Red Robin Not On My Menu, As Burger Chain Saw Q2 Traffic Decline

Red Robin gets a hold rating for my initial coverage. Positives are a market turnaround since spring, showing momentum again, as well as what appears like a turnaround strategy dependent on asset sales and new efficiencies. Challenges include profit margins underperforming key peers, operating cash flow vs. debt expense, negative equity, and a more challenging fast food environment. The stock is also not a dividend payer, so the neutral rating is a bet on a long-term hold and recovery plan.

The Burger Chain Around Since 1969, With 4 Earnings Beats in a Row Summertime in the US for me often involved enjoying a good burger, and while the country that brought us McDonald's and Burger King