BJ’s Restaurants (NASDAQ:BJRI) Rating Lowered to Hold at Zacks Investment Research

BJ’s Restaurants (NASDAQ:BJRI) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Monday, Zacks.com reports. They currently have a $49.00 target price on the restaurant operator’s stock. Zacks Investment Research‘s price target indicates a potential upside of 0.47% from the stock’s previous close.

According to Zacks, “Shares of BJ’s Restaurants have outperformed the industry so far this year. Notably, the company has been benefiting from its off-premise business model along with various strategic sales-building initiatives and loyalty program. Also, the rollout of digital check-ins, digital menus and digital payment options is likely to attract more customers, going forward. Meanwhile, earnings estimates for 2021 have moved up over the past 60 days, depicting analysts optimism regarding the stock growth potential. However, coronavirus related woes remains a major concern. Although, majority of the stores have re-opened after coronavirus-led shutdown traffic are still below pre-outbreak level. Also, high dependency on consumer discretionary spending and increasing costs remains a headwind.”

Other research analysts also recently issued reports about the stock. Barclays raised their price target on shares of BJ’s Restaurants from $40.00 to $45.00 in a report on Friday, April 23rd. Deutsche Bank Aktiengesellschaft raised their price objective on shares of BJ’s Restaurants from $56.00 to $62.00 and gave the company a “hold” rating in a research report on Monday, April 19th. Stephens lowered their price objective on shares of BJ’s Restaurants from $70.00 to $63.00 and set an “overweight” rating on the stock in a research report on Wednesday, June 9th. Wedbush raised their price objective on shares of BJ’s Restaurants from $60.00 to $68.00 and gave the company an “outperform” rating in a research report on Friday, April 16th. Finally, Morgan Stanley raised their price objective on shares of BJ’s Restaurants from $54.00 to $59.00 and gave the company an “equal weight” rating in a research report on Monday, April 26th. One research analyst has rated the stock with a sell rating, four have given a hold rating and six have issued a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus price target of $57.27.

Shares of NASDAQ:BJRI opened at $48.77 on Monday. The firm has a fifty day moving average price of $55.39. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.68 and a current ratio of 0.74. BJ’s Restaurants has a one year low of $16.08 and a one year high of $63.42. The company has a market cap of $1.13 billion, a P/E ratio of -18.54, a price-to-earnings-growth ratio of 6.17 and a beta of 2.28.

BJ’s Restaurants (NASDAQ:BJRI) last announced its quarterly earnings results on Wednesday, April 21st. The restaurant operator reported ($0.14) EPS for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.66) by $0.52. BJ’s Restaurants had a negative net margin of 7.60% and a negative return on equity of 16.61%. The firm had revenue of $223.31 million during the quarter, compared to the consensus estimate of $202.45 million. During the same period last year, the firm earned ($0.22) EPS. The business’s quarterly revenue was down 12.3% compared to the same quarter last year. As a group, sell-side analysts forecast that BJ’s Restaurants will post 0.56 earnings per share for the current fiscal year.

In related news, insider Brian S. Krakower sold 4,924 shares of BJ’s Restaurants stock in a transaction on Monday, June 7th. The shares were sold at an average price of $51.72, for a total value of $254,669.28. Following the transaction, the insider now owns 4,295 shares in the company, valued at approximately $222,137.40. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 3.60% of the stock is owned by company insiders.

Hedge funds have recently added to or reduced their stakes in the business. FORA Capital LLC purchased a new position in shares of BJ’s Restaurants in the first quarter valued at about $33,000. Point72 Hong Kong Ltd increased its position in shares of BJ’s Restaurants by 4,758.3% in the first quarter. Point72 Hong Kong Ltd now owns 583 shares of the restaurant operator’s stock valued at $34,000 after acquiring an additional 571 shares during the period. The PNC Financial Services Group Inc. increased its position in shares of BJ’s Restaurants by 35.3% in the first quarter. The PNC Financial Services Group Inc. now owns 1,473 shares of the restaurant operator’s stock valued at $84,000 after acquiring an additional 384 shares during the period. Eaton Vance Management purchased a new position in shares of BJ’s Restaurants in the first quarter valued at about $92,000. Finally, First Mercantile Trust Co. purchased a new position in shares of BJ’s Restaurants in the fourth quarter valued at about $64,000. Hedge funds and other institutional investors own 96.40% of the company’s stock.

About BJ’s Restaurants

BJ's Restaurants, Inc owns and operates casual dining restaurants in the United States. Its restaurants offer pizzas, craft and other beers, appetizers, entrées, pastas, sandwiches, specialty salads, and desserts. As of June 1, 2021, the company operated 212 casual dining restaurants in 29 states.

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