Jefferies 'incrementally positive' on restaurant stocks

Chuy's Holdings

24/09/2021 12:03

** Jefferies says it is incrementally positive on full
service dining stocks
    ** Brokerage upgrades BJ's Restaurants Inc  BJRI.O , Chuy's
Holdings Inc  CHUY.O , Dave & Buster's  PLAY.O , Red Robin
Gourmet Burgers  RRGB.O  and Cheesecake Factory  CAKE.O  to
"buy" from "hold"
    ** Brokerage says restaurant groups show signs of resiliency
and less of a slowdown
    ** Positive structural changes related to supply
contraction, potential for share gains, a permanent shift toward
off-premises/digital and operating efficiencies create a
favorable risk/reward - Jefferies
    ** "Progress with vaccinations/boosters help ease concerns
about Delta (variant) and full service dining" - Jefferies
    ** Brokerage has made the following PT changes on restaurant
stocks within its coverage:-
    
 Company                 New PT         Old PT
 BJ's Restaurants        $55            $48
 Chuy's Holdings Inc     $41            $36
 Red Robin Gourmet       $31            $28
 Burgers                                
 The Cheesecake Factory  $60            $55
 

 (Reporting by Aniruddha Chakrabarty)
 ((aniruddha.c.thomsonreuters.com@reuters.net))