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Rare Hospitality International (RARE – 23-1/8) owns, operates, and franchises restaurants under the names LongHorn Steakhouse, Bugaboo Creek Steak House, and The Capital Grille. On Tuesday, the company said that it expects to report third-quarter earnings of 25 cents per share, which would exceed Street forecasts by five cents per share. This morning, RARE was rated a "strong buy" in new coverage by a brokerage firm.
In reaction to these developments, the shares are presently ahead by over three points, or greater than 15 percent. This upswing has the equity ready to finish today's session at its highest closing mark since May 18. In addition, RARE has reclaimed both its uptrending 10-day and 20-day moving averages as well as its 10-week trendline.
Despite today's new coverage, information from Multex shows that there are only eight analysts now with ratings on the security. Any additional new positive coverage could give this outperformer a boost over the short term.