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Cracker Barrel - AI Stock Analysis
Analysis generated December 3, 2024
Cracker Barrel Old Country Store, Inc. is an American chain of combined restaurant and gift stores with a Southern country theme. Established in 1969, Cracker Barrel operates and franchises locations throughout the United States. It is headquartered in Lebanon, Tennessee. The company is known for its homestyle comfort food offerings and general merchandise, which include holiday and seasonal items, toys, apparel, and food products.
Fundamental Analysis
Cracker Barrel reported revenue of $894 million for the last quarter, marking a 9.37% increase from the previous quarter and a 6.87% increase year-over-year. These figures indicate a healthy, growing business environment.
The company's net income for the last quarter was $18 million, showing a significant 297.18% increase from the previous quarter. However, it is important to note the year-over-year decline of 51.58% in net income, which could be a red flag for potential investors.
Cracker Barrel's EBITDA for the last quarter was $51 million, representing a 318.00% increase compared to the previous quarter. Despite this, the EBITDA experienced a year-over-year decrease of 29.10%.
The company has a current P/E ratio of 30.36, which might indicate an overvaluation of the stock, leading to a potentially bearish outlook.
Technical Analysis
Today's stock price of Cracker Barrel stands at $55.71, reflecting an 18.58% increase over the past month, showcasing a short-term bullish trend. However, the price has decreased by 20.44% compared to the same time last year, which could be an area of concern for long-term investors.
Currently, the SMA10 (Simple Moving Average) is 53.69, up from the previous SMA10 of 52.96, which indicates a potential upward trend in future price movements. The RSI (Relative Strength Index) is 68.7, placing it in a neutral condition, implying neither overbought nor oversold conditions.
Alternative Data Analysis
Analyzing job metrics, Cracker Barrel currently has 6,784 open job positions, up by 22% in recent months. This indicates potential company growth and expansion plans, which is a positive sign.
Despite this, only 39% of Cracker Barrel employees have a positive business outlook, which could suggest internal dissatisfaction or concern about the company's future.
Regarding customer acquisition, Cracker Barrel's webpage attracted an estimated 4.2 million visitors, down by 16% in recent months, indicating possible declining customer interest. Social media engagement also shows mixed results. The company has 310,000 Instagram followers and 110,000 Twitter followers. Twitter followers have decreased by 1%, hinting at a waning interest.
According to AltIndex's AI score, which combines fundamental, technical, and alternative data, Cracker Barrel holds a score of 42. This score leads to a "hold" signal, suggesting no strong push to buy or sell the stock.
Conclusion and Recommendation
Cracker Barrel's recent performance highlights a complex landscape for investors. While revenue and several short-term indicators are moving in a positive direction, long-term issues like declining net income, customer engagement, and employee sentiment need to be carefully evaluated.
The current P/E ratio may indicate a high valuation, and the year-over-year decrease in the stock price underscores potential long-term concerns. Based on the data analyzed, a cautious approach is recommended, considering the current AltIndex AI score of 42 which signals holding the stock.
Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.
