Is BJ's Restaurants Stock a Buy?
Sports, craft beer, and a Pizookie dessert. What could possibly go wrong? As it turns out, a pandemic could.
Except for a run higher in 2018, shares of BJ's Restaurants (NASDAQ: BJRI) have been stuck in sideways action for years. And now, with shelter-in-place orders to fight COVID-19 limiting restaurants' ability to operate, BJ's stock has slumped over 50% so far in 2020. The chain, along with its peers, has at times started to rally on much-needed news of a treatment for the virus and reopening plans. But the depression oppressing restaurants won't end until the world starts to normalize. And there's also the "new normal" that will favor digital operations that will need to be dealt with once the dust settles.
This stock could be a big winner in the years ahead, but then again, it could be dead weight in a portfolio if things don't go as smoothly as necessary for BJ's to mount a comeback. Digging deeper into the numbers will help in making an educated decision.
Source Fool.com
