Brinker International's average rating is Hold from 17 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on Brinker International market sentiment investors' perception of the future value of Brinker. Let us look at a few aspects of Brinker technical analysis.
Using predictive
technical analysis, we can analyze different prices and returns patterns and
diagnose historical swings to determine the real value of Brinker International. In general, sophisticated investors focus on analyzing Brinker International stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build Brinker International's daily price indicators and compare them against related drivers such as
momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional
technical analysis and
fundamental analysis, we attempt to find the most accurate representation of
Brinker International's intrinsic value. In addition to deriving basic predictive indicators for Brinker International, many experienced traders also check how macroeconomic factors affect Brinker International price patterns. Please read more on our
technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of Brinker International's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Brinker International. Your research has to be compared to or analyzed against Brinker International's peers to derive any actionable benefits. When done correctly, Brinker International's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Brinker International.
How does Brinker Stands against Peers?
Analyzing Brinker International competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Brinker International across multiple sectors and
thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be. Check out
Brinker International Competition DetailsBrinker International Gross Profit
Brinker International Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Brinker International previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Brinker International Gross Profit growth over the last 10 years. Please check Brinker International's
gross profit and other
fundamental indicators for more details.
Closer look at Brinker International Downside Variance
Brinker International has current Downside Variance of 22.88. Downside Variance (or DV) is measured by target semi-variance and is termed downside volatility. It is expressed in percentages and therefore allows for rankings in the same way as variance. One way to view downside volatility is the annualized variance of returns below the target.
Downside Variance is the probability-weighted squared below-target returns. The squaring of the below-target returns has the effect of penalizing failures at an exponential rate. This is consistent with observations made on the behavior of individual decision-making under.
Downside Variance | = | SUM(RET DEV)2 N(ER) |
| = | 22.88 |
| SUM | = | Summation notation |
| RET DEV | = | Actual returns deviation over selected period |
| N(ER) | = | Number of points with returns less than expected return for the period |
Let's now compare Brinker International Downside Variance to its closest peers:
| EAT | 22.88414365857732 |
| BH | 26.11 |
| DNKN | 4.3 |
| BBQ | 18.22 |
| BDL | 7.93 |
Momentum Analysis of Brinker International suggests possible reversal in September
Brinker International newest downside deviation boosts over 4.78. As of the 12th of August 2020, Brinker International shows the Mean Deviation of 4.15,
downside deviation of 4.78, and Risk Adjusted Performance of 0.1807. Brinker International
technical analysis gives you the methodology to make use of
historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of
historical prices and volume momentum, or the prices will eventually revert. We were able to collect data for nineteen
technical drivers for Brinker International, which can be compared to its rivals. Please confirm
Brinker International information ratio, as well as the
relationship between the potential upside and
kurtosis to decide if Brinker International is priced correctly, providing market reflects its regular price of 30.16 per share. Given that Brinker International has
jensen alpha of 0.1539, we suggest you to validate Brinker International's prevailing market performance to make sure the company can sustain itself at a future point.
Whereas few other entities under the restaurants industry are still a bit expensive, Brinker International may offer a potential longer-term growth to private investors. In closing, as of the 12th of August 2020, we see that Brinker International hyperactively responds to market trends. The firm is
overvalued with
low odds of financial turmoil within the next 24 months. Our primary 30 days 'Buy-Sell' recommendation on the firm is
Hold.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Brinker International. Please refer to our
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