Top Restaurant Companies For 2015


This is an open letter to the major shareholders of Veris Gold (TSX:VG) which include Sprott Asset Management, Francois Marland, and Orifer. You saved the company in 2009 when it was producing no gold. Since then, the company fixed its roaster and put three mines into production. This is a huge achievement. As result of this, the gold production increased significantly. Based on the production in October, Veris Gold is producing gold at a rate of 200,000 ounces per year. Yes, some of the ore came from stockpiles, but this is not the point. Veris Gold is a serious gold producer and the only reason why it is is because of your willingness to save it in 2008/2009.


In the process of turning around the operations, the company had to take on some loans and now the loan with Deutsche Bank (DB) is suffocating the company. Veris has to be paying out $50 million a year to the bank. This is half a billion dollar worth of value. Because of this, the company cannot ever have a ny cash buffer because everything is going to Deutsche Bank. This wouldn’t be an issue if the price of gold did not collapse in April this year. As a result, there is constant dilution which includes your shares. How can you just sit there and watch the company dilute itself to death? Turning around the operations required a lot of work and pain. But it was successfully achieved. Now it needs its loans restructured. In other words, it needs a financial turnaround which is nothing but signing a bunch of loan documents. I have to believe that signing papers is a lot easier than fixing a roaster and putting three mines into production, don’t you think? But no, you just sit there and watch your ownership getting diluted while the operations are breaking new record highs. Yes, I understand that financing is hard for the mining companies, but collectively, you control billions of dollars of investment capital.

Top Restaurant Companies For 2015: Br! inker International Inc (EAT)


Brinker International, Inc. (Brinker), incorporated on September 30, 1983, owns, develops, operates and franchises the Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) restaurant brands. As of June 27, 2013 (fiscal 2013), the Company’s system of Company-owned and franchised restaurants included 1,591 restaurants located in 50 states, and Washington, D.C. It also has restaurants in the Bahrain, Brazil, Canada, Columbia, Costa Rica, Dominican Republic, Ecuador, Egypt, El Salvador, Germany, Guatemala, Honduras, India, Indonesia, Japan, Jordan, Kuwait, Lebanon, Malaysia, Mexico, Oman, Peru, Philippines, Qatar, Russia, Saudi Arabia, Singapore, South Korea, Syria, Taiwan, United Arab Emirates and Venezuela.


Chili’s Grill & Bar

Chili’s operates in the Bar and Grill category of casual dining. The Company has operations worldwide, with locations in 32 foreign countries and two United States territories. Chili’s menu fea tures items, such as Baby Back Ribs smoked in-house, Big Mouth Burgers, Sizzling Fajitas, hand-battered Chicken Crispers and house-made Chips and Salsa. The all-day menu offers a range of appetizers, entrees and desserts. A special lunch section is available on weekdays. In addition to its flavorful food, Chili’s offers a line of alcoholic beverages available from the bar, including Margaritas and draft beer. During fiscal 2013, food and non-alcoholic beverage sales constituted approximately 86.1% of Chili’s total restaurant revenues, with alcoholic beverage sales accounted for the remaining 13.9%.


Maggiano’s Little Italy

Maggiano’s is a full-service, casual dining Italian restaurant brand. Its Maggiano’s restaurants feature individual and family-style menus, and its restaurants also have banquet facilities designed to host party business or social events. It has lunch and dinner menu offering chef-prepared, classic Italian-American fare i n the form of appetizers, entrees with portions of pasta, ch! icken, seafood, veal and prime steaks, and desserts. The Company’s Maggiano’s restaurants also offer a range of alcoholic beverages, including wines. In addition, Maggiano’s offers a full carryout menu, as well as local delivery services. During fiscal 2013, food and non-alcoholic beverage sales constituted approximately 83.0% of Maggiano’s total restaurant revenues, with alcoholic beverage sales accounted for the remaining 17.0%.


Advisors’ Opinion:

  • [By Tom Rojas var popups = dojo.query(“.socialByline .popC”); popups.forEach(func]

    Brinker International Inc.(EAT) said its first-quarter profit increased 12%, helped by higher sales at its Chili’s Grill & Bar and Maggiano’s Little Italy chains.

  • [By Paul R. La Monica]

    The firm said that Darden would be better off following the strategy of competitor Brinker International (EAT), which has found success over the past few years by focusing all its efforts on improving its two core brands: Chili’s and Olive Garden competitor Maggiano’s.

  • [By Katie Lobosco]

    It has had success with its past campaigns. In May, Chipotle (CMG), Sonic (SONC) and Chili’s (EAT) restaurants folded under intense public pressure and asked customers to leave their guns at home. Target (TGT) followed suit in July.

  • [By Garrett Cook]

    Brinker International (NYSE: EAT) reported a drop in its fourth-quarter profit. However, the company's revenue topped analysts' estimates.

Top Restaurant Companies For 2015: Arcos Dorados Holdings Inc (ARCO)

Arcos Dorados Holdings Inc., incorporated on December 9, 2010, is a McDonald’s franchisee. As of December 31, 2010, the Company operated or franchised 1,755 McDonald’s-branded restaurants, which represented 6.7% of McDonald’s total franchised restaurants globally. It operates McDonald’s-branded restaurants under two different operating formats, Company-operated restaurants and franchised restaurants. As of December 31, 2010, of its 1,755 McDonald’s-branded restaurants in the territories, 1,292 (or 74%) were Company-operated restaurants and 463 (or 26%) were franchised restaurants. It generates revenues from two sources: sales by Company-operated restaurants and revenues from franchised restaurants, which consist of rental income, which is based on the greater of a flat fee or a percentage of sales reported by franchised restaurants. As of December 31, 2010, it owned the land for 510 of its restaurants (totaling approximately 1.2 million square meters) and the bui ldings for all but 12 of its restaurants. It divides its operations into four geographical divisions: Brazil; the Caribbean division, consisting of Aruba, Curacao, French Guiana, Guadeloupe, Martinique, Puerto Rico and the United States Virgin Islands of St. Croix and St. Thomas; North Latin America division (NOLAD), consisting of Costa Rica, Mexico and Panama, and South Latin America division (SLAD), consisting of Argentina, Chile, Colombia, Ecuador, Peru, Uruguay and Venezuela. As of December 31, 2010, 35.1% of its restaurants were located in Brazil, 29.7% in SLAD, 27.1% in NOLAD and 8.1% in the Caribbean division. The Company conducts its business through its indirect, wholly owned subsidiary Arcos Dorados B.V.


Company-Operated and Franchised Restaurants

The Company operates its McDonald’s-branded restaurants under two basic structures: Company-operated restaurants operated by the Company and franchised restaurants operated by franchisees. Und er both operating alternatives the real estate location may ! either be owned or leased by the Company. It owns, fully manages and operates the Company-operated restaurants and retains any operating profits generated by such restaurants, after paying operating expenses and the franchise and other fees owed to McDonald’s under the Master Franchise Agreements (MFAs). In Company-operated restaurants, it assumes the capital expenditures for the building and equipment of the restaurant and, if it owns the real estate location, for the land as well. Under its franchise arrangements, franchisees provide a portion of the capital required by initially investing in the equipment, signs, seating and decor of their restaurants, and by reinvesting in the business over time. It is required by the MFAs to own the real estate or to secure long-term leases for franchised restaurant sites. It subsequently leases or subleases the property to franchisees.


In exchange for the lease and services, franchisees pay a monthly rent to the Company , based on the greater of a fixed rent or a certain percentage of gross sales. In addition to this monthly rent, it collects the monthly continuing franchise fee, which generally is 5% of the United States dollar equivalent of the restaurant’s gross sales, and pays these fees to McDonald’s pursuant to the MFAs. However, if a franchisee fails to pay its monthly continuing franchise fee, it remains liable for payment in full of these fees to McDonald’s. As of December 31, 2010, it was engaged in several joint ventures, which collectively owned 24 restaurants, in Argentina, Chile and Colombia.


Restaurant Categories

The Company classifies its restaurants into one of four categories: freestanding, food court, in-store and mall stores. Freestanding restaurants are the type of restaurant, which have ample indoor seating and include a drive-through area. Food court restaurants are located in malls and consist of a front counter and kitchen and do not have their own seating area. In-store restaurants are part ! of a larg! er building and resemble freestanding restaurants, except for the lack of a drive-through area. Mall stores are located in malls like food court restaurants, but have their own seating areas. As of December 31, 2010, 808 (or 46.2%) of its restaurants were freestanding, 359 (or 20.5%) were food court, 265 (or 15.1%) were in-stores and 319 (or 18.2%) were mall stores. In addition, it has four non-traditional stores, such as food carts.


Reimaging

As of December 31, 2010, the Company had completed the reimaging of 308 of 1,569 restaurants. Many of the reimaging projects include the addition of McCafe locations to the restaurant. It has developed system-wide guidelines for the interior and exterior design of reimaged restaurants.

McCafe Locations and Dessert Centers

McCafe locations are stylish, separate areas within restaurants where customers can purchase a range of customizable beverages, including lattes, cappuccinos, moc has, hot and iced premium coffees and hot chocolate. As of December 31, 2010, there were 267 McCafe locations in the Territories, of which 12% were operated by franchisees. Argentina, with 71 locations, has McCafe locations, followed by Brazil, with 67 locations. In addition to McCafe locations, it has Dessert Centers. Dessert Centers operate from existing restaurants, but depend on them for supplies and operational support. As of December 31, 2010, there were 1,306 Dessert Centers in the Territories.


Product Offerings

The Company’s menus feature three tiers of products: affordable entry-level options, such as its Big Pleasures, Small Prices or Combo del Dia (Daily Extra Value Meal) offerings, core menu options, such as the Big Mac, Happy Meal and Quarter Pounder, and premium options, such as Big Tasty or Angus premium hamburgers and chicken sandwiches and low-calorie or low-sodium products, which are marketed through common platforms rather than as individual items. These platforms can be based on the ty! pe of pro! ducts, such as beef, chicken, salads or desserts, or on the type of customer targeted, such as the children’s menu.


Advisors’ Opinion:

  • [By Rich Bieglmeier]

    Normally, we look for stocks that trade at least 1 million shares a day; however, when a major broker says a company has upside potential of close to 40%, we’ll make an exception. And that’s what Bank of America/Merrill Lynch says to expect from Arcos Dorados Holding Inc. (NYSE:ARCO).

  • [By Chris Hill]

    In this segment of Friday’s Investor Beat, Motley Fool analyst Ron Gross gives investors one stock that he’ll be watching closely this week. He takes a look at Arcos Dorados (NYSE: ARCO  ) , which holds the franchise rights to McDonald’s (NYSE: MCD  ) in Latin America and the Caribbean. The company reports earnings next week, and while it has been a long-time holding for Ron in the Motley Fool’s Million-Dollar Portfolio service, he sees reasons to be concerned here. The company’s store growth is slowing, so he’ll be watching closely to see what the company has to say next week.

  • [By Geoffrey Seiler]

    Analyst John Ivankoe took Arcos Dorados (ARCO) from neutral to overweight and increased his target from $13 to $14. It is the first time the analyst has had a positive view on the stock since it IPO’d.

  • [By Dan Caplinger]

    Next Tuesday, Arcos Dorados (NYSE: ARCO  ) will release its latest quarterly results. The key to making smart investment decisions on stocks reporting earnings is to anticipate how they’ll do before they announce results, leaving you fully prepared to respond quickly to whatever inevitable surprises arise. That way, you’ll be less likely to make an uninformed knee-jerk reaction to news that turns out to be exactly the wrong move.

Top Restaurant Companies For 2015: Blue Water Global Group Inc (BLUU)


Blue Water Global Group, Inc. (Blue Water), incorporated on March 3, 2011, is a development-stage company. The Company focuses on developing a chain of casual dining restaurants in tourist destinations throughout the Caribbean region. The Company’s initial restaurant is going to be called Blue Water Bar & Grill and will be located in St. Maarten, Dutch West Indies.

As of February 7, 2013, the Company did not operate any restaurant properties, and did not have any ownership or leaseholds in any restaurant properties. As of February 7, 2013, the Company did not have any ownership or leaseholds in any restaurant properties.


Advisors’ Opinion:

  • [By Peter Graham]

    Small cap stocks Naturalnano Inc (OTCMKTS: NNAN), Global Payout, Inc (OTCMKTS: GOHE) and Blue Water Global Group Inc (OTCBB: BLUU) were either jumping higher or diving lower yesterday. To complicate matters for investors, two of these small cap stocks have been subjects of disclosures about paid promotion or investor relation campaigns. So what will these three small caps do for the rest of this week? Here is a closer look to help you decide on a trading or investing strategy:

  • [By Peter Graham]

    Last Friday, small cap Digital Brand Media & Marketing Group Inc (OTCMKTS: DBMM) surged 22.22% while Blue Water Global Group Inc (OTCBB: BLUU) sank 18.42% and Medina International Holdings, Inc (OTCMKTS: MIHI) sank 50%. However, one of these small caps (Blue Water Global Group) appears to be reversing course in early morning trading today. So with it and the rest of these small cap stocks either sink or swim in trading this week? Here is a closer look to help you decide on an investing or trading strategy:

Top Restaurant Companies For 2015: DineEquity Inc (DIN)


DineEquity, Inc., incorporated on May 07, 1976, owns franchise and operate two restaurant concepts: Applebee’s Neighborhood Grill & Bar, (Applebee’s), in the bar and grill segment of the casual dining category of the restaurant industry, and International House of Pancakes (IHOP), in the family dining category of the restaurant industry. As of December 31, 2012, the franchise operations segment consisted of 2,011 restaurants operated by Applebee’s franchisees in the United States, one United States territory and 15 foreign countries and 1,569 restaurants operated by IHOP franchisees and area licensees in the United States, two United States territories and five foreign countries. As of December 31, 2012, the Company restaurant operations segment consisted of 23 Applebee’s Company-operated restaurants, 10 IHOP Company-operated restaurants and two IHOP restaurants reacquired from franchisees and operated by IHOP on a temporary basis until refranchised. Financing operations r evenue primarily consists of interest income from the financing of franchise fees and equipment leases, as well as sales of equipment associated with refranchised IHOP restaurants and a portion of franchise fees for restaurants taken back from franchisees not allocated to IHOP intellectual property. In October 2012, it completed the refranchising program and completed the transitioning to a 99% franchised restaurant system.


Applebee’s

The Company develops, franchises and operates restaurants in the bar and grill segment of the casual dining category of the restaurant industry under the name Applebee’s Neighborhood Grill & Bar. As of December 31, 2012, 68 franchise groups operated 2,011 of these restaurants and 23 restaurants were Company-operated. The restaurants were located in 49 states, one United States territory and 15 countries outside of the United States. During the year ended December 31, 2012, 20 domestic franchise restaurants opened, six domestic franchise restaurants closed. 154 Company-operated! restaurants were franchised. The number of restaurants held by an individual franchisee ranges from one to 438 restaurants. As of December 31, 2012, it is focusing on international franchising primarily in Canada, Mexico, Central and South America, and the Mediterranean/Middle East. As of December 31, 2012, there were 149 international Applebee’s franchise restaurants. During 2012, 14 international franchise restaurants opened and 13 international franchise restaurants closed.


IHOP

The Company develops franchises and operates restaurants in the family dining category of the restaurant industry under the names IHOP and International House of Pancakes. As of December 31, 2012 there were a total of 1,581 IHOP restaurants of which 1,404 were subject to franchise agreements, 165 were subject to area license agreements, 10 were Company-operated restaurants and two restaurants were reacquired from franchisees and operated by IHOP on a temporary basis. The Company owns and operates 10 IHOP restaurants in the Cincinnati market area primarily to test new remodel programs, operating procedures, products, technology, cooking platforms and service models. IHOP restaurants are located in all 50 states of the United States, the District of Columbia, Puerto Rico and the United States Virgin Islands and internationally in Canada, the Dominican Republic, Guatemala, Mexico and the United Arab Emirates. As of December 31, 2012, the area licensee for the state of Florida and certain counties in Georgia operated or sub-franchised a total of 152 IHOP restaurants, and the area licensees for the province of British Columbia, Canada operated or sub-franchised a total of 13 IHOP restaurants. As of December 31, 2012, the Company had signed commitments and options from franchisees to build 245 IHOP restaurants over the next 17 years, comprised of 5 restaurants under single-restaurant or non-traditional development agreements, 120 restaurants unde r multi-restaurant development agreements and 63 restaurants! under in! ternational development agreements. As of December 31, 2012, there were 1,525 domestic IHOP franchise and area license restaurants. During 2012, its franchisees and area licensees opened 40 domestic franchise restaurants and 17 domestic franchise and area license restaurants were closed. As of December 31, 2012, there were 44 international IHOP franchise and area license restaurants. During 2012, its franchisees opened eight international franchise restaurants and no restaurants were closed.


The Company competes with Chili’s, T.G.I. Friday’s, Ruby Tuesday’s, Denny’s, Cracker Barrel Old Country Store and Bob Evans Restaurants.

Advisors’ Opinion:

  • [By Jayson Derrick]

    Analysts at Longbow Research upgraded DineEquity (NYSE: DIN) to Buy from Neutral with a $102 price target. Shares hit new 52-week highs of $86.02 before closing the day at $85.15, up 1.49 percent.

  • [By Peter Graham]

    The Q4 2014 earnings report for restaurant stock Bob Evans Farms Inc (NASDAQ: BOBE), a potential peer of Cracker Barrel Old Country Store, Inc. (NASDAQ: CBRL), Denny’s Corporation (NASDAQ: DENN) and DineEquity Inc (NYSE: DIN), is scheduled for after the market closes on Tuesday. Aside from the Bob Evans Farms report, it should be said that Cracker Barrel Old Country Store, Inc reported Q3 2014 earnings on May 28th (revenues and profit rose on lower expenses); Denny’s Corporation reported Q1 2014 earnings on April 28th (they had their strongest quarter of same-store sales at company restaurants in over seven years); and DineEquity Inc reported Q1 2014 on May 1st (earnings rose on stronger sales). However, Bob Evans Farms recently replaced three board members with new independent directors after facing criticism from shareholder Sandell Asset Management Corp.

  • [By Nickey Friedman]

    “Customers have been telling us for some time… ‘I don’t like to wait for the check,'” said Julia Stewart, CEO of DineEquity  (NYSE: DIN  ) , in an interview on CNBC. DineEquity, the parent company of Applebee’s, and other restaurants like Buffalo Wild Wings (NASDAQ: BWLD  ) and Chili’s of Brinker International (NYSE: EAT  )  are in the process of rolling out pay-at-the-table computer tablets across the nation. While giving consumers a more convenient way to order and pay for their meal is a plus, there is an indirect motivator for the tablets that may lead to higher sales and profits.

  • [By Rustic Nomad]

    Buffalo Wild Wings (BWLD), a Minneapolis-based restaurant chain, recently declared its fourth-quarter financial results and they were not impressive. Amid tough competition from its rivals such as Dine Equity (DIN) and McDonald’s (MCD), analysts were expecting better financial results, which the company failed to provide.

Top Restaurant Companies For 2015: BAB Inc (BABB)

BAB, Inc., incorporated on July 12, 2000, franchises and licenses bagel and muffin retail units under the Big Apple Bagel (BAB) and My Favorite Muffin (MFM) trade names. At November 30, 2012, the Company had 100 franchise units and 6 licensed units in operation in 24 states. The Company additionally derives income from the sale of its trademark bagels, muffins and coffee through nontraditional channels of distribution including under licensing agreements with Kohr Bros. Frozen Custard, Kaleidoscoops, Green Beans Coffee, Sodexo and through direct home delivery of specialty muffin gift baskets and coffee. The Company has two wholly owned subsidiaries: BAB Systems, Inc. (Systems) and BAB Operations, Inc. (Operations). At November 30, 2012, the Company had 100 franchise units and six licensed units in operation in 24 states.


The Company additionally derives income from the sale of its trademark bagels, muffins and coffee through nontraditional channels of distribu tion including under licensing agreements with Kohr Bros. Frozen Custard, Kaleidoscoops, Green Beans Coffee, Sodexo and through direct home delivery of specialty muffin gift baskets and coffee. The BAB franchised brand consists of units operating as Big Apple Bagels, featuring daily baked bagels, flavored cream cheeses, premium coffees, gourmet bagel sandwiches and other related products. Licensed BAB units serve the Company’s par-baked frozen bagel and related products baked daily. BAB units are primarily concentrated in the Midwest and Western United States. The MFM brand consists of units operating as My Favorite Muffin, featuring a variety of freshly baked muffins, coffees and related products, and units operating as My Favorite Muffin and Bagel Cafe, featuring these products as well as a variety of specialty bagel sandwiches and related products.


The Company’s BAB offering franchises in all 50 states, its initial development focus is targeted for the Mid west, specifically Illinois, Michigan, Wisconsin and Ohio. A! s part of its introductory development plan, BAB will be donating 10% of the initial franchise fee from its 50 SweetDuet units to the Cystic Fibrosis Foundation, of which BAB is a corporate sponsor. SweetDuet, as its name implies, is a fusion concept, pairing self-serve frozen yogurt with BAB’s exclusive line of My Favorite Muffin gourmet muffins, broadening the shop’s offering and therefore differentiating itself from the numerous frozen yogurt outlets already populating the market. SweetDuet shops include BAB’s Brewster’s Coffee and a streamlined breakfast menu. The concept is designed to work in 1600 square feet of space.


BAB franchised stores daily bake a variety of fresh bagels and offer up to 11 varieties of cream cheese spreads. Stores also offer a variety of breakfast and lunch bagel sandwiches, salads, soups, various dessert items, fruit smoothies, gourmet coffees and other beverages. A typical BAB store is in an area with a mix of both residential and commercial properties and ranges from 1,500 to 2,000 square feet. The Company’s current store design is approximately 1,800 square feet, with seating capacity for 20 to 30 persons, and includes approximately 750 square feet devoted to production and baking. A satellite store is typically smaller than a production store, averaging 800 to 1,200 square feet. Although franchise stores may vary in size from other franchise stores, store layout is generally consistent.


MFM franchised stores daily bake 20 to 25 varieties of muffins from over 250 recipes, plus a variety of bagels. They also serve gourmet coffees, beverages and, at My Favorite Muffin and Bagel Cafe locations, a variety of bagel sandwiches and related products. The typical MFM store design is approximately 1,800 square feet, with seating capacity for 20 to 30 persons.The Company advertises its franchising opportunities in directories, newspapers and the Internet.

The Company competes with E instein Noah Restaurant Group, Panera Bread Company and Brue! gger’s Ba! gel Bakery.


Advisors’ Opinion:

  • [By CRWE]

    Today, BABB remains (0.00%) +0.000 at $.800 thus far (ref. google finance July 11, 2013).

    For the quarter ended May 31, 2013, BAB had revenues of $658,000 and net income of $125,000, or $0.02 per share, versus revenues of $826,000 and net income of $267,000, or $0.04 per share, for the same quarter last year. For the quarter ended May 31, 2012, the Company received a $171,000 payment for the buyout of the Franchise Agreement from its Minot, ND franchisee so the franchisee could pursue its other business interests associated with the local energy boom. In that acceptance by the Company of the voluntary buyout is unique, no such transaction occurred nor was such income earned in the quarter ended May 31, 2013.

Top Restaurant Companies For 2015: Richoux Group PLC (RIC)


Richoux Group plc is a United Kingdom-based company engaged in the operation of restaurants. The Company has three segments: Richoux, Villagio Zippers and Dean’s Diner. Richoux restaurants operate in the areas of central London. The restaurants are open all day for breakfast, lunch, afternoon tea and dinner. The restaurants also offers patisserie. Zippers is a spacious, stylish and contemporary restaurant with a relaxed ambience. Dean’s Diner offers a range of freshly prepared dishes. Villagio is a modern local Italian restaurant with a menu suitable for the whole family. The Company’s subsidiaries include Newultra Limited and Richoux Limited. Advisors’ Opinion:

  • [By John Udovich]

    Small cap paper stock Verso Paper Corp (NYSE: VRS), trucking stock Covenant Transportation Group, Inc (NASDAQ: CVTI) and gold mining stock Richmont Mines Inc (NYSEMKT: RIC) are among the best small cap stock performers for the year and the best in their respective sectors because they are up 390.7%, 224.7% and 215%, respectively, since the start of the year. Why has the paper, trucking and gold mining sector produced three top performing small cap stocks? Here are some answers:

  • [By Roberto Pedone]

    Richmont Mines (RIC) engages in the mining, exploration and development of mining properties, principally gold in Canada. This stock closed up 2.4% to $1.68 in Tuesday’s trading session.


    Tuesday’s Range: $1.61-$1.68

    52-Week Range: $1.31-$5.50

    Tuesday’s Volume: 76,000

    Three-Month Average Volume: 101,786

    From a technical perspective, RIC bounced higher here right off its 50-day moving average of $1.59 with decent upside volume. This stock has been uptrending strong for the last month and change, with shares moving higher from its low of $1.31 to its recent high of $1.71. During that move, shares of RIC have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of RIC within range of triggering a near-term breakout trade. That trade will hit if RIC manages to take out some near-term overhead resistance at $1.71 to $1.80 with high volume.


    Traders should now look for long-biased trades in RIC as long as it’s trending above its 50-day at $1.59 or above more near-term support levels at $1.50 to $1.44 and then once it sustains a move or close above those breakout levels with volume that hits near or above 101,786 shares. If that breakout triggers soon, then RIC will set up to re-test or possibly take out its next major overhead resistance levels at $2.10 to $2.20. Any high-volume move above those levels will then give RIC a chance to tag its 200-day moving average at $2.48.

  • [By Sally Jones]

    Richmont Mines Inc. (RIC)

    Down 70% over 12 months, Richmont Mines Inc. has a market cap of $56.23 billion, and trades with a P/B of 0.60.

Top Restaurant Companies For 2015: Potbelly Corp (PBPB)

Potbelly Corporation, incorporated on June 5, 2001, is a neighborhood sandwich concept offering toasty warm sandwiches, signature salads and other fresh menu items. Its sandwiches, salads and hand-dipped milkshakes are all made fresh to order and its cookies are baked fresh each day. As of June 30, 2013, it had a domestic base of 286 shops in 18 states and the District of Columbia. Of these, the Company operates 280 shops and franchisees operate six shops. In addition, there are 12 franchised shops in the Middle East.


The Company’s menu features items made from ingredients such as fresh vegetables, hearth-baked bread and all-natural chicken (without preservatives or artificial flavors). The Company also uses whole muscle turkey, ham and roast beef, rather than chopped and formed deli meats. Its menu includes toasty warm sandwiches, signature salads, soups, chili, sides, desserts and, in its breakfast locations, breakfast sandwiches and steel cut oatmeal. Its sandwiches can be customized with a variety of toppings, including its Potbelly hot peppers that are made with a combination of spices. Customers can also order off-menu sandwiches and variations on our sandwiches, including the Wrecking Ball (A Wreck plus meatballs), the Lucky Seven (which includes all seven of its sliced meat choices) and the Cheeseburger (the Meatball with cheddar cheese and no marinara). Customers may order any of its salads without meat for a vegetarian option and may customize a salad as they desire. Salads come with a choice of dressing, including Potbelly Vinaigrette, Balsamic Vinaigrette, Buttermilk Ranch and Non-Fat Vinaigrette.


The Company offers soups, chili and side dishes. Different soups are offered daily, including varieties such as Broccoli Cheddar, Chicken Noodle, Loaded Baked Potato, Chicken Enchilada and Spicy Southwest Veggie. It has vegan soup options, including Garden Vegetable and Spicy Black Bean. Its chili is availabl e seven days a week and is a hearty recipe of ground beef, k! idney beans, onions and bell peppers sweetened with a touch of molasses. Additionally, customers can choose side dishes of coleslaw, macaroni salad, potato salad, potato chips or a whole dill pickle. Its classic shake flavors include vanilla, chocolate, strawberry, coffee and Oreo, and its smoothies include real fruit, such as bananas and strawberries. Its varieties of cookies are baked fresh in each shop daily and include Oatmeal Chocolate Chip, Sugar, Chocolate Brownie and Chocolate Cherry Granola cookies. Customers can also order an ice cream sandwich, with their choice of cookies and ice cream, or its signature chocolate and caramel Dream Bar.


The Company competes with Chipotle, Jimmy John’s, Panera Bread and Subway.

Advisors’ Opinion:

  • [By WWW.DAILYFINANCE.COM]

    Andrew Burton/Getty Images This has been a decent year for consumer-facing companies, and restaurant stocks would seem to be obvious beneficiaries. The employment picture is improving, giving consumers the means to eat out. Lower gas prices are also helping. However, not all eatery chains moved higher in 2014. Let’s take a look at some of the companies that went the wrong way this year. Potbelly (PBPB) — Down 51 percent this year The sandwich baker that got its start as part of an antique store has shed more than half of its value. It’s been rough for the stock that initially soared after going public last year. Then again, investors have a right to question Potbelly’s popularity. Comparable-restaurant sales through the first nine months of this year have declined 1.1 percent, and adjusted profitability has been nearly cut in half. At the end of the day there’s no shortage of sandwich shops out there, even if this is the only one that started out in the back of an antique shop. Chuy’s (CHUY) — Down 46 percent this year One of the hardest-hit casual-dining chains of 2014 is Chuy’s. The chain of lively Mexican restaurants — featuring Elvis Presley shrines, nacho bars out of makeshift car trunks and framed pet portraits — seems to be holding up well. It has rattled off 17 consecutive quarters of positive comparable-store sales. With just 59 full-service restaurants offering Mexican eats, Chuy’s is still in its infancy. The reason that the stock has shed nearly half of its value this year is that it began the year at a lofty valuation. Chuy’s is growing, but it’s not growing fast enough to justify its earlier market cap. Noodles & Co. (NDLS) — Down 28 percent this year Noodles & Co. was one of last year’s hottest IPOs, soaring after going public at $18. A few trading days later, the stock was poking its head above $50. The fast-casual chain specializing in a wide array of international pasta dishes has a unique concept and plenty of room for

  • [By WWW.DAILYFINANCE.COM]

    christianz1969/Flickr Americans lately have been transferring their love of fast-casual restaurant food to stocks of companies in the segment. Late last month, “better burger” specialist The Habit Restaurants (HABT) launched an initial public offering that doubled in price within hours of hitting the market. Like a meal from one of The Habit’s more traditional fast-food rivals, though, the feeling of satisfaction didn’t last: The shares started to drop after the initial euphoria. But that isn’t stopping other fast-casual operators from listing on the exchange. They’re finding, though, what works in the kitchen isn’t necessarily successful on the market. IPOh Yes IPOs of fast-casual chain operators are coming to the market faster than you can get a refill at a soda machine. This year alone has seen the market debut not only of The Habit, but also the Mediterranean-flavored Zoe’s Kitchen (ZOES) and West Coast chicken griller El Pollo Loco Holdings (LOCO), among others. Like The Habit, the stocks of the latter two saw impressive first-day rises (although they didn’t pop quite as high as those of the burger purveyor). Why the excitement? Some of it can certainly be ascribed to the IPO market itself, which has had a frothy year. As of this writing, 262 companies have gone public, a 25 percent rise over the same period of 2013. In terms of total proceeds from IPOs, 2014 is set to be the best year for at least the past decade. Building a Better Burrito But likely a bigger factor is that the fast-casual segment has one great model that investors are hoping the newcomers can at least partially replicate — Chipotle Mexican Grill (CMG). Since going public in 2006, the stock of the now-ubiquitous chain has gone through the roof. Its IPO was priced at $22 a share and doubled in its first day of trading. Since then, its shares have ballooned — at the moment, they trade at nearly $660, for a hard-to-believe 2,900-plus-percent rise from the issue price. It’s not t

  • [By WWW.DAILYFINANCE.COM]

    Aram Boghosian/The Boston Globe/Getty Images The next hot restaurant initial public offering could be a company that wouldn’t mind playing games with you. Dave & Buster’s — the chain of gargantuan restaurants with enclosed arcades and game rooms — filed to go public earlier this month. If everything goes as planned, it will begin trading later this year under the ticker symbol PLAY on the Nasdaq exchange. There’s more to Dave & Buster’s than a D&B logo on the outside and a group of adults reliving their childhood at the video game arcade on the inside. Let’s go over several of the reasons you may want to consider buying into the upcoming IPO. 1. Dave & Buster’s Is Growing Quickly One thing to watch for in assessing eatery IPOs is to make sure that they’re not going public as an exit strategy. Investors were burned last year by chasing the once-hot IPOs of sandwich baker Potbelly (PBPB) and pasta tosser Noodles & Co. (NDLS) while store-level popularity was actually peaking. Growth is accelerating at Dave & Buster’s. Revenue may have inched just 5 percent higher last year, but sales have soared nearly 17 percent through the first half of this fiscal year. 2. It’s Been Here Before This isn’t the first time that Dave & Buster’s will be a publicly traded company. Investors were able to bet on the company’s success until it was taken private by Wellspring Capital Management in 2006. It was then sold to Oak Hill Capital Partners four years later in a $570 million transaction, and now that firm is taking it public. This may not seem like much of a selling point. Some will argue that it reveals a tendency to quit. However, it can also be viewed as a company that is already used to the market’s quarterly expectations, with the experience to navigate through Wall Street’s fickle tastemakers. 3. Dave & Buster’s Offers Diversity From Volatile Food Prices One of the biggest potential setbacks for a restaurant operator is the volatil

Top Restaurant Companies For 2015: Popeyes Louisiana Kitchen Inc (PLKI)

Popeyes Louisiana Kitchen Inc, formerly AFC Enterprises, Inc. incorporated on July 27, 1992, develops, operates, and franchises quick-service restaurants (QSRs or restaurants) under the trade names Popeyes Chicken & Biscuits and Popeyes Louisiana Kitchen (collectively Popeyes). Within Popeyes, it manages two business segments: franchise operations and ompany-operated restaurants. Within the QSR industry, Popeyes distinguishes itself with a Louisiana style menu, which features spicy chicken, chicken sandwiches, chicken tenders, fried shrimp and other seafood, red beans and rice and other regional items. As of December 25, 2012, the Company operated and franchised 2,104 Popeyes restaurants in 47 states, the District of Columbia, Puerto Rico, Guam, the Cayman Islands and 26 foreign countries. As of December 25, 2012, of its 1,634 domestic franchised restaurants, approximately 70% were concentrated in Texas, California, Louisiana, Florida, Illinois, Maryland, New York, Georgia , Virginia and Mississippi. Of its 425 international franchised restaurants, approximately 60% were located in Korea, Canada, and Turkey. Of its 45 Company-operated restaurants, approximately 80% were concentrated in Louisiana and Tennessee. In November 2012, the Company acquired 27 restaurants in Minnesota and California.

As of December 25, 2012, the Company had 340 franchisees operating restaurants within the Popeyes system. During the fiscal year ended December 25, 2012 (fiscal 2012), the Popeyes system opened 141 restaurants, which included 75 domestic and 65 international restaurants. During fiscal 2011, the Popeyes system permanently closed 75 restaurants, resulting in 66 net restaurant openings, compared to 65 net openings. As of December 25, 2012, it leased 12 restaurants and subleased 44 restaurants to franchisees. In addition, it leased three properties to unrelated third parties. Of the restaurants leased or subleased to franchisees, 29 were located i n Texas and 16 were located in Georgia. On November 7, 2012,! the Company entered into a new agreement with the King Features Syndicate Division of Hearst Holdings, Inc., licensor of the Popeye the Sailorman and associated cartoon characters.

Advisors’ Opinion:

  • [By Steve Symington]

    With the taste of last quarter’s solid performance still fresh on investors’ palates, Popeyes Louisiana Kitchen (NASDAQ: PLKI  ) just served up another plate of mixed quarterly results. But this time, the quick-service restaurant chain added a little extra kick with its guidance.

  • [By Mark Yagalla]

    As the fast-food wars heat up, restaurants are getting more creative with their menu items. One item that is getting a lot of attention is the waffle. Two restaurant chains that have introduced their own variations of the waffle are Taco Bell, owned by Yum! Brands (NYSE: YUM  )  and Popeyes Louisiana Kitchen (NASDAQ: PLKI  ) . Taco Bell has made the Waffle Taco a centerpiece of its new breakfast menu. Meanwhile, Popeyes is bringing back its popular Chicken Waffle Tenders. Could the waffle be the answer and boost same-store sales for these restaurants? If it is the answer, expect to see more variations of the waffle on many more menu boards.