- Backed by innovation-led off-premise business, Bloomin' is recovering from a pandemic-driven downturn as indoor dining reopens.
- Despite a sales rebound expected next year, the value-focus strategy to sustain growth and rigorous hygiene requirements to counter the contagion could hurt margins.
- Yet, our EBITDA estimates for next year, with the historical average of trading multiple, indicate an undervalued stock.
- Despite the economic uncertainty driven by the pandemic's resurgence, Bloomin' is a 'Buy' as the stock continues to underperform the peers even after the recent rally.
For further details see:
Bloomin' Brands: Underperformance Unveils An Upside As Recovery Continues