Jack in the Box
This is a top fast-food offering for traders to consider. Jack in the Box Inc. (NASDAQ: JACK) has sold off almost 10% since the end of September, and the entry point here looks very solid. The company operates and franchises Jack in the Box restaurants, one of the nation’s largest hamburger chains, with more than 2,200 restaurants in 21 states and Guam. Additionally, through a wholly owned subsidiary, the company operates and franchises Qdoba Mexican Eats, a leader in fast-casual dining, with more than 600 restaurants in 47 states, the District of Columbia and Canada.
To counter McDonald’s all-day breakfast promotion, the company recently launched its new all-day “brunchfast” menu on September 28, 2016. The menu features items such as the bacon and egg chicken sandwich, the brunch burger and the southwest scrambler plate.
Shareholders are paid a 1.24% dividend. The Jefferies price target of $112 is above the $108.23 consensus target. Shares closed most recently at $96.45.
Take-Two Interactive Software
This top video game producer has cashed in with some super-hot titles. Take-Two Interactive Software (NASDAQ: TTWO) offers its products under labels such as Rockstar Games and 2K. It develops and publishes action/adventure products under the Grand Theft Auto brand, as well as other franchises, including Civilization, Borderlands, Bioshock and Red Dead under the Rockstar Games label. The Grand Theft Auto franchise has been one of the best-selling video games ever released.
The company also reported outstanding earnings for the recent quarter, but it did push guidance lower than current levels. Top Wall Street analysts are very bullish on the next Rockstar title, as well as the fact that the company raised its 2018 fiscal year estimates.
The Jefferies target price is $48, and the consensus target is at $46.38. The stock closed trading on Monday at $43.77.
This is a top internet play for investors looking for exposure in the sector. Yelp Inc. (NASDAQ: YELP) provides free and paid business listing services to businesses of various sizes, as well as enabling businesses to deliver targeted search advertising to large local audiences through its website and mobile app.
Yelp also provides other services, including Yelp platform, which allows consumers to transact directly on Yelp; Yelp deals that allow local business owners to create promotional discounted deals for their products and services; and gift certificates products for local business owners to sell full-price gift certificates directly to customers. The Yelp platform also enables consumers to complete food delivery transactions, book spa and salon appointments, order flowers, make winery reservations and more.
The Jefferies price target is set at $42. The consensus posted target is much lower at $38.63, and shares closed above that level Monday at $41.11.
These five solid companies could show some solid price momentum, especially with earnings season upon us. While they are more suited for accounts with a higher risk tolerance, they are all established companies with sizable track records.