UPDATE: UBS Investment Research Raises PT to $35 on Brinker International; Higher Valuation from Sales

UBS Investment Research reiterates its Buy rating on Brinker International EAT and raises its price target from $30 to $35 as sustainable sales warrant a higher valuation on shares. UBS Investment Research comments, "Increasingly, we believe that Brinker initiatives are boosting revenue trends as well as margins—and this should support a higher valuation. Our target implies 15x CY13e EPS (vs. a five-year range of 6x to 17x). We believe that value-tiers, improving customer satisfaction, and reimaging are already helping to drive sustained SSS growth. Furthermore, we believe new kitchens (fully rolled out in company stores by December) will allow for additional menu innovation in CY13." EAT closed at $31.16 on Monday.