topstockalerts
Oct 14, 3:51 PM
Jefferies upgraded Brinker International to Buy from Hold and raised its price target to
$255 from
$230, arguing that the restaurant operator has completed its restructuring and is now positioned for sustained growth and long-term value creation that the market has yet to fully recognize. The firm compared Brinker’s trajectory with the multiyear transformation of Darden Restaurants, suggesting significant upside potential remains.
Adding to the positive outlook, S&P Global Ratings revised Brinker’s credit outlook to Positive from Stable while affirming its BB+ issuer credit rating. The agency highlighted improved leverage, which declined to 1.6x in fiscal 2026 from 1.8x a year earlier, alongside a 60-basis-point expansion in EBITDA margin to 18.4%. Brinker’s commitment to keeping leverage below 2.0x further supports its improving financial position.
The bullish developments reflect sustained traffic growth at Chili’s and disciplined financial management.
$EAT $JEF
