BJ’s Restaurants, Inc. (BJRI) recently spiked higher to hit a new all-time high at $35.34 after reporting awesome Q3 results that easily beat expectations. With analysts raising estimates and a bullish growth projection, this Zacks #1 rank stock looks like a solid momentum pick.
Company Description
BJ Restaurants, Inc. own and operates casual dining restaurants in the United States. The company owns and operates 95 restaurants, was founded in 1991 and has a market cap of $950 million.
BJ’s stepped up and reported awesome Q3 results on Oct 21 that easily beat expectations, sending shares jumping higher to a new all-time high.
Third-Quarter Results
Revenue for the period was up 24% from last year to $129 million. Earnings also came in strong at 20 cents, 25% ahead of the Zacks Consensus Estimate, boosting the company’s average earnings surprise to 17% over the last four quarters.
Although the company continues to pursuit its growth strategy, on pace to open 10 new restaurents on the year, it’s same store sales look great, up 6.7% from last year. Moving forward, the company plans to open 12 to 13 stores in 2011.
Balance Sheet
BJ’s also has an awesome balance sheet, with $22 million in cash and equivilants and no long-term debt.
Estimates
We have seen some decent movement in estimates off the good quarter, with the current year adding 3 cents to 76 cents, and the next year adding 5 cents to 94, cents, a bullish 22% growth projection.
In light of recent gains, shares of BJRI don’t come cheap, trading with a forward P/E of 44X against its peer average of 24X.
12-Month Chart
BJRI has been grinding higher for most of the last year, recently jumping higher on the good quarter to hit a new all-time high at $35.34. The MACD below the chart is bullish too, with the short-term average moving ahead of the long-term average. Look for support from the trend line and short-term low on any weakness, take a look below.
Michael Vodicka is the Momentum Stock Strategist for Zacks.com. He is also the Editor in charge of the new Zacks Momentum Trader Service.
BJ’S RESTAURANT (BJRI): Free Stock Analysis Report
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