Maxim Group Believes Red Robin Gourmet (NASDAQ: RRGB) Won’t Stop Here

By Austin Angelo

In a report released today, Stephen Anderson from Maxim Group reiterated a Buy rating on Red Robin Gourmet (NASDAQ: RRGB), with a price target of $80. The company’s shares opened today at $72.50, close to its 52-week high of $74.11.

Anderson noted:

“We maintain our Buy rating and $80 price target on Red Robin Gourmet Burgers (RRGB) following the company’s investor day conference held earlier today in Denver. We believe the key points from the conference were as follows: (1) focusing on margin expansion; (2) increasing off-premise sales; (3) shifting development toward franchising and away from malls; and (4) boosting shareholder returns.”

According to TipRanks.com, Anderson is a 5-star analyst with an average return of 10.8% and a 66.7% success rate. Anderson covers the Services sector, focusing on stocks such as Popeyes Louisiana Kitchen, Brinker International, and Buffalo Wild Wings.

Currently, the analyst consensus on Red Robin Gourmet is Moderate Buy and the average price target is $69.60, representing a -4.0% downside.

In a report issued on May 17, Merrill Lynch also upgraded the stock to Buy with a $80 price target.

Red Robin Gourmet’s market cap is currently $933.2M and has a P/E ratio of 109.85. The company has a book value ratio of 2.5806.

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Red Robin Gourmet Burgers, Inc. engages in the development, operation, and franchise of full-service restaurants. It serves variety of salads, soups, appetizers, entrees, desserts, and signature beverages. The company was founded in September 1969 and is headquartered in Greenwood Village, CO.