Bloomin' Brands (BLMN) Stock Forecast & Price Target

Bloomin Brands Inc. has demonstrated strong performance in its restaurant segments, with Carrabba's and Fleming's posting comparable sales increases of 3.9% and 3.8%, respectively, both exceeding consensus estimates significantly. The company's second quarter of fiscal year 2025 reported earnings per share (EPS) of $0.33, surpassing expectations by $0.05, driven by modest comparable store sales growth and favorable tax effects, which mitigated the impact of lower restaurant margins. Despite some challenges in the Outback segment, the overall sequential improvement in comparable sales and solid financial results contribute to a constructive outlook for the company's stock.

Bloomin Brands has significantly lowered its 2025 EPS guidance by approximately 20% to a range of $1.00 to $1.10, falling below the consensus estimate of $1.23, marking its second substantial guidance cut within four quarters. The company continues to face challenges with blended comparable sales, experiencing a 10% traffic decline on a three-year basis, indicating ongoing weakness in customer demand. Furthermore, the anticipated EPS for the third quarter is projected to be negative, ranging from -$0.15 to -$0.10, which also lags behind the +$0.05 consensus estimate, reflecting continued operational difficulties.