UPDATE: Wunderlich Securities Initiates Buffalo Wild Wings at Buy on Revenue/Earnings Upside

In a report published Tuesday, Wunderlich Securities analyst Robert Derrington initiated coverage on Buffalo Wild Wings BWLD with a Buy rating and $117.00 price target.

In the report, Wunderlich Securities noted, “We are initiating coverage of Buffalo Wild Wings, Inc. (BWLD) with a Buy rating and a 12-month price target of $117. We believe upside to our revenue and earnings projections is likely to be the key catalyst to our price target. Despite industry risk factors, including the potential for slowing sales and volatile commodity price trends, management has established its rapidly expanding Buffalo Wild Wings system as one of the industry's premier growth stories with both offensive and defensive characteristics. Management's business model is projected to average annual EPS growth in the 20%-25%-range. Despite impact from the Great Recession, over the past five years, annual EPS growth has remained in line with that plan, averaging 23% and rewarding BWLD with its premium valuation.”

Buffalo Wild Wings closed on Monday at $99.84.