Bull v. Bear Debate: Buffalo Wild Wings

Goldman Sachs and Credit Suisse have different views on the Minneapolis, Minnesota-based restaurant operator Buffalo Wild Wings

. Bull Thesis Goldman added Buffalo Wild Wings to Americas Conviction List saying that it continues to see data points supportive of a long-term secular story at what it view as a compelling valuation. The brokerage, which has a Buy rating and $187 price target on BWLD shares, said the near-term risk-reward is favorable as perceived risks related to the top-line and/or wing prices are priced in and/or overstated. "NPD still shows capacity coming out of bar & grill, BWLD's 10K expanded on smaller market opportunity that can drive upside to 1,700 unit target, interest in Copa Americana supportive of soccer driving growing sports viewership, and cord cutting further accelerated in 2015," Goldman wrote in a note to clients. Bear Thesis Credit Suisse is more cautious on Buffalo Wild Wings due to its aggressive pricing. Credit Suisse, which views BWLD as a "contrarian underperform idea" sees the stock as a contrarian play on upside, i.e. the Street is getting more optimistic on the name but the firm is holding fast to its downside prediction. "While the Street is modeling recovery in the pace of traffic growth, we are more cautious because BWLD's aggressive pricing over the past few years may finally be driving the value-conscious segment of its customer base to more affordable alternative," Credit Suisse said in a client note. Shares of Buffalo Wild Wings closed Wednesday's regular trading session at $142.49. In the pre-market hours, the stock gained 2 percent.