Jack in the Box price target raised to $80 from $77 at BofA

BofA raised the firm’s price target on Jack in the Box to $80 from $77 and keeps a Buy rating on the shares. While Q4 same-store sales growth missed “modestly” at Jack in the Box and “more meaningfully” at Del Taco, the firm believes Jack’s decision to remove lower margin items in Q4, which dragged on sales, gives the brand room to lean into value and menu innovation in FY24. With unit growth turning positive and returns continuing to climb through refranchising, the firm expects the multiple to re-rate higher, but argues that earnings growth supports upside even without that assumption.