Dine Brands downgraded to Neutral from Buy at UBS

UBS analyst Dennis Geiger downgraded Dine Brands (DIN) to Neutral from Buy with a price target of $32, down from $44. The firm has a more optimistic view on the U.S. restaurant sector sales outlook for 2025 as UBS anticipates the U.S. macro backdrop and industry environment will modestly improve, the analyst tells investors in a research note. Margins should improve for many companies in 2025 given benign food inflation, with traffic a key variable, and risks from less pricing, ongoing labor inflation, and elevated discounting activity, UBS says.