Jack in the Box Beats Street Forecast; Stock up 3 Percent

Stock of fast food chain Jack in the Box is up more than 3 percent this morning (Wednesday, Feb. 20) in a market that is falling because of bad inflation news. The company announced that in its most recent quarter, earnings per share rose to 60 cents from last year's 52 cents. Wall Street analysts had been expecting 57 cents. The company's new products, including sirloin steak melt and grilled chicken strips, gained consumer acceptance. The company raised its forecast for 2008.

Comments

Damn, and I was just thinking that they might get drug down some by this beef recall.

Response to post #1: JBX once had super-sized debt, but has been paying it off. It's a well-managed company now. Best, don Bauder

Response to post #2: Sounds like you shorted it. Bad timing. Best, Don Bauder

JBX shares rose more than 7 percent on the day, as investors realized that this company is establishing a solid position in the fast food industry. Another possible factor in the bigger rise is that the overall market turned back up. It's down 50 cents this morning, though. Best, Don Bauder

Nope... didn't short it. I don't have time to be shorting stocks. If it dropped enough, I might have bought some and waited for it to go back up.

Response to post #6: Yes, I don't go short, either. The unlimited liability is too scary. Also, you can be absolutely right in your analysis -- the company is a dog -- but if the longs keep buying it, you're in deep doo-doo, and may be forced to cover at a big loss, despite your trenchant and well-researched opinion. Best, Don Bauder

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