CBRL's gift shops are out of this world. You can find some cool items in there. Actually their profit margin are much higher with gift shop sales than the restaurant portion! CBRL are very strategic, even somewhat picky, where they build each restaurant and are in no hurry to rush this process.
CBRL is a well run outfit and their bottom line is solid. I have seen many Cracker Barrel stores in my day and their parking lots are always full for breakfast, which just happens to be the biggest profit meal of the day. Buying some CBRL under $65.00 per share would be ideal for your Roth IRA stock portfolio and hold for the long term. They are currently selling at $60.41 per share.
CBRL is engaged in the operation and development of their Cracker Barrel Old Country Store concept. As of September 20, 2011 CBRL operated 604 stores in 42 states. Their restaurant generated approximately 79% of its total revenue during the fiscal year ended July 29, 2011. As previously stated, their restaurants serve breakfast, lunch and dinner daily between the hours of 6:00 a.m. and 10:00 p.m. (closing at 11:00 p.m. on Fridays and Saturdays). Just as an FYI, in case you ever want to visit your local Cracker Barrel.
The best part about Cracker Barrel establishments is that their breakfast items can be ordered at any time throughout the day! Breakfast items include: juices, eggs, pancakes, bacon, country ham, sausage, grits, and a range of biscuit specialties, such as gravy and biscuits and country ham and biscuits.
Lunch and dinner items include: country ham, chicken and dumplings, chicken fried chicken, meatloaf, country fried steak, pork chops, fish, steak, roast beef, vegetable plates, salads, sandwiches, soups and specialty items, such as pinto beans and turnip greens.
Are you hungry for some CBRL food? Well, you should be hungry for their dividend too! 40 cents per share is a reasonable offering. Here are some additional current CBRL statistics below:
52 week 37.31 - 61.89
Vol / Avg. 253,411.00/246,976.00
Mkt cap 1.40B
P/E 16.41
Div/yield $0.40/2.65%
EPS 3.68
Shares 23.24M
Beta 0.91
Inst. own 86%
Key stats and ratios
Q2 (Apr '12) 2011
Net profit margin 3.12% 3.50%
Operating margin 6.43% 6.87%
EBITD margin - 9.45%
Return on average assets 5.53% 6.55%
Return on average equity 23.18% 37.08%
Employees 67,000
CBRL has excellent food and a large variety at a competitive price. Their service is excellent and in my humble opinion they are better than any other restaurant chain at supplementing income with a high margin gift shop with good variety. Their locations are near heavily traveled roads which help the repeat business from travelers.
Argus just recently raised Cracker Barrel to a buy on May 28th, 2012 and I cannot agree with them more! Click here. CBRL recently announced that for fiscal year 2012 their expected total revenue was between $2.55 billion and $2.6 billion, reflecting anticipated increases in comparable store restaurant and retail sales in a range of 1.5% and 2.0%. CBRL opened 13 new Cracker Barrel stores in the current fiscal year!
CBRL expects adjusted earnings per diluted share for fiscal year 2012 to be between $4.35 and $4.45. CBRL reported earnings per diluted share of between $4.14 and $4.24. Analysts were expecting CBRL to report revenue of $2.56 billion and earnings per share of $4.31 for fiscal year 2012 so they outperformed quite nicely.
With other companies complaining about lack of customers it seems like Cracker Barrel is doing something right to maintain and expand their customer base. Please feel free to visit their homepage, here, and their Investor Relations web page, here. Please watch the videos below to see first hand just how great this company truly is. Better yet, take a Cracker Barrel Virtual Tour, here!
Feed your Roth IRA some CBRL today and reap the benefits of dividend reinvesting. Until next time friends, stay healthy, invest as much as you can into some of your favorite dividend paying stocks, reinvest your dividends, and hold for life!
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