Cracker Barrel Old Country Store logged a -0.6% change during today's morning session, and is now trading at a price of $74.06 per share.
Cracker Barrel Old Country Store returned losses of -28.0% last year, with its stock price reaching a high of $121.17 and a low of $73.77. Over the same period, the stock underperformed the S&P 500 index by -43.0%. As of April 2023, the company's 50-day average price was $88.56. Cracker Barrel Old Country Store, Inc. develops and operates the Cracker Barrel Old Country Store concept in the United States. Based in Lebanon, TN, the mid-cap Consumer Discretionary company has 73,000 full time employees. Cracker Barrel Old Country Store has offered a 7.0% dividend yield over the last 12 months.
Shareholders Are Confronted With a Declining EPS Growth Trend:
| 2017-09-22 | 2018-09-28 | 2019-09-27 | 2020-09-25 | 2021-09-24 | 2022-09-27 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $2,926 | $3,030 | $3,072 | $2,523 | $2,821 | $3,268 |
| Gross Margins | 70.0% | 69.0% | 35.0% | 32.0% | 34.0% | 33.0% |
| Operating Margins | 11% | 10% | 9% | 2% | 5% | 5% |
| Net Margins | 7.0% | 8.0% | 7.0% | -1.0% | 9.0% | 4.0% |
| Net Income (MM) | $202 | $248 | $223 | -$32 | $255 | $132 |
| Net Interest Expense (MM) | -$14 | -$15 | -$16 | -$22 | -$56 | -$10 |
| Depreciation & Amort. (MM) | -$86 | -$94 | -$108 | -$118 | -$109 | -$104 |
| Earnings Per Share | $8.37 | $10.29 | $9.27 | -$1.36 | $10.71 | $5.69 |
| EPS Growth | n/a | 22.94% | -9.91% | -114.67% | 887.5% | -46.87% |
| Diluted Shares (MM) | 24 | 24 | 24 | 24 | 24 | 23 |
| Free Cash Flow (MM) | $431 | $482 | $501 | $251 | $223 | $303 |
| Capital Expenditures (MM) | -$110 | -$152 | -$138 | -$90 | $79 | -$98 |
| Net Current Assets (MM) | -$619 | -$639 | -$734 | -$1,483 | -$1,374 | -$1,466 |
| Long Term Debt (MM) | $400 | $400 | $400 | $910 | $327 | $423 |
Cracker Barrel Old Country Store has weak revenue growth and a flat capital expenditure trend, irregular cash flows, and an average amount of debt. We also note that the company has wider gross margins than its peer group working in its favor. However, the firm suffers from weak operating margins with a negative growth trend and declining EPS growth.
A Lower P/E Ratio Than Its Sector Average but Trades Above Its Graham Number:
Cracker Barrel Old Country Store has a trailing twelve month P/E ratio of 20.9, compared to an average of 22.33 for the Consumer Discretionary sector. Based on its EPS guidance of $6.44, the company has a forward P/E ratio of 13.8. The company doesn't issue forward earnings guidance, and the compound average growth rate of its last 6 years of reported EPS is -10.8%. On this basis, the company's PEG ratio is -1.95, which indicates that its shares are overpriced. Furthermore, Cracker Barrel Old Country Store is likely overvalued compared to the book value of its equity, since its P/B ratio of 3.46 is higher than the sector average of 3.12. The company's shares are currently trading 39.3% above their Graham number.
There's an Analyst Consensus of Some Upside Potential for Cracker Barrel Old Country Store:
The 8 analysts following Cracker Barrel Old Country Store have set target prices ranging from $72.0 to $105.0 per share, for an average of $90.25 with a hold rating. As of April 2023, the company is trading -1.9% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Cracker Barrel Old Country Store has an above average percentage of its shares sold short because 10.8% of the company's shares are sold short. Institutions own 98.5% of the company's shares, and the insider ownership rate stands at 1.93%, suggesting a small amount of insider investors. The largest shareholder is Blackrock Inc., whose 16% stake in the company is worth $256,975,636.
