Biglari (NYSE:BH) Rating Lowered to "Buy" at StockNews.com

Biglari Holdings Inc. (NYSE:BH) was recently downgraded from a "strong-buy" rating to a "buy" rating by analysts at StockNews.com. This change, noted in a report released on Friday, reflects a shift in perception among analysts regarding the stock's performance and future prospects.

Biglari Price Performance

On the trading day following the rating change, Biglari's stock price saw an increase, rising by $3.78 to reach $225.83. During this session, a total of 4,688 shares were traded, which is below its average trading volume of 8,713 shares. The financial health indicators for Biglari show a current ratio of 1.47 and a quick ratio of 1.44. The company's debt-to-equity ratio is 0.17, indicating low financial leverage.

The stock has experienced fluctuations over the past year, hitting a 12-month low of $145.95 and a high of $271.35. Biglari maintains a market capitalization of approximately $514.90 million and has a price-to-earnings ratio of 1.28. Its beta is 0.73, pointing to lower volatility compared to the broader market.

Recent Earnings Report

Biglari recently announced its quarterly earnings data. For the quarter, the restaurant operator reported earnings of $114.77 per share (EPS) and revenue of $90.41 million. The company also showcased a return on equity of 16.03% along with a net profit margin of 14.14%. These figures indicate a solid performance despite the recent rating downgrade.

Insider Activity

In relevant insider news, CEO Sardar Biglari made a notable acquisition, purchasing 4,994 shares of the company's stock at an average price of $247.33, totaling approximately $1.24 million. Following this purchase, he owns 1,281,750 shares valued at around $317 million, marking a 0.39% increase in his ownership. Insiders have been active in the stock, with 21,977 shares bought in the last 90 days. Currently, 71.40% of Biglari's stock is owned by corporate insiders.

Institutional Trading Activity

Institutional investors have been making adjustments to their positions in Biglari as well. For example, Los Angeles Capital Management LLC increased its holdings by 2.0%, acquiring additional shares during the third quarter. Other notable trades include JPMorgan Chase & Co. growing its position by 48.8%, and Ritholtz Wealth Management increasing its stake by 17%. Collectively, institutional investors own 74.30% of the company's shares, highlighting their significant interest in Biglari.

Biglari Company Overview

Biglari Holdings Inc. primarily operates and franchises restaurants in the United States, most notably under the Steak n Shake and Western Sizzlin brands. In addition to its restaurant operations, the company engages in underwriting commercial trucking insurance and providing other related insurance services.

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