Denny’s (DENN) Raised to Hold at Zacks Investment Research

Zacks Investment Research upgraded shares of Denny’s (NASDAQ:DENN) from a sell rating to a hold rating in a report issued on Thursday.

According to Zacks, “Denny’s Corp., formerly Advantica Restaurant Group, Inc., is one of the largest restaurant companies, operating moderately-priced restaurants: Denny’s, Hardee’s, Quincy’s, El Pollo Loco, Coco’s and Carrows. The company believes its restaurants benefit from the diversity of the restaurant concepts, the generally strong market positions and consumer recognition enjoyed by these chains, the benefits of a centralized support system for purchasing, menu development, human resources, management information systems, site selection, restaurant design and construction. “

Other research analysts also recently issued reports about the company. BidaskClub downgraded Denny’s from a buy rating to a hold rating in a report on Thursday, July 26th. Wedbush decreased their price target on Denny’s from $18.50 to $17.00 and set an outperform rating for the company in a report on Tuesday, July 31st. ValuEngine downgraded Denny’s from a buy rating to a hold rating in a report on Wednesday, August 8th. Finally, Stephens downgraded Denny’s from an overweight rating to an equal weight rating and decreased their price target for the company from $18.00 to $16.50 in a report on Wednesday, September 12th. Two research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The stock presently has a consensus rating of Buy and a consensus price target of $17.33.

NASDAQ:DENN traded down $0.22 during trading hours on Thursday, reaching $16.29. The company had a trading volume of 182,254 shares, compared to its average volume of 296,219. Denny’s has a 1-year low of $12.20 and a 1-year high of $18.16. The company has a market capitalization of $1.06 billion, a PE ratio of 28.09 and a beta of 0.14.

Denny’s (NASDAQ:DENN) last announced its quarterly earnings results on Tuesday, October 30th. The restaurant operator reported $0.17 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $0.18 by ($0.01). Denny’s had a net margin of 7.48% and a negative return on equity of 40.31%. The company had revenue of $158.00 million during the quarter, compared to analyst estimates of $159.28 million. During the same period in the previous year, the firm posted $0.14 earnings per share. The company’s revenue was up 19.3% compared to the same quarter last year. On average, equities research analysts anticipate that Denny’s will post 0.68 EPS for the current year.

In other news, EVP F Mark Wolfinger sold 7,500 shares of the company’s stock in a transaction that occurred on Monday, November 5th. The stock was sold at an average price of $16.65, for a total transaction of $124,875.00. Following the completion of the transaction, the executive vice president now directly owns 723,394 shares of the company’s stock, valued at approximately $12,044,510.10. The sale was disclosed in a filing with the SEC, which is available at this link. Corporate insiders own 5.80% of the company’s stock.

Several hedge funds have recently made changes to their positions in DENN. Connor Clark & Lunn Investment Management Ltd. acquired a new position in shares of Denny’s during the 2nd quarter worth approximately $162,000. Principal Financial Group Inc. acquired a new position in shares of Denny’s during the 1st quarter worth approximately $177,000. Robeco Institutional Asset Management B.V. acquired a new position in shares of Denny’s during the 2nd quarter worth approximately $202,000. Cornerstone Wealth Management LLC acquired a new position in shares of Denny’s during the 2nd quarter worth approximately $300,000. Finally, Mesirow Financial Investment Management Inc. raised its stake in shares of Denny’s by 41.3% during the 3rd quarter. Mesirow Financial Investment Management Inc. now owns 21,709 shares of the restaurant operator’s stock worth $320,000 after buying an additional 6,341 shares during the period. 89.89% of the stock is owned by institutional investors and hedge funds.

About Denny’s

Denny's Corporation, through its subsidiary, Denny's, Inc, owns and operates full-service restaurant chains under the Denny's brand. As of December 27, 2017, it had 1,735 franchised, licensed, and company restaurants worldwide, including 128 restaurants in Canada, Puerto Rico, Mexico, New Zealand, Honduras, the Philippines, Costa Rica, Dominican Republic, the United Arab Emirates, Guam, Curaçao, El Salvador, Guatemala, and the United Kingdom.

See Also: Fundamental Analysis

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