My opinion: The only way RT gets customers in the restaurant is by flooding market with email and snail mail coupons. Not enough new customers coming in paying full ticket price to generate good margins. Last year Iowa store closings this year Illinois store closings with no press releases - Management is hoping that no one notices. Expecting under 700 stores by end of 2012 and 500 by end of 2013.
Agree. I think what a lot of investors are doing is basing value purely on the RT concept. What they don't realize is that there is a huge turnaround story here and they are entering the fast casual market just like Chipolte Mexican Grille. RT has the buying power to dominate across several of their new smaller, more efficient concepts:
Marlin & Rays Jim & Nicks BBQ Truffles Cafe Wok Hay Lime Fresh
This is the kind of stock to get in early on, because once word gets out that they are executing on these ideas the bulk of the gains would have been made.