Bojangles Stock Falls 5% After Analysts Unleash Neutral Ratings

Shares of Bojangles fell nearly 5% on Tuesday after a post-IPO quiet period lifted and analysts served up mediocre views on the restaurant chain. Bank of America Merrill Lynch and Goldman Sachs both initiated coverage at neutral. Bank of America set a $30 price target, while Goldman set the bar lower at $23. Barclays initiated coverage at equal weight and set a $27 target, while PiperJaffray set a neutral rating and $27 target. The analysts were mostly positive on the restaurant chain despite their middle-of-the-road ratings. Bank of America analyst Joseph Buckley said his rating reflected a positive view on Bojangles' outlook, tempered by the stock's high valuation. Jefferies was even more positive, initiating coverage at buy on a $32 target. Shares of Bojangles are up 40% from their IPO price of $19 a share. However, they've fallen 2.8% since their first day of trade on May 8 and traded down 4.5% to $26.83 recently.