UPDATE: The Buckingham Research Group Initiates Coverage On Jack In The Box As Growth Matters Again

In a report published Friday, The Buckingham Research Group analyst Matthew DiFrisco initiated coverage on

with a Neutral rating and $61.00 price target. In the report, The Buckingham Research Group noted, “We are initiating coverage on JACK with a NEUTRAL rating and a $61 Target, implying less than 10% upside from the current level. While we recognize the improved business model and cash flow from JACK, we are concerned FY14 same store sales and EPS expectations may be optimistic given less tangible near term sales driving initiatives. Accordingly, though we see roughly 15% valuation downside risk and 25% upside, our outlook for FY14 EPS to fall short of Consensus increases the downside's probability.” Jack in the Box closed on Thursday at $55.25.