The most recent trading session ended with Brinker International (EAT) standing at $154.39, reflecting a +0.17% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a loss of 0.33% for the day. At the same time, the Dow lost 0.37%, and the tech-heavy Nasdaq lost 0.53%.

The operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy's shares have seen a decrease of 3.72% over the last month, surpassing the Retail-Wholesale sector's loss of 6.29% and the S&P 500's loss of 4.03%.

Analysts and investors alike will be keeping a close eye on the performance of Brinker International in its upcoming earnings disclosure. The company is predicted to post an EPS of $2.43, indicating a 95.97% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.36 billion, showing a 21.65% escalation compared to the year-ago quarter.

EAT's full-year Zacks Consensus Estimates are calling for earnings of $8.30 per share and revenue of $5.24 billion. These results would represent year-over-year changes of +102.44% and +18.65%, respectively.

Investors should also note any recent changes to analyst estimates for Brinker International. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. As of now, Brinker International holds a Zacks Rank of #1 (Strong Buy).

In the context of valuation, Brinker International is at present trading with a Forward P/E ratio of 18.57. This represents a discount compared to its industry's average Forward P/E of 23.09.

We can also see that EAT currently has a PEG ratio of 0.49. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Retail - Restaurants industry was having an average PEG ratio of 2.2.

The Retail - Restaurants industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 165, placing it within the bottom 35% of over 250 industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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Brinker International, Inc. (EAT) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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