Brinker International
Market Cap
US$1.3b
Last Updated
2020/06/05 02:18 UTC
Data Sources
Company Financials +
Executive Summary
Brinker International, Inc., together with its subsidiaries, owns, develops, operates, and franchises casual dining restaurants in the United States and internationally.
Rewards
Risk Analysis
Snowflake Analysis
6 star dividend payer and good value.
Similar Companies
Share Price & News
How has Brinker International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EAT's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
11.4%
EAT
9.6%
US Hospitality
2.9%
US Market
1 Year Return
-23.2%
EAT
-17.6%
US Hospitality
8.9%
US Market
Return vs Industry: EAT underperformed the US Hospitality industry which returned -20% over the past year.
Return vs Market: EAT underperformed the US Market which returned 9.2% over the past year.
Shareholder returns
| EAT | Industry | Market | |
|---|---|---|---|
| 7 Day | 11.4% | 9.6% | 2.9% |
| 30 Day | 52.2% | 26.2% | 10.6% |
| 90 Day | -3.1% | -1.9% | 5.1% |
| 1 Year | -20.9%-23.2% | -15.7%-17.6% | 11.4%8.9% |
| 3 Year | -21.2%-29.1% | -11.7%-17.5% | 34.3%25.4% |
| 5 Year | -40.1%-49.0% | 13.7%1.3% | 60.7%42.7% |
Price Volatility Vs. Market
How volatile is Brinker International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
A Sliding Share Price Has Us Looking At Brinker International, Inc.'s (NYSE:EAT) P/E Ratio2 months ago | Simply Wall St
A Sliding Share Price Has Us Looking At Brinker International, Inc.'s (NYSE:EAT) P/E Ratio3 months ago | Simply Wall St
Here's What We Like About Brinker International, Inc. (NYSE:EAT)'s Upcoming DividendValuation
Is Brinker International undervalued compared to its fair value and its price relative to the market?
17.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EAT ($29.36) is trading below our estimate of fair value ($35.37)
Significantly Below Fair Value: EAT is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: EAT is good value based on its PE Ratio (9.1x) compared to the Hospitality industry average (18.4x).
PE vs Market: EAT is good value based on its PE Ratio (9.1x) compared to the US market (16.1x).
Price to Earnings Growth Ratio
PEG Ratio: EAT is good value based on its PEG Ratio (0.2x)
Price to Book Ratio
PB vs Industry: EAT has negative assets, so we can't compare its PB Ratio to the US Hospitality industry average.
Next Steps
Future Growth
How is Brinker International forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
49.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EAT's forecast earnings growth (49.3% per year) is above the savings rate (2.2%).
Earnings vs Market: EAT's earnings (49.3% per year) are forecast to grow faster than the US market (22.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: EAT's revenue (4.1% per year) is forecast to grow slower than the US market (8.8% per year).
High Growth Revenue: EAT's revenue (4.1% 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
Next Steps
Past Performance
How has Brinker International performed over the past 5 years?
-8.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EAT has a large one-off loss of $39.3M impacting its March 25 2020 financial results.
Growing Profit Margin: EAT's current net profit margins (3.6%) are lower than last year (4.7%).
Past Earnings Growth Analysis
Earnings Trend: EAT's earnings have declined by -8.7% per year over the past 5 years.
Accelerating Growth: EAT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: EAT had negative earnings growth (-20.8%) over the past year, making it difficult to compare to the Hospitality industry average (-14.5%).
Return on Equity
High ROE: EAT's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
Next Steps
Financial Health
How is Brinker International's financial position?
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 (22.3%).
Interest Coverage: EAT's interest payments on its debt are well covered by EBIT (3.7x coverage).
Balance Sheet
Next Steps
Dividend
What is Brinker International's current dividend yield, its reliability and sustainability?
5.18%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EAT's dividend (5.18%) is higher than the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: EAT's dividend (5.18%) is in the top 25% of dividend payers in the US market (4.39%)
Stability and Growth of Payments
Stable Dividend: EAT's dividends per share have been stable in the past 10 years.
Growing Dividend: EAT's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (47.2%), EAT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: EAT's dividends in 3 years are forecast to be well covered by earnings (21.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Wyman Roberts (60yo)
7.42yrs
Tenure
US$9,953,912
Compensation
Mr. Wyman T. Roberts has been the Chief Executive Officer and President of Brinker International, Inc. since January 1, 2013. He is President of Grill & Bar at Brinker International, Inc. and was its Inter ...
CEO Compensation Analysis
Compensation vs Market: Wyman's total compensation ($USD9.95M) is above average for companies of similar size in the US market ($USD4.72M).
Compensation vs Earnings: Wyman's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Non-Independent Director | 7.42yrs | US$9.95m | 0.35% $4.6m | |
| Executive VP & CFO | 2.83yrs | US$1.33m | 0.030% $390.3k | |
| Executive VP & Chief Administrative Officer | 0.75yr | US$978.35k | 0.038% $497.7k | |
| Executive Vice President & Chief Concept Officer for Chili’s® Grill & Bar | 11.17yrs | US$1.62m | 0.081% $1.1m | |
| Executive VP & President of Maggiano’s Little Italy | 1.92yrs | US$1.35m | 0.017% $220.2k | |
| VP of Finance & Investor Relations | no data | no data | no data | |
| Senior VP & Chief Supply Chain Officer | 5.58yrs | no data | 0.042% $560.2k | |
| Senior VP & COO for Chili's Grill & Bar | 4yrs | no data | 0.035% $464.7k | |
| Chief Concept Officer of Maggiano's Brand | 3.25yrs | no data | no data | |
| Senior VP & Chief Digital Officer | 2.42yrs | no data | 0.018% $237.8k |
3.3yrs
Average Tenure
56yo
Average Age
Experienced Management: EAT's management team is considered experienced (3.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Non-Independent Director | 7.42yrs | US$9.95m | 0.35% $4.6m | |
| Independent Vice Chairman | no data | US$219.46k | 0.10% $1.3m | |
| Independent Director | 7.25yrs | US$232.46k | 0.073% $957.7k | |
| Independent Director | 12.25yrs | US$224.96k | 0.065% $852.7k | |
| Independent Chairman of the Board | 6.58yrs | US$374.96k | 0.19% $2.4m | |
| Independent Director | 1.17yrs | US$46.25k | 0.012% $160.5k | |
| Independent Director | 1.42yrs | US$184.97k | 0.010% $132.8k | |
| Independent Director | 2.42yrs | US$207.46k | 0.023% $299.2k |
6.6yrs
Average Tenure
60yo
Average Age
Experienced Board: EAT's board of directors are considered experienced (6.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EAT insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.9%.
Top Shareholders
Company Information
Brinker International, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Brinker International, Inc.
- Ticker: EAT
- Exchange: NYSE
- Founded: 1975
- Industry: Restaurants
- Sector: Consumer Services
- Market Cap: US$1.320b
- Shares outstanding: 44.96m
- Website: https://www.brinker.com
Number of Employees
Location
- Brinker International, Inc.
- 3000 Olympus Boulevard
- Dallas
- Texas
- 75019
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EAT | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1984 |
| BKJ | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1984 |
Biography
Brinker International, Inc., together with its subsidiaries, owns, develops, operates, and franchises casual dining restaurants in the United States and internationally. As of September 25, 2019, it owned, operated, or franchised 1,672 restaurants comprising 1,619 restaurants under the Chili's Grill & Bar name and 53 restaurants under the Maggiano’s Little Italy brand name. The company was founded in 1975 and is based in Dallas, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/05 02:18 |
| End of Day Share Price | 2020/06/04 00:00 |
| Earnings | 2020/03/25 |
| Annual Earnings | 2019/06/26 |
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.