Stock to watch: Cracker Barrel Old Country Store, Inc. (NASDAQ: CBRL)

Free $50 Forex No-Deposit Bonus

Cracker Barrel Old Country Store, Inc. (NASDAQ:CBRL) in the fourth quarter of FY 17 has reported the adjusted earnings per share of $2.23, beating the analysts’ estimates for the adjusted earnings per share of $2.18 as per Zacks Investment Research. The company had reported 0.3 percent fall in the adjusted revenue growth to $743.2 million in the fourth quarter of FY 17, missing the analysts’ estimates for revenue of $750.3 million.

Moreover, the comparable store restaurant sales fell 0.8%, including a 1.7% fall in the store traffic partially offset by a 0.9% increase in average check. The average menu price increase for the fourth quarter was approximately 1.4%. The comparable store retail sales fell 4.4% for the quarter. CRBL has opened two new Cracker Barrel stores during the fourth quarter bringing the combined Cracker Barrel and Holler & Dash store count to 649 locations at fiscal year-end.

For 2018, CRBL expects full-year earnings to be $8.85 to $9 per share, and revenue is expected to be $3.1 billion.

Additionally, in FY 18 the company expects the opening of eight or nine new Cracker Barrel stores and three or four new Holler & Dash stores, as well as projected increases in comparable store restaurant sales in the range of 2.5% to 3.5%, and comparable store retail sales in the range of 0.0% to 1.0%. The Company expects the food commodity inflation of approximately 1.5% for the year. CRBL expects the operating income margin to be relatively flat to the prior year as a percent of total revenue. In addition, in FY 18 the company expects depreciation expense between $95 million and $100 million, net interest expense in the range of $16 million to $17 million; and capital expenditures of approximately $150 million to $160 million. The company expects an effective tax rate for fiscal 2018 of between 31% and 32%.

CRBL had its price objective decreased by stock analysts at Bank of America Corporation from $150.00 to $140.00. The firm currently has an “underperform” rating on the restaurant operator’s stock. Bank of America Corporation’s target price points to a potential downside of 5.67% from the company’s previous close. Zacks Investment Research has downgraded CRBL from a “hold” rating to a “sell” rating

CBRL stock has risen 3.7% in the last five days (source: Google Finance).

Copyright © 2018. All Rights Reserved. FXDailyReport.Com
Risk Warning: Trading CFDs is a high risk activity and you may lose more than your initial deposit. You should never invest money that you cannot afford to lose. FXDailyReport.com will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.