Buffalo Wild Wings Inc. (BWLD) Upgraded to Buy at Zacks Investment Research
Zacks Investment Research upgraded shares of Buffalo Wild Wings Inc. (NASDAQ:BWLD) from a hold rating to a buy rating in a report published on Tuesday. Zacks Investment Research currently has $157.00 target price on the stock.
According to Zacks, “Buffalo Wild Wings has been posting positive comps over the past few years driven by strong market standing, new menu launches and increased media exposure. However, the company’s comps have declined in the past two quarters owing to lower traffic trends. Nevertheless, various innovative initiatives undertaken by the company should aid in reviving comps growth. Notably, the company keeps its guests engaged during major sporting events like the NFL playoffs, college football, bowl games and college basketball through promotional activities. Also, its association with popular beverage chains has been expanding its brand portfolio. Estimates too have been mostly going up ahead of the company’s Q3 earnings release. However, consistent earnings and revenues miss in the past few quarters raises concerns. Moreover, higher labor costs and other expenses related to the company’s initiatives might keep profits under pressure.”
Other equities analysts have also issued research reports about the company. BMO Capital Markets reissued a buy rating on shares of Buffalo Wild Wings in a research note on Sunday, June 26th. Barclays PLC boosted their price objective on Buffalo Wild Wings from $160.00 to $168.00 and gave the stock an overweight rating in a research note on Wednesday, July 27th. Telsey Advisory Group boosted their price objective on Buffalo Wild Wings from $160.00 to $170.00 and gave the stock an outperform rating in a research note on Wednesday, July 27th. Deutsche Bank AG boosted their price objective on Buffalo Wild Wings from $145.00 to $155.00 and gave the stock a hold rating in a research note on Wednesday, August 17th. Finally, Vetr raised Buffalo Wild Wings from a strong sell rating to a hold rating and set a $140.18 price objective on the stock in a research note on Monday, June 27th. Two investment analysts have rated the stock with a sell rating, fifteen have issued a hold rating and thirteen have issued a buy rating to the company. The company currently has an average rating of Hold and an average price target of $158.00.
Buffalo Wild Wings (NASDAQ:BWLD) opened at 140.35 on Tuesday. The stock has a market cap of $2.57 billion, a PE ratio of 26.41 and a beta of 0.92. Buffalo Wild Wings has a 52 week low of $122.25 and a 52 week high of $198.42. The company has a 50-day moving average price of $157.60 and a 200-day moving average price of $148.39.
Buffalo Wild Wings (NASDAQ:BWLD) last announced its quarterly earnings results on Tuesday, July 26th. The company reported $1.27 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $1.26 by $0.01. The business had revenue of $490.20 million for the quarter, compared to analyst estimates of $498.86 million. Buffalo Wild Wings had a return on equity of 15.57% and a net margin of 5.19%. Buffalo Wild Wings’s quarterly revenue was up 15.0% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.12 EPS. Analysts anticipate that Buffalo Wild Wings will post $5.72 earnings per share for the current year.
In other news, CEO Sally J. Smith sold 1,500 shares of the firm’s stock in a transaction that occurred on Friday, July 15th. The stock was sold at an average price of $136.55, for a total value of $204,825.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Judith A. Shoulak sold 1,992 shares of the firm’s stock in a transaction that occurred on Monday, July 25th. The shares were sold at an average price of $150.00, for a total value of $298,800.00. The disclosure for this sale can be found here. Corporate insiders own 1.19% of the company’s stock.
Hedge funds have recently added to or reduced their stakes in the stock. Sei Investments Co. boosted its stake in Buffalo Wild Wings by 71.3% in the second quarter. Sei Investments Co. now owns 1,028 shares of the company’s stock worth $143,000 after buying an additional 428 shares during the last quarter. LS Investment Advisors LLC boosted its stake in Buffalo Wild Wings by 69.7% in the second quarter. LS Investment Advisors LLC now owns 1,169 shares of the company’s stock worth $162,000 after buying an additional 480 shares during the last quarter. Massmutual Trust Co. FSB ADV acquired a new stake in Buffalo Wild Wings during the first quarter worth about $182,000. Pacer Advisors Inc. acquired a new stake in Buffalo Wild Wings during the second quarter worth about $184,000. Finally, Quadrature Capital Ltd acquired a new stake in Buffalo Wild Wings during the first quarter worth about $207,000. 94.76% of the stock is owned by institutional investors.
About Buffalo Wild Wings
Buffalo Wild Wings, Inc (Buffalo Wild Wings) is an owner, operator and franchisor of restaurants featuring various menu items. The Company’s restaurants feature a bar, which offers a selection of 20 to 30 domestic, imported and craft beers on tap, as well as bottled beers, wine and liquor. The Buffalo Wild Wings restaurants feature various menu items, including its Buffalo, New York-style chicken wings spun in one of its signature sauces from sweet to screamin’ hot, which includes Sweet barbeque (BBQ), Teriyaki, Bourbon Honey Mustard, Mild, Parmesan Garlic, Medium, Honey BBQ, Spicy Garlic, Asian Zing, Caribbean Jerk, Thai Curry, Hot BBQ, Hot, Mango Habanero, Wild and Blazin’, or signature seasonings, Buffalo, Desert Heat, Chipotle BBQ, Lemon Pepper, and Salt & Vinegar.
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