Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

4 Stocks to Buy as Restaurant Sales Jump in March

By Zacks Investment ResearchStock MarketsApr 16, 2021 05:23AM ET
www.investing.com/analysis/4-stocks-to-buy-as-restaurant-sales-jump-in-march-200573444
4 Stocks to Buy as Restaurant Sales Jump in March
By Zacks Investment Research   |  Apr 16, 2021 05:23AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

The restaurant industry in the United States took a hit last year due to the outbreak of the COVID-19 pandemic. As social distancing measures had to be put in place to curb the spread of the virus, dining in restaurants had to be halted as well. Although restaurants adapted to the challenges as online deliveries and curbside pickups gained precedence, and outdoor dining was implemented by many restaurants, the overall impact remained negative.

Nonetheless, the situation seems to be improving and the restaurant industry finally seems set to make a comeback this year with the retail sales in March bearing evidence of that. Notably, a CNBC article cited that the Commerce Department reported a rise of 13.4% in retail sales in the bar and restaurant industry in March. The article stated that this jump was due to the increasing relaxation of COVID-19 restrictions, thanks to the rapid vaccination drive in the country and the $1,400 stimulus checks that people received.

Markedly, the United States administered 3.3 million vaccine doses last week, as mentioned in a WPTA21.com article. This pick-up is sure to aid the restaurant industry in overcoming the challenges that have been plaguing it from last year. On a further positive note, President Joe Biden has also moved up the timeline for making adults eligible for vaccination in the United States. Notably, President Biden said that all American adults will be eligible for COVID-19 vaccination by Apr 19, as mentioned in a Reuters article.

In fact, the National Restaurant Association predicted that sales at U.S. eating and drinking places are set to jump 10.2% in 2021 to $548.3 billion, following a dip of 19.2% last year, as quoted in a Restaurant Business article. The article mentioned that factors like pent-up demand from last year, as people were denied the restaurant experience,, will drive the growth of the restaurant industry this year.

4 Stocks to Buy Now

The restaurant industry seems poised to make a comeback this year owing to the pent-up demand. Reflective of this, retail sales in restaurants and bars also saw a surge in March. Hence, this makes it a good time to invest in restaurant stocks that can make the most of this uptrend going forward. Notably, we have handpicked four such stocks that carry a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Darden Restaurants (NYSE:DRI), Inc. DRI, through its subsidiaries, owns and operates full-service restaurants in the United States and Canada. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings increased 22.2% over the past 60 days. The company’s expected earnings growth rate for the current year is 26.5%.

Jack in the Box Inc. JACK operates and franchises Jack in the Box quick-service restaurants. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 13.6% over the past 60 days. The company’s expected earnings growth rate for the current year is 38.1%.

Starbucks Corporation (NASDAQ:SBUX) SBUX, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee worldwide. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 0.4% over the past 60 days. The company’s expected earnings growth rate for the current year is more than 100%.

Chuy's Holdings (NASDAQ:CHUY), Inc. CHUY, through its subsidiaries, owns and operates full-service restaurants under the Chuy's name. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 9.7% over the past 60 days. The company’s expected earnings growth rate for the current year is 34.5%.

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Jack In The Box Inc. (NASDAQ:JACK): Free Stock Analysis Report

Starbucks Corporation (SBUX): Free Stock Analysis Report

Darden Restaurants, Inc. (DRI): Free Stock Analysis Report

Chuys Holdings, Inc. (CHUY): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research
4 Stocks to Buy as Restaurant Sales Jump in March
 

Related Articles

Tim Knight
DraftKings In A Very Dangerous Position By Tim Knight - May 07, 2021 3

This is a good real-life example of how charting can be very helpful in giving warnings that something is going wrong. Below is the chart of DraftKings Inc (NASDAQ:DKNG) without...

4 Stocks to Buy as Restaurant Sales Jump in March

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email