Jack in the Box (NASDAQ:JACK) Shares Gap Up Following Earnings Beat

Jack in the Box Inc. (NASDAQ:JACK) gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $33.95, but opened at $37.89. Jack in the Box shares last traded at $39.35, with a volume of 537,515 shares.

The restaurant operator reported $1.92 EPS for the quarter, beating the consensus estimate of $1.71 by $0.21. The firm had revenue of $469.44 million for the quarter, compared to analyst estimates of $470.47 million. Jack in the Box had a negative return on equity of 15.79% and a negative net margin of 2.34%.

Jack in the Box Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, April 8th. Investors of record on Thursday, March 20th will be issued a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a dividend yield of 4.56%. The ex-dividend date is Thursday, March 20th. Jack in the Box’s dividend payout ratio is currently -90.26%.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on JACK shares. Oppenheimer reduced their target price on shares of Jack in the Box from $60.00 to $52.00 and set an “outperform” rating on the stock in a report on Tuesday, January 7th. Northcoast Research lowered shares of Jack in the Box from a “buy” rating to a “neutral” rating in a report on Thursday, November 14th. Morgan Stanley reduced their target price on shares of Jack in the Box from $53.00 to $45.00 and set an “equal weight” rating on the stock in a report on Tuesday, January 21st. TD Cowen reaffirmed a “hold” rating and set a $50.00 target price on shares of Jack in the Box in a report on Thursday, November 21st. Finally, Stifel Nicolaus reduced their target price on shares of Jack in the Box from $52.00 to $40.00 and set a “hold” rating on the stock in a report on Friday, January 10th. One equities research analyst has rated the stock with a sell rating, eleven have given a hold rating and six have issued a buy rating to the company. Based on data from MarketBeat.com, Jack in the Box has a consensus rating of “Hold” and a consensus target price of $49.56.

Insider Activity

In other news, SVP Sarah L. Super sold 1,688 shares of Jack in the Box stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $40.52, for a total transaction of $68,397.76. Following the sale, the senior vice president now owns 16,815 shares of the company’s stock, valued at approximately $681,343.80. The trade was a 9.12 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In the last 90 days, insiders have sold 2,190 shares of company stock valued at $92,961. Corporate insiders own 1.40% of the company’s stock.

Institutional Investors Weigh In On Jack in the Box

A number of large investors have recently modified their holdings of JACK. Invenomic Capital Management LP bought a new stake in shares of Jack in the Box during the 3rd quarter valued at about $11,802,000. Raymond James Financial Inc. bought a new stake in Jack in the Box during the fourth quarter worth about $7,655,000. IPG Investment Advisors LLC boosted its stake in Jack in the Box by 59.2% during the fourth quarter. IPG Investment Advisors LLC now owns 440,619 shares of the restaurant operator’s stock worth $18,347,000 after acquiring an additional 163,834 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in Jack in the Box by 178.5% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 196,740 shares of the restaurant operator’s stock worth $8,192,000 after acquiring an additional 126,101 shares in the last quarter. Finally, Woodline Partners LP bought a new stake in Jack in the Box during the fourth quarter worth about $4,249,000. Institutional investors own 99.79% of the company’s stock.

Jack in the Box Price Performance

The firm’s 50 day moving average is $39.55 and its 200 day moving average is $44.52. The firm has a market cap of $728.22 million, a P/E ratio of -19.81, a price-to-earnings-growth ratio of 1.29 and a beta of 1.94.

About Jack in the Box

Jack in the Box Inc operates and franchises Jack in the Box and Del Taco quick-service restaurants in the United States. The company was founded in 1951 and is headquartered in San Diego, California.