Bojangles (BOJA) Stock Coverage Initiated at Jefferies

NEW YORK (TheStreet) -- Bojangles (BOJA) stock coverage was initiated by analysts at Jefferies with a "buy" rating and a price target of $32. The company is a restaurant operator and franchisor.

The firm cited the company's strong breakfast daypart and regional growth through the Southeast.

"BOJA has created a cult-like following in the Southeast over the past 38 years, serving freshly-made fried chicken and biscuits since its founding in Charlotte, NC," analysts said.

The brand is the number five player in the $21 billion QSR chicken category, but more importantly, its strong breakfast daypart generates about 40% of sales and has a loyal, habitual consumer base, they added.

However, some risks include near-term chicken cost inflation, competition and ability to grow outside of core Carolina markets, according to the analyst note.

In Tuesday's pre-market trading session, shares of Bojangles are falling 4.24% to $28.01.

BOJA Chart BOJA data by YCharts

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