KeyBanc Downgrades Ignite Restaurant Group (IRG) to Hold; Tough Competition
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Price: $0.37 --0%
Rating Summary:
2 Buy, 3 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
2 Buy, 3 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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KeyBanc downgraded Ignite Restaurant Group (NASDAQ: IRG) from Buy to Hold.
Analyst, Christopher O'Cull, said, "We are lowering our rating to HOLD primarily over concerns same-restaurant sales (SRS) have likely slowed the past several weeks and may remain soft as Joe's Crab Shack's largest competitor, Red Lobster (NYSE: DRI), is advertising aggressive promotions. We revised our SRS estimates for the 3Q to 2.0% from 3.5% (Street 3.6%) and for the 4Q to flat from 1% (Street 1.4%). As a result, we expect limited EPS upside for 2012 (KBCM $0.68; Street $0.72). We also lowered our 2013 EPS estimate to $0.76 (from $0.78; Street $0.83) based on our expectation for lower SRS (2% from 3% previously), partially offset by lower cost of sales."
For an analyst ratings summary and ratings history on Ignite Restaurant Group click here. For more ratings news on Ignite Restaurant Group click here.
Shares of Ignite Restaurant Group closed at $15.12 yesterday.
Analyst, Christopher O'Cull, said, "We are lowering our rating to HOLD primarily over concerns same-restaurant sales (SRS) have likely slowed the past several weeks and may remain soft as Joe's Crab Shack's largest competitor, Red Lobster (NYSE: DRI), is advertising aggressive promotions. We revised our SRS estimates for the 3Q to 2.0% from 3.5% (Street 3.6%) and for the 4Q to flat from 1% (Street 1.4%). As a result, we expect limited EPS upside for 2012 (KBCM $0.68; Street $0.72). We also lowered our 2013 EPS estimate to $0.76 (from $0.78; Street $0.83) based on our expectation for lower SRS (2% from 3% previously), partially offset by lower cost of sales."
For an analyst ratings summary and ratings history on Ignite Restaurant Group click here. For more ratings news on Ignite Restaurant Group click here.
Shares of Ignite Restaurant Group closed at $15.12 yesterday.
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