Cracker Barrel Shares Rise On Analyst Expectations

NEW YORK (AP) — Shares of Cracker Barrel Old Country Store Inc. climbed Tuesday after a SunTrust Robinson Humphrey analyst said the restaurant chain will likely best Wall Street's expectations when it reports its fiscal third-quarter financial results.

Shares rose $1.56, or 5.2 percent, to $31.37 in afternoon trading.

Analyst Christopher O'Cull said in a note to investors he expects the company to report better-than-expected same-store sales, or sales at locations open at least a year. He added the chain could beat analysts' average estimate for profit by five cents per share.

Analysts polled by Thomson Reuters, on average, expect the company to post a profit of 43 cents per share for the quarter.

O'Cull said the company's guest counts — the number of customers that walk through the doors — have "consistently outperformed" guest counts in the rest of the casual dining sector "due to its affordability and compelling promotional offerings."

Many sit-down chains have reported sharp declines in same-store sales as more consumers cut back on meals out in favor of grocery store shopping and eating at home. O'Cull said Cracker Barrel will also likely report a small decline in same-store sales for the period.