BRINKER INTERNATIONAL INC (EAT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EAT - US1096411004 - Common Stock
166.71 USD
+1.18 (+0.71%)
166.71 USD
0 (0%)
Overall EAT gets a fundamental rating of 5 out of 10. We evaluated EAT against 133 industry peers in the Hotels, Restaurants & Leisure industry. EAT has only an average score on both its financial health and profitability. EAT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- EAT had positive earnings in the past year.
- EAT had a positive operating cash flow in the past year.
- EAT had positive earnings in 4 of the past 5 years.
- In the past 5 years EAT always reported a positive cash flow from operatings.
1.2 Ratios
- EAT has a better Return On Assets (11.97%) than 87.97% of its industry peers.
- EAT has a Return On Equity of 94.42%. This is amongst the best in the industry. EAT outperforms 93.98% of its industry peers.
- EAT has a Return On Invested Capital of 16.64%. This is amongst the best in the industry. EAT outperforms 84.96% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for EAT is significantly below the industry average of 10.34%.
- The last Return On Invested Capital (16.64%) for EAT is above the 3 year average (2.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.97% | ||
| ROE | 94.42% | ||
| ROIC | 16.64% |
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 better Profit Margin (7.77%) than 67.67% of its industry peers.
- In the last couple of years the Profit Margin of EAT has declined.
- EAT has a Operating Margin (10.56%) which is in line with its industry peers.
- EAT's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 18.50%, EAT is doing worse than 87.22% of the companies in the same industry.
- EAT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.56% | ||
| PM (TTM) | 7.77% | ||
| GM | 18.5% |
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. Health
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.
- Compared to 5 years ago, EAT has less shares outstanding
- Compared to 1 year ago, EAT has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.91 indicates that EAT is not in any danger for bankruptcy at the moment.
- EAT's Altman-Z score of 3.91 is amongst the best of the industry. EAT outperforms 84.21% of its industry peers.
- The Debt to FCF ratio of EAT is 1.16, which is an excellent value as it means it would take EAT, only 1.16 years of fcf income to pay off all of its debts.
- EAT's Debt to FCF ratio of 1.16 is amongst the best of the industry. EAT outperforms 90.23% of its industry peers.
- EAT has a Debt/Equity ratio of 1.53. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.53, EAT perfoms like the industry average, outperforming 54.89% of the companies in the same industry.
- Although EAT does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. 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 | 1.53 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 3.91 |
ROIC/WACC1.89
WACC8.79%
2.3 Liquidity
- EAT has a Current Ratio of 0.35. 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 Current ratio of 0.35. This is amonst the worse of the industry: EAT underperforms 85.71% of its industry peers.
- EAT has a Quick Ratio of 0.35. This is a bad value and indicates that EAT is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of EAT (0.29) is worse than 84.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.35 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 106.26% over the past year.
- EAT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 37.36% yearly.
- EAT shows a strong growth in Revenue. In the last year, the Revenue has grown by 81.56%.
- Measured over the past years, EAT shows a very negative growth in Revenue. The Revenue has been decreasing by -63.21% on average per year.
EPS 1Y (TTM)106.26%
EPS 3Y41.82%
EPS 5Y37.36%
EPS Q2Q%103.16%
Revenue 1Y (TTM)81.56%
Revenue growth 3Y-82.4%
Revenue growth 5Y-63.21%
Sales Q2Q%18.45%
3.2 Future
- The Earnings Per Share is expected to grow by 13.99% on average over the next years. This is quite good.
- Based on estimates for the next years, EAT will show a decrease in Revenue. The Revenue will decrease by -3.49% on average per year.
EPS Next Y17.87%
EPS Next 2Y16.53%
EPS Next 3Y13.99%
EPS Next 5YN/A
Revenue Next Year7.27%
Revenue Next 2Y6.26%
Revenue Next 3Y5.26%
Revenue Next 5Y-3.49%
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. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 16.87 indicates a correct valuation of EAT.
- Based on the Price/Earnings ratio, EAT is valued a bit cheaper than 77.44% of the companies in the same industry.
- EAT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.54.
- EAT is valuated correctly with a Price/Forward Earnings ratio of 13.79.
- Based on the Price/Forward Earnings ratio, EAT is valued a bit cheaper than the industry average as 79.70% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.31, EAT is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.87 | ||
| Fwd PE | 13.79 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EAT is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of EAT indicates a rather cheap valuation: EAT is cheaper than 83.46% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.64 | ||
| EV/EBITDA | 11.24 |
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 13.99% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.94
PEG (5Y)0.45
EPS Next 2Y16.53%
EPS Next 3Y13.99%
5. Dividend
5.1 Amount
- No dividends for EAT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
166.71
+1.18 (+0.71%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-29 2025-10-29/bmo
Earnings (Next)01-28 2026-01-28/bmo
Inst Owners112.29%
Inst Owner Change1.63%
Ins Owners1.33%
Ins Owner Change2.13%
Market Cap7.41B
Revenue(TTM)4.18B
Net Income(TTM)324.72M
Analysts77.69
Price Target166.22 (-0.29%)
Short Float %11.2%
Short Ratio3.05
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)4.22%
Min EPS beat(2)0.67%
Max EPS beat(2)7.76%
EPS beat(4)4
Avg EPS beat(4)15.83%
Min EPS beat(4)0.67%
Max EPS beat(4)52.02%
EPS beat(8)7
Avg EPS beat(8)13%
EPS beat(12)11
Avg EPS beat(12)44.85%
EPS beat(16)13
Avg EPS beat(16)35.58%
Revenue beat(2)2
Avg Revenue beat(2)0.5%
Min Revenue beat(2)0.31%
Max Revenue beat(2)0.68%
Revenue beat(4)4
Avg Revenue beat(4)2.76%
Min Revenue beat(4)0.31%
Max Revenue beat(4)8.48%
Revenue beat(8)6
Avg Revenue beat(8)1.74%
Revenue beat(12)7
Avg Revenue beat(12)1.11%
Revenue beat(16)8
Avg Revenue beat(16)0.76%
PT rev (1m)1.81%
PT rev (3m)-8.71%
EPS NQ rev (1m)0.37%
EPS NQ rev (3m)-6.01%
EPS NY rev (1m)0.29%
EPS NY rev (3m)0.51%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)0.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.87 | ||
| Fwd PE | 13.79 | ||
| P/S | 1.77 | ||
| P/FCF | 15.64 | ||
| P/OCF | 9.29 | ||
| P/B | 21.54 | ||
| P/tB | 55.94 | ||
| EV/EBITDA | 11.24 |
EPS(TTM)9.88
EY5.93%
EPS(NY)12.09
Fwd EY7.25%
FCF(TTM)10.66
FCFY6.39%
OCF(TTM)17.94
OCFY10.76%
SpS94.11
BVpS7.74
TBVpS2.98
PEG (NY)0.94
PEG (5Y)0.45
Graham Number41.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.97% | ||
| ROE | 94.42% | ||
| ROCE | 21.06% | ||
| ROIC | 16.64% | ||
| ROICexc | 16.91% | ||
| ROICexgc | 18.84% | ||
| OM | 10.56% | ||
| PM (TTM) | 7.77% | ||
| GM | 18.5% | ||
| FCFM | 11.32% |
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-Score5
Asset Turnover1.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.53 | ||
| Debt/FCF | 1.16 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | 125.18% | ||
| Cap/Sales | 7.74% | ||
| Interest Coverage | 6.14 | ||
| Cash Conversion | 113.87% | ||
| Profit Quality | 145.82% | ||
| Current Ratio | 0.35 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z | 3.91 |
F-Score5
WACC8.79%
ROIC/WACC1.89
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)106.26%
EPS 3Y41.82%
EPS 5Y37.36%
EPS Q2Q%103.16%
EPS Next Y17.87%
EPS Next 2Y16.53%
EPS Next 3Y13.99%
EPS Next 5YN/A
Revenue 1Y (TTM)81.56%
Revenue growth 3Y-82.4%
Revenue growth 5Y-63.21%
Sales Q2Q%18.45%
Revenue Next Year7.27%
Revenue Next 2Y6.26%
Revenue Next 3Y5.26%
Revenue Next 5Y-3.49%
EBIT growth 1Y170.46%
EBIT growth 3Y-85.85%
EBIT growth 5Y-65.47%
EBIT Next Year53.72%
EBIT Next 3Y20.04%
EBIT Next 5YN/A
FCF growth 1Y347.99%
FCF growth 3Y-71.42%
FCF growth 5Y-55.77%
OCF growth 1Y174.08%
OCF growth 3Y-77.72%
OCF growth 5Y-59.15%
BRINKER INTERNATIONAL INC / EAT FAQ
What is the fundamental rating for EAT stock?
ChartMill assigns a fundamental rating of 5 / 10 to EAT.
Can you provide the valuation status for BRINKER INTERNATIONAL INC?
ChartMill assigns a valuation rating of 6 / 10 to BRINKER INTERNATIONAL INC (EAT). This can be considered as Fairly Valued.
Can you provide the profitability details for BRINKER INTERNATIONAL INC?
BRINKER INTERNATIONAL INC (EAT) has a profitability rating of 6 / 10.
What are the PE and PB ratios of BRINKER INTERNATIONAL INC (EAT) stock?
The Price/Earnings (PE) ratio for BRINKER INTERNATIONAL INC (EAT) is 16.87 and the Price/Book (PB) ratio is 21.54.
How sustainable is the dividend of BRINKER INTERNATIONAL INC (EAT) stock?
The dividend rating of BRINKER INTERNATIONAL INC (EAT) is 0 / 10 and the dividend payout ratio is 0%.