13.68 +0.20 (1.52%)
After hours: 6:38PM EDT
Commodity Channel Index
|Bid||13.51 x 3100|
|Ask||13.90 x 3200|
|Day's Range||13.31 - 14.96|
|52 Week Range||4.50 - 23.88|
|Beta (5Y Monthly)||0.05|
|PE Ratio (TTM)||7.68|
|Earnings Date||Jul 28, 2020 - Aug 03, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||12.57|
On May 18, President Trump met with several leaders and executives from the restaurant industry. By now, we're all familiar with how a wide range of businesses have suffered as a result of the Covid-19 outbreak and ensuing lockdown. And so, in the recent meeting with President Trump, restaurant executives have asked for more federal assistance. They highlighted that their sector is a depressed segment of the economy and businesses will need extra capital to stay afloat until customers come back.Amid the generally grim outlook for many specfiic sectors, the past two months have seen broader market indexes rallying. Now investors are wondering if the market has flown too close to the sun.In the short run, it isn't easy to predict what the market or any given stock mighty do. But if you are a long-term investor with a 2 to 3 year time horizon, then I believe the market offers plenty of opportunities.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Excellent Penny Stocks Ready to Roar As part of our economy opens up, here are three restaurant stocks that may be able to bring healthy returns for shareholders: * Denny's (NASDAQ:DENN) * McDonald's (NYSE:MCD) * Starbucks (NASDAQ:SBUX)On May 18, all three of these stocks saw strong bounces alongside the rest of the market. The next day, there was some profit-taking in all three names, potentially offering better entry points for long-term investors. I expect daily volatility to continue in the short run.All three companies have recently reported earnings that showed some rough fundamental metrics. And there may still be some choppy waters ahead.Moreover, these restaurant chains will have to follow different state or even national rules depending on the state or country where a restaurant is located. But they are all large and organized enough to be able to adapt to different operating procedures rather efficiently. Denny's (DENN)Source: JHVEPhoto / Shutterstock.com The restaurant chain bills itself as "America's Diner" and many of its regular patrons would likely agree. As of late March, the group had a combined 1,695 franchised, licensed and company restaurants. 147 of those are outside of the continental U.S.On May 14, DENN released results for its first quarter ended March 25, 2020, and provided a business update on the impact of the COVID-19 pandemic on operations. Adjusted earnings per share (EPS) of 17 cents was better than analysts' estimates, and despite the 36% YoY quarterly fall in revenue, the restaurant managed to post profits of $9 million. CEO John Miller said:"As restaurant operations were being limited to off-premise sales channels, we implemented streamlined menus, 'Dine-Thru' curbside service programs, and shareable family meal packs in a matter of days… [w]e have fortified our balance sheet, made disciplined cost savings decisions, and worked aggressively on multiple fronts to secure various forms of financial relief for our franchisees.Denny's has also made amendments in 400 stores and begun selling grocery items. Finally, the company has been "bolstering [its] sanitation protocols to transitioning to free contactless delivery and pick up services." Following the results, the shares popped higher.Year-to-date (YTD), DENN stock is down over 50%. On March 19, it hit a multi-year low at $4.50. Now it is hovering around $9.5.Its current trailing P/E of 5.4 and P/S ratio of 1.3 makes the casual-dining restaurant a long-term play for me, especially if the price falls toward $9 or even below. McDonald's (MCD)Source: 8th.creator / Shutterstock.com The group has more than 38,000 restaurants in over 100 countries, though its largest segment is the U.S. And on April 30, McDonald's reported first quarter 2020 results.CEO Chris Kempczinski commented that "McDonald's has seen a lot over our 65 years and I'm confident that the actions we're taking will enable us to emerge from this crisis in a position of competitive strength. But in Q1, global comparable sales declined 3.4%. Similarly, consolidated revenues decreased 6% (5% in constant currencies)."Approximately 75% of McDonald's restaurants remain open globally. Nonetheless earlier in April, management had already withdrawn its 2020 outlook.Over 90% of McDonald's restaurants are currently franchised. This gives it a significant competitive edge, as the initial franchise fees and continuous royalties mean high margins. It also collects rent from franchisees, as the company in fact owns most of these properties. Then it leases them out to the franchisees, often at significant markups. Put another way, the company is in the real estate business as much as food services.So far in 2020, MCD stock is down 9%. That decline is compared to a 4.8% drop in the Consumer Discretionary Select Sector SPDR Fund (NYSEARCA:XLY), which includes MCD as its third-largest holding at 6.55% of the portfolio, behind Amazon (NASDAQ:AMZN) at a whopping 23.9% and Home Depot (NYSE:HD) at 12.9% of the exchange-traded fund's assets.In Aug. 2019, MCD stock hit an all-time high of $221.93. The current price of about $179 means a trailing P/E ratio of 23.5 and P/S ratio of 6.6. On a fundamental basis, I'd be more comfortable with lower values in both metrics.The Golden Arches may not yet be able to go over $200 in the second half of 2020, but if you are a buy-and-hold investor, then you may consider investing in the shares, especially if there is a dip in price toward the $170 level or below. * 7 Excellent Penny Stocks Ready to Roar If you're looking for passive income, the burger chain's current dividend yield stands at 2.9%. Sshares are expected to go ex-dividend on May 29. However for now, McDonald's has paused its share buyback program. Starbucks (SBUX)Source: monticello / Shutterstock.com On April 28, the coffee chain released Q2 Fiscal 2020 results that said its quarterly global same-store sales fell 10%. Americas and U.S. comparable store sales declined 3%.On the other hand in the quarter, China comparable store sales were down 50%. Regular InvestorPlace may remember that novel coronavirus-related concerns had started rather earlier in the year for Starbucks as the virus had begun affecting operations in China.For the quarter, adjusted earnings per share came at 32 cents. Revenue was $6 billion, a decline of 5% from the prior year due to lost sales related to the viral pandemic.Management also warned that third-quarter results would take a larger hit from the COVID-19 outbreak, even though sales in China were recovering. In early April, the group had already withdrawn guidance for fiscal 2020.Starbucks opened 255 net new stores in the quarter, which means a 6% YoY unit growth. At the end of the period, it had 32,050 stores globally, of which 51% and 49% were company-operated and licensed, respectively.YTD, SBUX stock is down about 13%. In July 2019, SBUX stock hit an all-time high of $99.72. But on March 18, 2020, the shares saw a 52-week low of $50.02. They are currently around $76.Its trailing P/E ratio is 26.9 and P/S ratio is 3.4. Like McDonald's, I'd ideally like to see lower values in both metrics. Long-term investors may consider buying dips on SBUX stock, especially if it goes toward $70 or lower.Tezcan Gecgil has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation. As of this writing, Tezcan Gecgil did not hold a position in any of the aforementioned securities. More From InvestorPlace * Top Stock Picker Reveals His Next 1,000% Winner * America's Richest ZIP Code Holds Shocking Secret * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post 3 Reliable Restaurant Stocks to Buy for Reopening Returns appeared first on InvestorPlace.
At this time, I would like to turn the conference over to Curt Nichols, vice president, investor relations and financial planning and analysis. Good afternoon everyone, and thank you for joining us for Denny's first-quarter 2020 earnings conference call. With me today from management are John Miller, Denny's chief executive officer; and Robert Verostek, Denny's senior vice president and chief financial officer.
In his second "Executive Decision" segment of Mad Money Monday night, Jim Cramer spoke with John Miller, CEO of Denny's Corp. , the restaurant chain with 1,700 locations. When asked how franchisees have been coping with the pandemic, Miller noted that 70% of their franchisees own fewer than five locations, so they've been focused on raising liquidity and taking advantage of government programs. Miller said 96% of Denny's locations are franchised and just about all of them now have delivery service available via third-party providers.
The U.S. death toll from the coronavirus that causes COVID-19 rose above 87,000 on Saturday, as new outbreaks were reported from states where stay-at-home orders are set to expire and in states that never imposed them, raising concerns that the reopening of economies will spur new infections.
Shares of Denny's (NASDAQ: DENN) popped higher on Friday morning after the casual-dining restaurant chain delivered its fiscal first-quarter report. It's waiving delivery fees, offering curbside pickup, creating new specials like its family packs, developing meal kits to sell in grocery stores, and has even converted 400 stores to also sell grocery items.
Denny's (DENN) delivered earnings and revenue surprises of 142.86% and 5.77%, respectively, for the quarter ended March 2020. Do the numbers hold clues to what lies ahead for the stock?
Denny's Corp. shares climbed more than 14% in after-hours trading Thursday after the restaurant chain reported fiscal first-quarter earnings that beat Wall Street estimates. Denny's reported net income of $9 million, or 16 cents a share, compared with net income of $15.5 million, or 25 cents a share, in the year-ago quarter. Revenue tumbled 36% to $96.7 million from $151.4 million a year ago. During the crunch of the COVID-19 pandemic, the chain has gone to streamlined menus, "Dine-Thru" curbside service programs, and shareable family meal packs. Analysts surveyed by FactSet had expected net income of 11 cents a share on sales of $98.7 million. Denny's shares are down 55% in the last year. The broader S&P 500 index is down 0.8% in the last year.
SPARTANBURG, S.C., May 14, 2020 -- Denny’s Corporation (NASDAQ: DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today.
Hedge funds don't get the respect they used to get. Nowadays investors prefer passive funds over actively managed funds. One thing they don't realize is that 100% of the passive funds didn't see the coronavirus recession coming, but a lot of hedge funds did. Even we published an article near the end of February and […]
Denny's (DENN) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Shares of Denny's Corp. fell 7.4% in Monday premarket trading after the diner chain said first-quarter same-store sales fell 6.3%. Same-store sales each week for the month of April fell between 72% (week ending April 22) and 79% (week ending April 1). As of May 1, nearly three-quarters of Denny's locations (74%) were operating as largely or entirely for takeout and delivery. Denny's restaurants are a mix of company-owned and franchised. The company has put franchisee relief measures in place, including deferment of royalty and advertising fees. The company has also taken a number of cost-saving steps, including reduced staffing at its restaurants and pay cuts for the board, executives and management. As of May 1, Denny's had $51.1 million of cash and equivalents. The company has $43.6 million left from its $338 million revolving credit facility. Denny's is scheduled to report first-quarter earnings on May 14. Denny's stock has dropped 42.6% over the last year while the S&P 500 index is down 3.9% for the period.
Denny’s Corporation (DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today provided a business update on the impact of the COVID-19 pandemic on the Company’s operations and certain other preliminary financial information ahead of its first quarter earnings announcement planned for May 14, 2020. The COVID-19 pandemic and various related government mandates restricting dine-in restaurant service have continued to disrupt domestic and international operations for Denny’s Corporation and its franchisees. First quarter 2020 domestic system-wide same-store sales1 declined 6.3% as compared to the first quarter of 2019.
Those holding Denny's (NASDAQ:DENN) shares must be pleased that the share price has rebounded 65% in the last thirty...
Denny's (NASDAQ:DENN) shareholders are no doubt pleased to see that the share price has bounced 82% in the last month...
Chipotle Mexican Grill, Inc. (NYSE: CMG) is putting on hold its new menu offers, including a brisket meal. BBQ chain Dickey's isn't holding back on a brisket meal, which earns it my top new food item to try.New food items in the grocery store and restaurant items available for delivery couldn't have come at a better time. The American public remains mostly sheltered up in their homes and many are itching for something new and exciting to eat.But let's start at the most important meal of the day, breakfast.See Also: 7 New Food Items We Can't Wait To Eat: Shackburger, Big King XL And MoreBreakfast: Denny's Family Pack Denny's Corp (NASDAQ: DENN) launched multiple "Shareable Family Packs" for delivery or takeout. Each themed meal consists of enough food to feed four to five people, or two to three very hungry people.The "Grand Slam Pack" consists of eight classic pancakes, eight scrambled eggs, four pieces of bacon, four sausages and some hash browns to complete the hearty breakfast. Regular coffee, decaf, tea and other drinks are part of the package while toast is an extra option.Lunch: Little Caesars Pizza Pizza for lunch? Maybe not after a family-sized Grand Slam breakfast. The new Pepperoni Cheeser! Cheeser! from Little Caesars sounds great for a rainy afternoon followed by a nap.The new pie was first spotted in Lexington, Kentucky but has been spotted in other cities, according to Chewboom. The pie consists of a large pepperoni with fresh mozzarella, sweet basil and a toasted asiago-parmesan crust.Mid-Afternoon Snack: Taco Bell Yum! Brands, Inc. (NYSE: YUM) was also spotted selling a new item at select stores. The Flamin' Hot Doritos Locos Tacos consists of a Flamin' Hot Doritos-flavored taco with all the fixings and trimmings.Brisket Time! Dickey's Barbecue Pit is selling a new Classic Family Pack for a family of four, or again, two to three very hungry people. On the menu is one pound of brisket (my favorite) and one pound of pulled pork. Sides include beans, slaw, potato salad, dinner rolls, sauce, pickles, and onions. The package is available for online ordering or through the app. Other options include curbside pick-up and free doorstep delivery.Alternative Dinner: Burgers Jack in the Box Inc. (NASDAQ: JACK) is joining the rapidly growing family meal deal with its own StayInTheBox meal deal. A burger-themed or chicken-themed meal deal is meant to feed a family of four for dinner and another option is available for breakfast.Dessert: 2 Ice Cream Options Ice cream for dessert is a given for the vast majority of people. Since I'm far from what would be considered a big fan of ice cream, the handful of times I go out for a treat, it better be good. And the new Dairy Queen Blizzard of the month looks like it won't disappoint.Throughout April, the Brownie Dough Blizzard will be served and consists of soft-serve ice cream, real brownie dough pieces, chocolate chunks, and cocoa fudge. Personally, I will be a lot happier if the fudge can be replaced with hot caramel.Alternatively, Baskin-Robbins has a new Cotton Candy Crackle Ice Cream. The Dunkin Brands Group Inc (NASDAQ: DNKN) brand is offering free delivery through DoorDash with the promo code "BASKIN" for all orders of at least $15.Did I miss anything on my list? Let us know what you are eager to try! Email firstname.lastname@example.org with your thoughts.See more from Benzinga * Yum CEO Says Taco Bell, KFC Parent Company Takes 'Tremendous Pride' In Feeding The Nation * 6 Fast Food Deals And 5 Home Cooking Inspirations * BTIG On Restaurants: 'Cash Is King'(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Denny’s Corporation (DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today announced that the Company has secured additional funding through its revolving credit facility to provide enhanced financial flexibility in light of uncertain market conditions arising from the COVID-19 pandemic. The Company has terminated its limited pre-arranged stock trading plan, effective today. The plan had been established for the purpose of repurchasing a limited number of shares of the Company’s common stock between March 16, 2020 and April 30, 2020, through an independent broker in accordance with the guidelines specified under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended, and the Company’s policies regarding stock transactions.