Cracker Barrel price target lowered to $51 from $60 at Truist

Truist analyst Jake Bartlett lowered the firm’s price target on Cracker Barrel to $51 from $60 and keeps a Hold rating on the shares. The company has announced an aggressive reinvestment into the brand that comes at the expense of return of cash to shareholders, as the management has cut its dividend payouts by about 80%, the analyst tells investors in a research note. This is a negative for Cracker Barrel’s core income-oriented shareholder, and while the management’s plan to drive sales and margins may prove successful, it will be a “show me” story, the firm added.