Morgan Stanley Believes Solid 3Q EPS Bodes Well for Sonic Corporation

In a report published Tuesday, Morgan Stanley analyst John Glass reiterated an Equal-Weight rating on

. In the report, Morgan Stanley noted, “3Q showed solid SSS momentum, outweighing a spike in food costs (limes!), modest POPs rollout delays & lowered franchise devel. Comp momentum likely to get SONC past tougher 4Q compares, and should reignite unit growth over time. Raising FY14e and FY15e 1c; FY15 still above consensus.” Sonic Corporation closed on Monday at $22.65.