| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 1/6 |
| Past Performance | 4/6 |
| Financial Health | 2/6 |
| Dividends | 0/6 |
EAT Stock Overview
Brinker International, Inc., together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally.
Brinker International Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$32.85 |
| 52 Week High | US$55.53 |
| 52 Week Low | US$21.47 |
| Beta | 2.44 |
| 1 Month Change | 42.95% |
| 3 Month Change | 1.55% |
| 1 Year Change | -38.41% |
| 3 Year Change | -17.23% |
| 5 Year Change | -1.20% |
| Change since IPO | 1,029.61% |
Recent News & Updates
Brinker International, Inc.'s (NYSE:EAT) Intrinsic Value Is Potentially 66% Above Its Share Price
How far off is Brinker International, Inc. ( NYSE:EAT ) from its intrinsic value? Using the most recent financial data...
Brinker International: Good Long-Term Prospects And A Great Price
The company’s long-term growth strategy to invest in technology and grow the virtual brands in order to improve efficiency and generate incremental sales looks promising. Thanks to the macro concerns, the stock is available at an attractive valuation. I believe long-term investors can consider taking a position in this long-term growth stock at an attractive valuation.
Shareholder Returns
| EAT | US Hospitality | US Market | |
|---|---|---|---|
| 7D | 11.2% | 5.4% | 3.6% |
| 1Y | -38.4% | -13.4% | -9.6% |
Return vs Industry: EAT underperformed the US Hospitality industry which returned -15.1% over the past year.
Return vs Market: EAT underperformed the US Market which returned -10.2% over the past year.
Price Volatility
| EAT volatility | |
|---|---|
| EAT Average Weekly Movement | 9.1% |
| Hospitality Industry Average Movement | 8.6% |
| Market Average Movement | 7.7% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: EAT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: EAT's weekly volatility (9%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1975 | 59,491 | Kevin Hochman | https://brinker.com |
Brinker International, Inc., together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally. The company operates in two segments, Chili’s and Maggiano’s. As of June 30, 2021, it owned, operated, or franchised 1,648 restaurants comprising 1,594 restaurants under the Chili's Grill & Bar name and 54 restaurants under the Maggiano’s Little Italy brand name.
Brinker International Fundamentals Summary
| EAT fundamental statistics | |
|---|---|
| Market Cap | US$1.44b |
| Earnings (TTM) | US$152.40m |
| Revenue (TTM) | US$3.79b |
9.5x
P/E Ratio0.4x
P/S RatioIs EAT overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| EAT income statement (TTM) | |
|---|---|
| Revenue | US$3.79b |
| Cost of Revenue | US$3.24b |
| Gross Profit | US$548.60m |
| Other Expenses | US$396.20m |
| Earnings | US$152.40m |
Last Reported Earnings
Mar 30, 2022
Next Earnings Date
Aug 24, 2022
| Earnings per share (EPS) | 3.48 |
| Gross Margin | 14.47% |
| Net Profit Margin | 4.02% |
| Debt/Equity Ratio | -293.0% |
How did EAT perform over the long term?
See historical performance and comparisonValuation
Is EAT undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for EAT?
Other financial metrics that can be useful for relative valuation.
| What is EAT's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$1.44b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1x |
| Enterprise Value/EBITDA | 9.4x |
| PEG Ratio | 1x |
Price to Earnings Ratio vs Peers
How does EAT's PE Ratio compare to its peers?
| EAT PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 16.5x | ||
ARCO Arcos Dorados Holdings | 14.4x | 16.5% | US$1.6b |
DIN Dine Brands Global | 13.2x | 6.1% | US$1.2b |
CAKE Cheesecake Factory | 21.1x | 28.5% | US$1.8b |
JACK Jack in the Box | 17.2x | 14.0% | US$1.8b |
EAT Brinker International | 9.5x | 9.6% | US$1.4b |
Price-To-Earnings vs Peers: EAT is good value based on its Price-To-Earnings Ratio (9.5x) compared to the peer average (16.5x).
Price to Earnings Ratio vs Industry
How does EAT's PE Ratio compare vs other companies in the US Hospitality Industry?
Price-To-Earnings vs Industry: EAT is good value based on its Price-To-Earnings Ratio (9.5x) compared to the US Hospitality industry average (18.4x)
Price to Earnings Ratio vs Fair Ratio
What is EAT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 9.5x |
| Fair PE Ratio | 18.7x |
Price-To-Earnings vs Fair Ratio: EAT is good value based on its Price-To-Earnings Ratio (9.5x) compared to the estimated Fair Price-To-Earnings Ratio (18.7x).
Share Price vs Fair Value
What is the Fair Price of EAT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: EAT ($32.85) is trading below our estimate of fair value ($54.5)
Significantly Below Fair Value: EAT is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is less than 20% higher than the current share price.
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Future Growth
How is Brinker International forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Future Growth Score
1/6Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
9.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EAT's forecast earnings growth (9.6% per year) is above the savings rate (1.9%).
Earnings vs Market: EAT's earnings (9.6% per year) are forecast to grow slower than the US market (14.5% per year).
High Growth Earnings: EAT's earnings are forecast to grow, but not significantly.
Revenue vs Market: EAT's revenue (2.8% per year) is forecast to grow slower than the US market (7.9% per year).
High Growth Revenue: EAT's revenue (2.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if EAT's Return on Equity is forecast to be high in 3 years time
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Past Performance
How has Brinker International performed over the past 5 years?
Past Performance Score
4/6Past Performance Score 4/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-10.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EAT has high quality earnings.
Growing Profit Margin: EAT's current net profit margins (4%) are higher than last year (0.5%).
Past Earnings Growth Analysis
Earnings Trend: EAT's earnings have declined by 10.6% per year over the past 5 years.
Accelerating Growth: EAT's earnings growth over the past year (915.7%) exceeds its 5-year average (-10.6% per year).
Earnings vs Industry: EAT earnings growth over the past year (915.7%) exceeded the Hospitality industry 51%.
Return on Equity
High ROE: EAT's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
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Financial Health
How is Brinker International's financial position?
Financial Health Score
2/6Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: EAT has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: EAT has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: EAT has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: EAT's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: EAT's debt is well covered by operating cash flow (34.3%).
Interest Coverage: EAT's interest payments on its debt are well covered by EBIT (4.8x coverage).
Balance Sheet
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Dividend
What is Brinker International current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
3.67%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate EAT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate EAT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if EAT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EAT's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: EAT is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as EAT has not reported any payouts.
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Management
How experienced are the management team and are they aligned to shareholders interests?
5.0yrs
Average management tenure
CEO
Kevin Hochman
0.17yr
Tenure
Mr. Kevin Hochman serves as President, Chief Executive Officer & Director at Brinker International, Inc. since June 06, 2022. He serves as President of Chili's since June 06, 2022. He serves as President o...
Leadership Team
Experienced Management: EAT's management team is seasoned and experienced (5 years average tenure).
Board Members
Experienced Board: EAT's board of directors are considered experienced (3.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EAT insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Brinker International, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Brinker International, Inc.
- Ticker: EAT
- Exchange: NYSE
- Founded: 1975
- Industry: Restaurants
- Sector: Consumer Services
- Implied Market Cap: US$1.441b
- Shares outstanding: 43.84m
- Website: https://brinker.com
Number of Employees
Location
- Brinker International, Inc.
- 3000 Olympus Boulevard
- Dallas
- Texas
- 75019
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/15 00:00 |
| End of Day Share Price | 2022/08/15 00:00 |
| Earnings | 2022/03/30 |
| Annual Earnings | 2021/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.