Denny's Corporation (DENN)

Denny's stock has experienced several notable events and analyst adjustments in the past six months, including a 43.52% increase in stock price. Mizuho initiated coverage with a "Neutral" rating, while Benchmark and Piper Sandler maintained "Buy" and "Neutral" ratings, respectively, but lowered their price targets. Oppenheimer maintained an "Outperform" rating but also lowered its price target. Denny's reported a 0.6% decrease in domestic system-wide same-restaurant sales for Q2 2024, but outperformed the BBI Family Dining Sales Index. The company plans to expedite the closure of 150 lower-performing locations by the end of 2025.

Denny's utilizes Limited-Time Offers (LTOs) and seasonal promotions, often aligning with holidays or current food trends, to drive customer engagement. Denny's is one of the few restaurant chains that typically remains open on major holidays. The company's strategic use of seasonal promotions and its 24/7 operating model suggest an effort to cater to demand across different times of the year and day.

Denny's Corporation is an American multi-brand restaurant operator known for its full-service diner chains, operating primarily within the Consumer Cyclicals sector and the Restaurants industry. The company owns and operates franchised restaurants under the Denny's and Keke's Breakfast Cafe brand names, offering a diverse menu including all-day breakfast, lunch, and dinner items. Revenue is generated from food and beverage sales, as well as franchise fees.

Denny's operates extensively across the United States and internationally, including locations in Canada, Mexico, Guatemala, Indonesia, the United Kingdom, and New Zealand. The majority of the company's revenue is generated from its operations in the USA and Canada. As of late 2023, Denny's had approximately 1,631 restaurants, with the vast majority being franchised or licensed.

Denny's maintains a brand reputation as a "beloved American institution" known for its welcoming atmosphere and diverse menu, emphasizing community engagement and hospitality. Promotional activities, such as the "Grand Slam Giveaway," movie-inspired eats, and late-night deals, have been used to enhance the brand. However, the company has faced "challenging market conditions" and "inconsistent" sales trends.

Institutional investors hold approximately 86% ownership of Denny's Corporation as of May 2025, with major shareholders including Allspring Global Investments Holdings LLC, Vanguard Group Inc., Bank of America Corp DE, Boston Partners, BlackRock, Inc., First Eagle Investment Management LLC, State Street Corp, and Chartwell Investment Partners LLC. Insiders also own shares valued at approximately $7.9 million as of May 2025, and Ore Hill Hub Fund Ltd is a significant individual shareholder.