of $8.10 billion, a price-to-earnings ratio of 44.48, a PEG ratio of 1.56 and a beta of 2.52. The company's 50 day simple moving average is $136.99 and its 200-day simple moving average is $100.66. The company has a current ratio of 0.32, a quick ratio of 0.26 and a debt-to-equity ratio of 63.54.

About Brinker International

Brinker International, Inc, together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally. It operates and franchises Chili's Grill & Bar and Maggiano's Little Italy restaurant brands.