Buffalo Wild Wings receives $2.3bn takeover bid from Roark Capital

Marco Green
November 14, 2017

Buffalo Wild Wings (NASDAQ:BWLD) last issued its earnings results on Wednesday, October 25th. Longbow Research upgraded Buffalo Wild Wings from an underperform rating to a neutral rating in a report on Thursday, July 6th.

Several equities research analysts recently commented on the company.

The report follows a tumultuous year for Buffalo Wild Wings, which lost a proxy fight with activist investor Marcato Capital Management in June - a battle that caused longtime Chief Executive Officer Sally Smith to announce her resignation. Buffalo Wild Wings had a net margin of 3.17% and a return on equity of 21.39%. Finally, Deutsche Bank AG boosted their price target on Buffalo Wild Wings from $130.00 to $135.00 and gave the company a "buy" rating in a research report on Thursday, October 26th. The restaurant operator reported $1.36 earnings per share for the quarter, topping the consensus estimate of $0.79 by $0.57.

Buffalo Wild Wings (NASDAQ:BWLD) opened at $117.25 on Tuesday. Buffalo Wild Wings's quarterly revenue was up.5% on a year-over-year basis.

Bloomberg reports that Roark's offer was made on October 13 at a 48% premium to the share price of Buffalo Wild Wings on that date. The restaurant operator reported $1.36 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.79 by $0.57. Buffalo Wild Wings now has a consensus rating of Hold and a consensus price target of $131.57. October 26 investment analysts at Wedbush held the company rating at "In-Line" with a current price target of $115.00. If you are viewing this piece of content on another site, it was stolen and republished in violation of USA and worldwide copyright legislation. The correct version of this story can be read at https://www.truebluetribune.com/2017/11/14/buffalo-wild-wings-inc-bwld-rating-reiterated-by-mizuho.html. Koch Industries Inc. bought a new position in shares of Buffalo Wild Wings in the 2nd quarter valued at $618,000. As of the end of the quarter Amalgamated Bank had disposed of a total of 326 shares trimming its stake by 13.3%. Pacad Investment Ltd. increased its stake in shares of Buffalo Wild Wings by 23.7% in the 2nd quarter. The restaurant chain was worth $1.8 billion as at the market close on Monday. Quantbot Technologies Lp now holds 3,605 shares with a value of $381,000. Finally, Teachers Advisors LLC raised its stake in Buffalo Wild Wings by 3.6% during the first quarter. Wells Fargo & Company/mn owns 1,972 shares valued at $208,000. Institutional investors and hedge funds own 89.14% of the company's stock.

Buffalo Wild Wings has already had to move away from its strategy of a majority of company-owned stores into a more capital-light franchise model. As of December 25, 2016, the Company's made-to-order menu items included 16 sauces and five seasonings, ranging from Sweet BBQ to Blazin.

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