Five restaurant stocks to keep an eye on beyond 2021

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Five restaurant stocks to keep an eye on beyond 2021

 Five restaurant stocks to keep an eye on beyond 2021
Image source: Viktoriia Hnatiuk,Shutterstock

Highlights

  • The stock of Chipotle Mexican Grill, Inc’s (NYSE: CMG) rose 39.44 percent YTD.
  • Darden Restaurants, Inc’s (NYSE: DRI) total sales jumped 51% YoY in Q1, FY22.
  • The revenue of Bloomin' Brands, Inc. (NASDAQ: BLMN) surged 86.2% YoY.

The restaurant sector has been one of the most affected industries in the Covid-19 pandemic. The companies saw steep losses as consumers were forced to stay at home. However, with rapid vaccinations and the easing of pandemic restrictions, the sector is bouncing back. More people flocked to the restaurants with the Covid situation improving. The economic recovery also has been on track despite the threat of the Delta variant.

Let's explore some restaurant stocks that gave a return of more than 30 percent YTD.

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Chipotle Mexican Grill, Inc. (NYSE: CMG)

Chipotle is a Newport Beach, California-based restaurant chain operator. It operates in different parts of the world, including the US, the UK, France, Germany, etc.

The shares of the company traded at US$1858.615 at 12:09 pm ET on September 29, up 1.04 percent from its closing price of September 28. Its stock value increased by 39.44 percent YTD.

The firm has a market cap of US$52.13 billion, a P/E ratio of 90.25, and a forward P/E one year of 72.25. Its EPS is US$20.56.

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The highest and lowest prices of the stocks for the last 52-week were US$1,958.55 and US$1,172.29, respectively. Its trading volume was 295,359 on September 28.

The company will announce its third-quarter results on October 21, 2021.

The company's revenue increased by 38.7 percent YoY to US$1.89 billion in Q2, FY21. Its net income came in at US$187.97 million, or US$6.60 per diluted share, compared to an income of US$8.17 million, or US$0.29 per diluted share, in the second quarter of fiscal 2020.

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Restaurant stocks that gave return of more than 30% YTD.

Darden Restaurants, Inc. (NYSE: DRI)

Darden is an Orlando, Florida-based multi-brand restaurant operator that has operations in various locations in the US. It runs more than 1,800 restaurants.

The stock of the company was priced at US$154.76 at 12:16 pm ET on September 29, down by 0.71 percent from its previous closing price. The DRI stock rose 34.09 percent YTD.

The market cap of the company is US$20.29 billion, the P/E Ratio is 24.88, and the forward P/E one year is 20.54. Its EPS is US$6.24.

The highest and lowest stock prices of the firm for the last 52 weeks were US$164.28 and US$89.34, respectively. Its share volume on September 28 was 1,369,864.

The total sales of the restaurant operator soared 51 percent YoY to US$2.30 billion in Q1, FY22. It reported net earnings of US$230.9 million, or US$1.77 per basic share, compared to earnings of US$36.1 million, or US$0.28 per basic share in Q1, FY21.

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Papa John's International Inc. (NASDAQ: PZZA)

Papa John's is a pizza restaurant franchise that provides services in various locations across the world. It is based in Louisville, Kentucky.

The shares of the company traded at US$128.77 at 12:24 pm ET on September 29, up 2.86 percent from its closing price of September 28. Its stock value grew 46.7 percent YTD.

The firm has a market cap of US$4.70 billion and a forward P/E one year of 40.25. Its EPS is US$-0.85.

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The highest and lowest prices of the stocks for the last 52 weeks were US$132.37 and US$73.12, respectively. Its trading volume was 247,450 on September 28.

The company's revenue was US$515.00 million in Q2, FY21, compared to US$460.62 million in the same quarter of the previous year. Its net income came in at US$32.25 million, compared to US$20.61 million in Q2, FY20.

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Cheesecake Factory Incorporated (NASDAQ: CAKE)

Cheesecake Factory is a restaurant company that provides cheesecakes. It is based in Calabasas, California.

The stock of the company was priced at US$48.22 at 12:29 pm ET on September 29, down by 0.90 percent from its previous closing price. The CAKE stock jumped 37.42 percent YTD.

The market cap of the company is US$2.53 billion, and the forward P/E one year is 19.39. Its EPS is US$-1.27.

The highest and lowest stock prices of the firm for the last 52 weeks were US$65.81 and US$26.52, respectively. Its share volume on September 28 was 834,172.

The company's revenue was US$768.95 million in Q2, FY21, compared to US$295.85 million in the previous year's second quarter. Its net income came at US$33.71 million, against a loss of US$56.53 million in Q2, FY20.

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Restaurant Stocks: CMG, DRI, PZZA, CAKE, BLMN

Source: pixabay


Bloomin' Brands, Inc. (NASDAQ: BLMN)

Bloomin' Brands, Inc. is a restaurant holding company that owns various dining restaurant chains. It is based in Tampa, Florida.

The shares of the company traded at US$26.59 at 12:36 pm ET on September 29, up 0.23 percent from its closing price of September 28. Its stock value soared 44.66 percent YTD.

The firm has a market cap of US$2.37 billion, a P/E ratio of 26.14, and a forward P/E one-year of 9.44. Its EPS is US$1.02.

The highest and lowest prices of the stocks for the last 52 weeks were US$32.81 and US$13.66, respectively. Its trading volume was 1,731,238 on September 28.

The company's revenue was US$1.07 billion in Q2, FY21, an increase of 86.2 percent from the year-ago quarter. It reported a net income of US$84.88 million, against a loss of US$92.42 million in the second quarter of fiscal 2020.

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Bottomline


The sector witnessed growth in recent months as more people visited restaurants. The S&P 500 consumer discretionary sector increased by 11.34 percent YTD, while the S&P 500 Hotels Restaurants & Leisure (Industry) surged 11.82% YTD and 5.00% QTD, indicating sustained growth of the sector from the disruptions in 2020. However, investors should evaluate the stocks carefully before investing.

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