Denny’s Corp (DENN) received a Buy rating and a $21 price target from Maxim Group analyst Stephen Anderson today. The company’s shares opened today at $16.18.
Anderson noted:
“We initiate coverage of Denny’s (DENN) with a Buy rating, based on our Street- high EPS estimates of $0.81 for 2019 and $1.03 for 2020, which lead to our $21 price target. We consider refranchising-related asset sales as the most important upside earnings driver for at least the next two years, driven by a significant jump in operating margin, to 21.8% in 2020, from an estimated 12.0% in 2018. We also anticipate a return to net new unit growth of 1%-2% beginning in 2019, bolstered in part by DENN’s refranchising initiative, while modeling 1%-2% comp growth. We also expect DENN to pursue opportunistic share buybacks.”
According to TipRanks.com, Anderson is a top 100 analyst with an average return of 12.2% and a 68.7% success rate. Anderson covers the Services sector, focusing on stocks such as Dave & Busters Entertainment, Good Times Restaurants Inc, and Dine Brands Global Inc.
Currently, the analyst consensus on Denny’s Corp is a Moderate Buy with an average price target of $17.
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The company has a one-year high of $18.16 and a one-year low of $13.13. Currently, Denny’s Corp has an average volume of 326.7K.
Based on the recent corporate insider activity of 41 insiders, corporate insider sentiment is negative on the stock. Last month, Mark Wolfinger, the EVP, Chief Admin Officer & CFO of DENN sold 14,000 shares for a total of $236,570.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
Denny’s Corp. operates as a family restaurant chain, which owns and operates Denny’s restaurant brand. It provides breakfast, lunch and dinner including craveable burgers, sandwiches, salads and entrees. The company also offers appetizers and desserts cater to the late-night crowd.
