- Baird analyst David Tarantino thinks Jack In The Box (NASDAQ:JACK) should consider a sale of Qdoba.
- "We remain cautiously optimistic that Qdoba can return to positive operating momentum and achieve solid growth longer term, we also see a scenario in which the company could sell Qdoba at a fairly modest valuation multiple (e.g., EV/EBITDA near 6-7X) and create near-term value for shareholders," he writes.
- Baird keeps an Outperform rating on Jack in The Box.
- Shares of Jack In The Box are up 36% over the last 52 weeks, but have peeled back from their high of $113.30.