Jack in the Box (NASDAQ:JACK) Shares Gap Up on Better-Than-Expected Earnings

Jack in the Box Inc. (NASDAQ:JACK) gapped up before the market opened on Wednesday following a stronger than expected earnings report. 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 traded.

The restaurant operator reported $1.92 earnings per share for the quarter, beating the consensus estimate of $1.71 by $0.21. Jack in the Box had a negative return on equity of 15.79% and a negative net margin of 2.34%. The business had revenue of $469.44 million during the quarter, compared to analysts’ expectations of $470.47 million.

Wall Street Analyst Weigh In

Several research firms recently commented on JACK. Piper Sandler cut their target price on shares of Jack in the Box from $56.00 to $53.00 and set a “neutral” rating for the company in a research note on Wednesday, October 30th. Stifel Nicolaus cut their price objective on Jack in the Box from $52.00 to $40.00 and set a “hold” rating for the company in a research report on Friday, January 10th. Royal Bank of Canada restated an “outperform” rating and issued a $55.00 target price on shares of Jack in the Box in a report on Thursday, January 16th. Barclays reduced their target price on Jack in the Box from $44.00 to $40.00 and set an “equal weight” rating for the company in a report on Wednesday. Finally, Northcoast Research lowered Jack in the Box from a “buy” rating to a “neutral” rating in a research report on Thursday, November 14th. Two equities research analysts have rated the stock with a sell rating, ten have given a hold rating and six have assigned a buy rating to the company’s stock. According to MarketBeat, Jack in the Box presently has an average rating of “Hold” and a consensus target price of $50.50.

Insider Buying and Selling at Jack in the Box

In other news, SVP Sarah L. Super sold 1,688 shares of the company’s stock in a transaction on Monday, December 23rd. The shares were sold at an average price of $40.52, for a total value of $68,397.76. Following the transaction, the senior vice president now directly owns 16,815 shares of the company’s stock, valued at approximately $681,343.80. This represents a 9.12 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders sold 2,190 shares of company stock valued at $92,961 in the last quarter. Company insiders own 1.40% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of JACK. Invenomic Capital Management LP acquired a new stake in shares of Jack in the Box during the 3rd quarter valued at about $11,802,000. Raymond James Financial Inc. acquired a new stake in Jack in the Box in the fourth quarter valued at approximately $7,655,000. IPG Investment Advisors LLC grew its position in Jack in the Box by 59.2% in 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 grew its position in Jack in the Box by 178.5% in 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 acquired a new position in shares of Jack in the Box during the 4th quarter worth $4,249,000. Hedge funds and other institutional investors own 99.79% of the company’s stock.

Jack in the Box Trading Up 15.6 %

The business’s fifty day moving average price is $39.60 and its two-hundred day moving average price is $44.61. The firm has a market cap of $739.87 million, a P/E ratio of -20.42, a P/E/G 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.