Ruby Tuesday shares are within sniffing distance of their 52-week low, but not all market watchers are worried.
Writing for TheStreet.com, Jonathan Heller, president of KEJ Financial Advisors, says the Maryville-based restaurant chain deserves watching despite its recent bad earnings report.
Among other positives, Heller notes that RT owns considerable real estate.
“This is no small chain, with about 825 locations, 740 of which are company operated. But the kicker here is that the company owns the land and building for 368 locations and building only for another 250. That’s a potentially interesting portfolio of commercial real estate, especially considering the company’s current $730 million enterprise value. At current levels, shares also trade at just 0.76x tangible book value.”
Here’s Heller’s full report: Hello Ruby Tuesday