PREVIEW: Jack In the Box off 4%; Wall St sees Q4 rev drop, slight EPS rise

Jack In The Box

20/11/2024 17:35

** Shares in hamburger restaurant chain co Jack In the Box Inc
 JACK.O  down 4.0% on Wednesday ahead of fiscal Q4 report due
out after market close
    ** Wall St sees Jack reporting adj EPS of $1.10 vs $1.09 in
year-ago quarter on rev of $356.47 mln vs $372.52 mln year-ago,
according to latest data from LSEG
    ** In last 8 quarters EPS beat expectations 5 times while
revenue met or beat expectations 6 times, as per LSEG
    ** In research note dated Nov 19 Guggenheim cut PT for JACK
to $60 from $95, cut fiscal year 25 EPS view to $6.00, below
$6.25 Street consensus 
    ** Guggenheim analyst Gregory Fracfort sees  JACK guiding
below consensus but with P/E at ~7x consensus, "a sizeable
amount of earnings downside" already appears baked into share
price, which he describes as "extremely inexpensive"
    ** Earlier this week Deutsche Bank had cut its PT to $51
from $56 on Tuesday and Wedbush had cut to $50 from $60 on
Monday
    ** Stock last traded at $44.17 vs median PT of $52 as per
LSEG which shows 22 analyst ratings: 4 'strong buy,' 3 'buy,' 14
'hold' and 1 'sell' recommendation
    ** JACK down ~46% YTD vs 5.1% gain for S&P 600 consumer
discretionary index  .SPSMCD 

 (Reporting By Sinéad Carew)
 ((sinead.carew@thomsonreuters.com; +13322191897;))