Coffee and doughnut maker,
Dunkin' Brands Group Inc.
), has been actively expanding its domestic portfolio and intends
to double it in the next 20 years. In the past few years, the
restaurateur has signed several single and multi-unit development
agreements with franchisee in order to seize growth opportunities
and cater to consumer needs in individual markets.
In a bid to expand its footprint in the state of Tennessee,
Dunkin' Donuts, part of Dunkin' Brands, recently formed a
multi-unit deal with a new franchisee - JP Foods, LLC to open 12
restaurants in Memphis over the next seven years. The franchisee
group has a proven track record as a franchisee and its superior
knowledge of the local market helped it to clinch the deal.
While the company's first restaurant is expected to hit the
market in 2015, the rest will come up by 2020.
We believe, the emerging dining industry and growing
population of the state caught the attention of Dunkin' Brands.
The company is also hiring new franchise partners to open Dunkin'
Donuts units in other parts of Tennesseesuch as Nashville and
National Restaurant Association's report on the state's
potential to generate restaurant sales worth $9.9 billion in
Dunkin' Brands, the market leader in the various coffee,
donut, bagel and muffin categories, boasts an attractive growth
story, driven by its expansion plan, marketing innovation and
Dunkin' Brands currently carries a Zacks Rank #3 (Hold). Some
other players in the restaurant industry which look attractive at
Cracker Barrel Old Country Store, Inc.
Bob Evans Farms, Inc.
). All these companies hold a Zacks Rank #2 (Buy).
BOB EVANS FARMS (BOBE): Free Stock Analysis
CRACKER BARREL (CBRL): Free Stock Analysis
DINEEQUITY INC (DIN): Free Stock Analysis
DUNKIN BRANDS (DNKN): Free Stock Analysis
To read this article on Zacks.com click here.