In order to boost their business, several U.S.-based restaurateurs are focusing on unit expansion. Casual dining and entertainment provider, CEC Entertainment Inc. (CEC), is also on an expansion spree for quite some time. With the resurgence of consumer confidence, management has accelerated its unit openings and unveiled 13 units in the U.S. in 2013 and has plans to open more worldwide in 2014.
Recently, the company unveiled four new restaurants across the country under its Chuck E. Cheese’s brand. Two of these restaurants are located in Florida, one in Texas and one in New York. In Florida, the company has opened one outlet in Port Orange and the other one in West Palm Beach, thus bringing the total number of outlets in the state to 29. The third restaurant is located in Bronx, N.Y., which takes the tally of CEC restaurants in the state to 23. El Paso, Texas is the location for the last opening and is the third CEC restaurant in the state.
Apart from providing a variety of dining options which include pizza, sandwiches, salads, and desserts, the company aims at entertaining its guests. Each restaurant thus offers games and entertainment shows. In Sep 2013, the company entered into a partnership with Reel FX and Relativity, a movie studio that develops and produces animated films to provide exclusive “Free Birds” merchandise at its outlets.
There are various other restaurateurs that are frequently opening new restaurants in the domestic market. One of them Red Robin Gourmet Burgers Inc. (RRGB) recently declared that it is set to open a restaurant in Rochester, NY. Located in the Greece Ridge Center Drive, this will be the second Red Robin restaurant in Rochester.
CEC Entertainment presently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the industry include Fiesta Restaurant Group, Inc. (FRGI) and The Cheesecake Factory Incorporated (CAKE). While Fiesta Restaurant Group carries a Zacks Rank #1 (Strong Buy), The Cheesecake Factory holds a Zacks Rank #2 (Buy).
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