THE HEDGEYE BREAKFAST MONITOR
VIRTUAL PORTFOLIO:
LONGS: SBUX, JACK and EAT
SHORTS: MCD
SUBSECTOR PERFORMANCE
QUICK SERVICE
DNKN: Dunkin’ Brands announced an upsizing and pricing of its secondary offering. The secondary offering will be priced at $29.50. We do not think it is any coincidence that the company made this announcement the day after announcing a partnership – the largest of its kind so far in 2012 – with Jerry Jones and Troy Aikman to open 50 Dallas/Fort Worth restaurants.
COSI: Cosi reported a $0.04 EPS loss in 4Q along with same store sales of 2.6%. With one week remaining in 1Q12, system-wide comparable sales increased by almost 5%.
NOTABLE PERFORMANCE ON ACCELERATING VOLUME:
PEET: Peet’s has been performing well over the last month but declined 4.8% on accelerating volume yesterday.
CASUAL DINING
BWLD: Buffalo Wild Wings was initiated Neutral at Morgan Stanley.
NOTABLE PERFORMANCE ON ACCELERATING VOLUME:
DIN: DineEquity underperformed its peers yesterday.
Howard Penney
Managing Director
Rory Green
Analyst
