Latest News Update About Steak and Shake: Shares of Biglari Holdings Inc. rose on Wednesday after an analyst upgraded the operator of Steak n Shake and Western Sizzlin restaurants, saying its stock is cheap and represents a buying opportunity.
THE SPARK: CL King analyst Michael Gallo upgraded shares to "Accumulate" from "Neutral," noting shares have fallen 32 percent since reaching around $400 April. He believes the closely-held stock's current valuation below $300 is "now compelling."
He set a target share price of $350.
THE BIG PICTURE: Restaurants were hurt in the recession as people limited their spending. But dining out is starting to come back as people become more comfortable with their finances. So if a restaurant operator like Biglari thinks its business is improving, that can show lots about the economy. Read More
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