BRINKER INTERNATIONAL INC (EAT) Fundamental Analysis & Valuation
NYSE:EAT • US1096411004
Current stock price
159.29 USD
+0.04 (+0.03%)
Last:
This EAT fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. EAT Profitability Analysis
1.1 Basic Checks
- EAT had positive earnings in the past year.
- In the past year EAT had a positive cash flow from operations.
- Of the past 5 years EAT 4 years were profitable.
- In the past 5 years EAT always reported a positive cash flow from operatings.
1.2 Ratios
- EAT has a better Return On Assets (12.18%) than 88.10% of its industry peers.
- EAT's Return On Equity of 88.25% is amongst the best of the industry. EAT outperforms 95.24% of its industry peers.
- EAT has a better Return On Invested Capital (16.80%) than 85.71% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for EAT is significantly below the industry average of 10.55%.
- The last Return On Invested Capital (16.80%) for EAT is above the 3 year average (2.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.18% | ||
| ROE | 88.25% | ||
| ROIC | 16.8% |
ROA(3y)-1.3%
ROA(5y)1.33%
ROE(3y)-2.54%
ROE(5y)N/A
ROIC(3y)2.53%
ROIC(5y)5.11%
1.3 Margins
- EAT has a Profit Margin of 7.83%. This is in the better half of the industry: EAT outperforms 69.05% of its industry peers.
- EAT's Profit Margin has declined in the last couple of years.
- With a Operating Margin value of 10.35%, EAT perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
- In the last couple of years the Operating Margin of EAT has declined.
- EAT has a Gross Margin of 18.43%. This is amonst the worse of the industry: EAT underperforms 88.89% of its industry peers.
- EAT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.35% | ||
| PM (TTM) | 7.83% | ||
| GM | 18.43% |
OM growth 3Y-19.63%
OM growth 5Y-6.14%
PM growth 3Y-69.61%
PM growth 5Y-35.75%
GM growth 3Y25.02%
GM growth 5Y10.82%
2. EAT Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), EAT is creating value.
- The number of shares outstanding for EAT has been increased compared to 1 year ago.
- EAT has less shares outstanding than it did 5 years ago.
- EAT has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 3.87 indicates that EAT is not in any danger for bankruptcy at the moment.
- EAT has a better Altman-Z score (3.87) than 84.13% of its industry peers.
- EAT has a debt to FCF ratio of 1.05. This is a very positive value and a sign of high solvency as it would only need 1.05 years to pay back of all of its debts.
- EAT has a better Debt to FCF ratio (1.05) than 88.89% of its industry peers.
- EAT has a Debt/Equity ratio of 1.19. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.19, EAT perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
- Although EAT's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 1.05 | ||
| Altman-Z | 3.87 |
ROIC/WACC1.88
WACC8.94%
2.3 Liquidity
- A Current Ratio of 0.36 indicates that EAT may have some problems paying its short term obligations.
- EAT's Current ratio of 0.36 is on the low side compared to the rest of the industry. EAT is outperformed by 88.10% of its industry peers.
- EAT has a Quick Ratio of 0.36. This is a bad value and indicates that EAT is not financially healthy enough and could expect problems in meeting its short term obligations.
- EAT has a Quick ratio of 0.31. This is amonst the worse of the industry: EAT underperforms 86.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.31 |
3. EAT Growth Analysis
3.1 Past
- EAT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 50.76%, which is quite impressive.
- Measured over the past years, EAT shows a very strong growth in Earnings Per Share. The EPS has been growing by 37.36% on average per year.
- Looking at the last year, EAT shows a very strong growth in Revenue. The Revenue has grown by 65.25%.
- EAT shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -63.21% yearly.
EPS 1Y (TTM)50.76%
EPS 3Y41.82%
EPS 5Y37.36%
EPS Q2Q%2.5%
Revenue 1Y (TTM)65.25%
Revenue growth 3Y-82.4%
Revenue growth 5Y-63.21%
Sales Q2Q%6.92%
3.2 Future
- Based on estimates for the next years, EAT will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.71% on average per year.
- Based on estimates for the next years, EAT will show a small growth in Revenue. The Revenue will grow by 6.00% on average per year.
EPS Next Y21.53%
EPS Next 2Y18.25%
EPS Next 3Y15.13%
EPS Next 5Y14.71%
Revenue Next Year8.36%
Revenue Next 2Y6.91%
Revenue Next 3Y5.64%
Revenue Next 5Y6%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. EAT Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 16.01 indicates a correct valuation of EAT.
- Compared to the rest of the industry, the Price/Earnings ratio of EAT indicates a somewhat cheap valuation: EAT is cheaper than 77.78% of the companies listed in the same industry.
- EAT is valuated rather cheaply when we compare the Price/Earnings ratio to 27.33, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 12.80 indicates a correct valuation of EAT.
- 81.75% of the companies in the same industry are more expensive than EAT, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 38.16. EAT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.01 | ||
| Fwd PE | 12.8 |
4.2 Price Multiples
- EAT's Enterprise Value to EBITDA ratio is in line with the industry average.
- EAT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. EAT is cheaper than 82.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.22 | ||
| EV/EBITDA | 11.16 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- EAT has a very decent profitability rating, which may justify a higher PE ratio.
- EAT's earnings are expected to grow with 15.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)0.43
EPS Next 2Y18.25%
EPS Next 3Y15.13%
5. EAT Dividend Analysis
5.1 Amount
- No dividends for EAT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
EAT Fundamentals: All Metrics, Ratios and Statistics
NYSE:EAT (4/15/2026, 11:46:31 AM)
159.29
+0.04 (+0.03%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)01-28 2026-01-28/bmo
Earnings (Next)04-27 2026-04-27/bmo
Inst Owners114.9%
Inst Owner Change0.07%
Ins Owners1.14%
Ins Owner Change-6.04%
Market Cap6.94B
Revenue(TTM)4.28B
Net Income(TTM)334.72M
Analysts80.71
Price Target190.47 (19.57%)
Short Float %10.71%
Short Ratio3.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.97%
Min EPS beat(2)7.76%
Max EPS beat(2)8.18%
EPS beat(4)4
Avg EPS beat(4)4.87%
Min EPS beat(4)0.67%
Max EPS beat(4)8.18%
EPS beat(8)7
Avg EPS beat(8)13.58%
EPS beat(12)11
Avg EPS beat(12)41.88%
EPS beat(16)13
Avg EPS beat(16)33.8%
Revenue beat(2)2
Avg Revenue beat(2)0.86%
Min Revenue beat(2)0.31%
Max Revenue beat(2)1.41%
Revenue beat(4)4
Avg Revenue beat(4)0.99%
Min Revenue beat(4)0.31%
Max Revenue beat(4)1.58%
Revenue beat(8)7
Avg Revenue beat(8)2.1%
Revenue beat(12)7
Avg Revenue beat(12)1.09%
Revenue beat(16)9
Avg Revenue beat(16)0.92%
PT rev (1m)-0.2%
PT rev (3m)14.59%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)-0.88%
EPS NY rev (1m)0.1%
EPS NY rev (3m)3.1%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)0.67%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.01 | ||
| Fwd PE | 12.8 | ||
| P/S | 1.62 | ||
| P/FCF | 15.22 | ||
| P/OCF | 9.4 | ||
| P/B | 18.29 | ||
| P/tB | 41.24 | ||
| EV/EBITDA | 11.16 |
EPS(TTM)9.95
EY6.25%
EPS(NY)12.44
Fwd EY7.81%
FCF(TTM)10.47
FCFY6.57%
OCF(TTM)16.94
OCFY10.63%
SpS98.17
BVpS8.71
TBVpS3.86
PEG (NY)0.74
PEG (5Y)0.43
Graham Number44.1571 (-72.28%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.18% | ||
| ROE | 88.25% | ||
| ROCE | 21.27% | ||
| ROIC | 16.8% | ||
| ROICexc | 16.93% | ||
| ROICexgc | 18.85% | ||
| OM | 10.35% | ||
| PM (TTM) | 7.83% | ||
| GM | 18.43% | ||
| FCFM | 10.66% |
ROA(3y)-1.3%
ROA(5y)1.33%
ROE(3y)-2.54%
ROE(5y)N/A
ROIC(3y)2.53%
ROIC(5y)5.11%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)3.21%
ROCE(5y)6.47%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-19.63%
OM growth 5Y-6.14%
PM growth 3Y-69.61%
PM growth 5Y-35.75%
GM growth 3Y25.02%
GM growth 5Y10.82%
F-Score9
Asset Turnover1.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 1.05 | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | 127.63% | ||
| Cap/Sales | 6.59% | ||
| Interest Coverage | 10.38 | ||
| Cash Conversion | 111.25% | ||
| Profit Quality | 136.2% | ||
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 3.87 |
F-Score9
WACC8.94%
ROIC/WACC1.88
Cap/Depr(3y)14.03%
Cap/Depr(5y)39.22%
Cap/Sales(3y)1.14%
Cap/Sales(5y)2.04%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)50.76%
EPS 3Y41.82%
EPS 5Y37.36%
EPS Q2Q%2.5%
EPS Next Y21.53%
EPS Next 2Y18.25%
EPS Next 3Y15.13%
EPS Next 5Y14.71%
Revenue 1Y (TTM)65.25%
Revenue growth 3Y-82.4%
Revenue growth 5Y-63.21%
Sales Q2Q%6.92%
Revenue Next Year8.36%
Revenue Next 2Y6.91%
Revenue Next 3Y5.64%
Revenue Next 5Y6%
EBIT growth 1Y66.51%
EBIT growth 3Y-85.85%
EBIT growth 5Y-65.47%
EBIT Next Year55.98%
EBIT Next 3Y20.93%
EBIT Next 5Y16.3%
FCF growth 1Y185.83%
FCF growth 3Y-71.42%
FCF growth 5Y-55.77%
OCF growth 1Y117.87%
OCF growth 3Y-77.72%
OCF growth 5Y-59.15%
BRINKER INTERNATIONAL INC / EAT Fundamental Analysis FAQ
What is the fundamental rating for EAT stock?
ChartMill assigns a fundamental rating of 5 / 10 to EAT.
What is the valuation status of BRINKER INTERNATIONAL INC (EAT) stock?
ChartMill assigns a valuation rating of 7 / 10 to BRINKER INTERNATIONAL INC (EAT). This can be considered as Undervalued.
What is the profitability of EAT stock?
BRINKER INTERNATIONAL INC (EAT) has a profitability rating of 6 / 10.
Can you provide the financial health for EAT stock?
The financial health rating of BRINKER INTERNATIONAL INC (EAT) is 5 / 10.
Is the dividend of BRINKER INTERNATIONAL INC sustainable?
The dividend rating of BRINKER INTERNATIONAL INC (EAT) is 0 / 10 and the dividend payout ratio is 0%.