Morgan Keegan Raising Price Target On Red Robin

According to Morgan Keegan, Red Robin (NASDAQ: RRGB) has higher projections.

Morgan Keegan said that reports Q1 EPS ex-items of $0.58, well above the $0.17, street's $0.24 as the model is highly sensitive (100bps restaurant margin = $0.50 annually). “EPS beat represents significant leverage from higher revenue ($286.8mil. vs. MK $281.3mil.) and restaurant margin (19.8% vs. MK 17.7%). Q1 co. SSS improved from -0.4% during the first 7-weeks to 1.9% (MK +1.0%).”

Red Robin closed yesterday at $28.52.