UPDATE: Stifel Lowers Price Target On Del Frisco's Restaurant Group On Reduced EPS Outlook

In a report published Tuesday, Stifel analyst Paul Westra reiterated a Buy rating on

, but lowered the price target from $36.00 to $30.00. In the report, Stifel noted, “We maintain our Buy rating on DFRG despite shaving our forward earnings outlook today by about ~5% following the company's public presentation at the 17th Annual ICR Conference in Orlando, FL, where the company indicated an ongoing margin drag from its up-and-coming 16-unit Del Frisco's Grille (The Grille) concept; and, to a lesser extent, a more backend weighted 2015 new-unit opening schedule. While frustrating, we view the nagging margin issues at The Grille to reflect typical growing pains of start-up chains; and, in the case of The Grille, is largely confined to just two previously-disclosed troubled locations, including: (1) Phoenix: which we suspect could be closed; and (2) Palm Beach: whose issues should fully abate once location opens for lunch/brunch/patio following expected approval by The City.” Del Frisco's Restaurant Group closed on Monday at $21.45.