Brinker International, Inc (EAT) Shares Down Despite Recent Market Volatility

Brinker International, Inc (NYSE: EAT) has experienced a decline in its stock price by -3.50 compared to its previous closing price of 154.52. However, the company has seen a gain of 3.88% in its stock price over the last five trading days. zacks.com reported 2025-01-24 that The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here’s why you should take advantage.

Is It Worth Investing in Brinker International, Inc (NYSE: EAT) Right Now?

Brinker International, Inc (NYSE: EAT) has a higher price-to-earnings ratio of 36.44x compared to its average ratio, The 36-month beta value for EAT is at 2.54. Analysts have varying views on the stock, with 4 analysts rating it as a “buy,” 1 rating it as “overweight,” 15 as “hold,” and 0 as “sell.”

The public float for EAT is 43.67M, and currently, shorts hold a 12.40% of that float. The average trading volume for EAT on January 24, 2025 was 1.19M shares.

EAT’s Market Performance

EAT stock saw an increase of 3.88% in the past week, with a monthly gain of 11.06% and a quarterly increase of 60.45%. The volatility ratio for the week is 2.56%, and the volatility levels for the last 30 days are 3.25% for Brinker International, Inc (EAT). The simple moving average for the past 20 days is 5.39% for EAT’s stock, with a 73.08% simple moving average for the past 200 days.

Analysts’ Opinion of EAT

Argus, on the other hand, stated in their research note that they expect to see EAT reach a price target of $150. The rating they have provided for EAT stocks is “Buy” according to the report published on December 24th, 2024.

Morgan Stanley gave a rating of “Equal-Weight” to EAT, setting the target price at $115 in the report published on December 20th of the previous year.

EAT Trading at 12.31% from the 50-Day Moving Average

After a stumble in the market that brought EAT to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -3.88% of loss for the given period.

Volatility was left at 3.25%, however, over the last 30 days, the volatility rate increased by 2.56%, as shares surge +12.06% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +29.82% upper at present.

During the last 5 trading sessions, EAT rose by +3.90%, which changed the moving average for the period of 200-days by +209.42% in comparison to the 20-day moving average, which settled at $141.49. In addition, Brinker International, Inc saw 12.71% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at EAT starting from White Aaron M, who sale 1,525 shares at the price of $130.69 back on Dec 02 ’24. After this action, White Aaron M now owns 38,873 shares of Brinker International, Inc, valued at $199,302 using the latest closing price.

White Aaron M, the Officer of Brinker International, Inc, proposed sale 1,525 shares at $130.69 during a trade that took place back on Dec 02 ’24, which means that White Aaron M is holding shares at $199,300 based on the most recent closing price.

Stock Fundamentals for EAT

Current profitability levels for the company are sitting at:

  • 0.06 for the present operating margin
  • 0.2 for the gross margin

The net margin for Brinker International, Inc stands at 0.04. The total capital return value is set at 0.15.

Based on Brinker International, Inc (EAT), the company’s capital structure generated 0.99 points at debt to capital in total, while cash flow to debt ratio is standing at 0.21. The debt to equity ratio resting at 158.19. The interest coverage ratio of the stock is 4.74.

Currently, EBITDA for the company is 400.7 million with net debt to EBITDA at 4.32. When we switch over and look at the enterprise to sales, we see a ratio of 1.9. The receivables turnover for the company is 83.95for trailing twelve months and the total asset turnover is 1.79. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.32.

Conclusion

In conclusion, Brinker International, Inc (EAT) has had a better performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.

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