Brinker International has made significant strides in revitalizing its Chili's restaurant chain, leading Jefferies to upgrade the stock from hold to buy and increase its price target from $230 to $255, suggesting a 26% upside from the recent closing price.
Analyst Alexander Slagle highlighted a transition from a turnaround phase to a sustainable growth trajectory, emphasizing that the company's value-creation opportunities are currently underappreciated.
Chili's has enhanced its sales through improved social media engagement, menu updates, and value-driven advertising, contributing to a 41% stock increase in 2026 and positioning the company for its fourth consecutive year of gains. Jefferies noted that there remains significant potential for further growth, with approximately 40% of the menu still available for refreshment.
This positive outlook aligns with the broader consensus on Wall Street, where 20 out of 23 analysts recommend buying or strongly buying the stock