Jack in the Box drops after CFO departure announced, UBS PT cut

Jack In The Box

04/10/2024 17:11

** Jack in the Box  JACK.O  shares down 1.7% to $44.70 on
Fri as fast-food restaurant chain's CFO steps down after just a
little over a year in the role, and UBS trims its PT
    ** San Diego-based co late Thurs said Brian Scott accepted a
new position outside of the restaurant industry and will resign,
effective Nov 20
    ** Co named Dawn Hopper as principal financial officer,
effective Nov 1, and interim CFO upon Scott's departure until
permanent successor is appointed
    ** Scott joined JACK as CFO in Aug 2023 after over 20 years
experience in the healthcare industry
    ** UBS trims PT by $5 to $50, saying focus now is on CFO
replacement and upcoming FY25 guidance in Nov
    ** Macro headwinds expected to continue weigh on JACK and
its Del Taco brand sales trends with negative traffic likely
persisting in coming qtrs as lower income consumers remain under
pressure, UBS wrote in note
    ** 8 of 22 brokerages rate JACK "strong buy" or "buy", 13
rate "hold" and 1 recommends "sell" and their median PT is
$57.50, per LSEG
    ** Stock off ~45% YTD including move on the session

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))