UPDATE: KeyBanc Capital Markets Initiates Coverage of Cracker Barrel with Buy Rating, $75 PT

In a report published Friday, KeyBanc Capital Markets initiated coverage of Cracker Barrel Old Country Store CBRL with a Buy rating and a $75.00 price target. KeyBanc noted, “We believe estimates and valuation underestimate CBRL's ability to drive upside to its 12-15% EPS growth target during the next few years. Visible top-line drivers, tight cost controls and significant capital deployment opportunities should lead to results ahead of the Street's $4.64 EPS estimate for FY13. Moreover, nervous sentiment toward the activist shareholder, Biglari Holdings, creates a buying opportunity.” Cracker Barrel Old Country Store closed yesterday at $62.87.