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Fly News Breaks for November 22, 2019
JACK
Nov 22, 2019 | 13:58 EDT
Following Jack in the Box's decision to change its quarter-to-date guidance policy, Stifel analyst Chris O'Cull said management did little to alleviate investors' concern that the decision was made from a position of weakness. While he says the shift in guidance policy "may be warranted," O'Cull contends that the company should have provided more notice for the policy change. The analyst tells investors in a research note that he believes this was a "communication snafu" rather than a change in the company's fundamental performance. He views the decline in share price as a buying opportunity, and feels the underlying trajectory of the business remains intact. He keeps a Buy rating on the shares.
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