BJ's Restaurants (BJRI) Stock Drops Despite Market Gains: Important Facts to Note
BJ's Restaurants (BJRI) closed at $34.70 in the latest trading session, marking a -1.95% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.29%. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.43%.
Coming into today, shares of the restaurant chain had gained 4.46% in the past month. In that same time, the Retail-Wholesale sector gained 0.4%, while the S&P 500 gained 2.08%.
Market participants will be closely following the financial results of BJ's Restaurants in its upcoming release. The company is predicted to post an EPS of $0.28, indicating a 64.71% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $330.53 million, down 3.96% from the year-ago period.
Investors should also note any recent changes to analyst estimates for BJ's Restaurants. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.73% decrease. Currently, BJ's Restaurants is carrying a Zacks Rank of #3 (Hold).
In the context of valuation, BJ's Restaurants is at present trading with a Forward P/E ratio of 26.17. This denotes a premium relative to the industry's average Forward P/E of 19.79.
One should further note that BJRI currently holds a PEG ratio of 1.87. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. BJRI's industry had an average PEG ratio of 1.85 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 112, finds itself in the top 45% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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BJ's Restaurants, Inc. (BJRI) : Free Stock Analysis Report
