Brian Sozzi On Buffalo Wild Wings' Menu Additions
Brian Sozzi of Belus Capital Advisors commented on Buffalo Wild Wings (NASDAQ: BWLD) following its Q4 earnings miss.
Despite the results, Sozzi noted that investors may have taken comfort in rising same-store-sales during the first five weeks of the year. Additionally, food and labor costs weighed on the earnings, including the addition of a “guest experience captain” position at restaurants.
Changes are also coming for the menu, including “a sandwich called the New Yorker that features pastrami on a pretzel roll and paired with a Sam Adams Boston Lager that is a nod to those in the North. Another is the southern-themed Bayou Po boy that takes shrimp and Buffalo Wild Wings' sauces and serves it with a hurricane, a sweet alcoholic drink made with rum and fruit juice and native to New Orleans,” according to Sozzi.
"It's partly how we test new menu options," said Buffalo Wild Wings CEO Sally Smith, who told Sozzi that the pairings could become permanent additions to the menu.
Investors seemed to approve of the new initiatives and rewarded the stock, sending it up over 7 percent Friday to $193.26.
Latest Ratings for BWLD
Date | Firm | Action | From | To |
---|---|---|---|---|
Nov 2017 | Maxim Group | Downgrades | Buy | Hold |
Nov 2017 | UBS | Downgrades | Buy | Neutral |
Nov 2017 | Deutsche Bank | Downgrades | Buy | Hold |
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