Credit Suisse largely bullish on restaurant industry for 2023

Performance Food

12/01/2023 12:58

** Brokerage Credit Suisse says sentiment is largely
positive on sales at U.S. restaurants; expects margins to
improve as costs moderate 
    ** Analyst Lauren Silberman largely bullish on restaurant
industry for 2023; expects sales to remain relatively resilient
even as cost pressures persist
    ** Brokerage raises PT of restaurant chain Shake Shack Inc
 SHAK.N  to $60 from $57; median PT among 21 analysts is $50,
per Refinitiv data
    ** Credit Suisse says SHAK is taking measures to improve
restaurant margins through price and supply chain initiatives to
reduce costs
    ** Says Performance Food Group Co  PFGC.N  sees inflation
moderating; while co will see less benefit from easing
inflation, improvements in labor productivity could help boost
margins
    ** In 2022, SHAK shares fell ~42% while PFGC rose ~27%
 (Reporting by Anne Florentyna Gnanaraja Sekar)
 ((AnneFlorentyna.GnanarajaSekar@thomsonreuters.com;))