Core Insights - Jack in the Box is introducing new protein-packed menu items to cater to health-conscious consumers starting the New Year [1] - The new offerings include the popular Teriyaki Bowl and a new Fajita Bowl, both designed to provide substantial protein content [1] - Jack's Protein Bowls contain up to 35 grams of protein, appealing to customers looking for nutritious meal options without compromising on flavor [1] Product Highlights - The Protein Bowls are a key focus for Jack in the Box, emphasizing the brand's commitment to providing healthy and flavorful choices [1] - The introduction of the Fajita Bowl marks a new addition to the existing lineup, showcasing the company's innovation in menu development [1] - The emphasis on protein-rich meals aligns with current consumer trends towards healthier eating habits [1]

Core Viewpoint - Jack in the Box Inc. has experienced a significant decline of over 85% since August 2023, indicating structural weaknesses rather than temporary market fluctuations [1]. Group 1: Cakra Formation Analysis - The stock was expected to form a Cakra structure between Phases 4 and 8, which typically leads to a bullish breakout in Phase 9 [2]. - However, Jack in the Box's Cakra formation failed prematurely, breaking below the lower arc during Phase 6, leading to intensified selling pressure [3][5]. - The breakdown signifies a prolonged bearish trend, with the stock continuing to decline aggressively in subsequent phases [5]. Group 2: Current Stock Status - Currently, Jack in the Box is in Phase 9, but due to the failed Cakra, it has not triggered a bullish Himalayan Formation and remains in a broader bearish structure [6]. - The Guna Triads, which are crucial for determining stabilization or reversal, are still several phases away, suggesting continued weakness and false recovery attempts [7]. Group 3: Investor Outlook - The confirmed Cakra breakdown and ongoing Move of Pralaya indicate that Jack in the Box does not present a favorable setup for bullish positioning, with unresolved structural damage [8]. - Short-term rallies are unlikely to be sustainable, and investors should avoid building long exposure until clearer evidence of stabilization or reversal emerges [8]. Group 4: Fundamental Issues - A Cakra breakdown often indicates deeper fundamental issues, prompting investors to question the underlying problems within Jack in the Box beyond just price action [9].

Core Viewpoint - Jack in the Box is implementing a closure plan for underperforming restaurants to reduce costs and enhance revenue, aiming to close between 150 and 200 locations by 2026, with 80 to 120 closures targeted by the end of this year [1][4]. Group 1: Financial Performance - The company reported a net loss of $80.7 million for the fiscal year ending in September [3]. - Sales fell by 7.4% in the fourth quarter of fiscal 2025, marking a year-over-year decline compared to the same quarter in 2024, and this represents the second consecutive quarter with a drop exceeding 7% [3][6]. - The total number of restaurant closures reached 72, which is still below the company's year-end target with only a week remaining [2]. Group 2: Strategic Actions - The company is focusing on three main areas: improving the balance sheet to enhance cash flow and reduce debt, closing underperforming restaurants to enable consistent net unit growth, and simplifying the business model to maximize shareholder returns [6]. - Jack in the Box has completed the sale of Del Taco to Yadav Enterprises for approximately $119 million as part of its turnaround strategy [6]. Group 3: Operational Overview - Jack in the Box operates around 2,200 restaurants across the U.S., primarily located in California, Texas, and Arizona [7].

Core Viewpoint - Jack in the Box is planning to close dozens of underperforming restaurants to cut costs and improve revenue, with a target of shutting down 150-200 locations by 2026, including 80-120 by the end of this year [1][4]. Group 1: Restaurant Closures - The company has already closed 12 locations in May, followed by 13 closures in August, and an additional 47 closures reported in November, bringing the total to 72 closures [1][4]. - The closures are part of a block closure program aimed at enhancing financial performance due to declining customer traffic and rising beef prices [4]. Group 2: Financial Performance - Jack in the Box reported a net loss of $80.7 million for the fiscal year ending in September, with a 7.4% decline in sales during the fourth quarter of fiscal 2025 compared to the same quarter in 2024 [5]. - This marks the second consecutive quarter with a sales dip exceeding 7% [5]. Group 3: Strategic Focus - The CEO emphasized a simplified and asset-light business model to maximize shareholder returns, focusing on three main areas: improving the balance sheet, closing underperforming restaurants, and maintaining growth-oriented capital investments [7][8]. - The company aims for consistent net unit growth and competitive unit economics through these strategic actions [8]. Group 4: Recent Developments - Jack in the Box has completed the sale of Del Taco to Yadav Enterprises for approximately $119 million as part of its turnaround strategy [10]. - The company operates around 2,200 restaurants in the U.S., primarily located in California, Texas, and Arizona [10].

Core Viewpoint - Jack in the Box Inc. has completed the sale of Del Taco Holdings Inc. to Yadav Enterprises Inc. for approximately $119 million, marking a significant step in the company's strategy to simplify its business model and strengthen its balance sheet [1][2]. Financial Details - The sale was finalized for about $119 million, with Jack in the Box receiving approximately $109 million in cash and a $10 million promissory note accruing interest at an 8% annual rate, guaranteed by Anil Yadav, the CEO of Yadav Enterprises [2]. Strategic Implications - The CEO of Jack in the Box emphasized that the sale of Del Taco is a meaningful advancement in simplifying the business model and reducing debt, while also committing to enhancing the Jack in the Box brand and operational performance for sustainable growth [3]. Company Background - Jack in the Box Inc., headquartered in San Diego, operates approximately 2,135 restaurants across 21 states, making it one of the largest hamburger chains in the U.S. [4]. Yadav Enterprises Overview - Yadav Enterprises operates over 310 franchise restaurants, including brands like Jack in the Box and Del Taco, which is the second largest Mexican-American QSR chain in the U.S. with around 575 locations [5].

Core Insights - The company Angel (NYSE: ANGX) has achieved significant success with its animated musical "DAVID," grossing $22 million in its opening weekend, marking the best theatrical opening in the company's history and the highest-grossing faith-based animated theatrical opening of all time [1][7] - "DAVID" is part of a broader strategy that includes the acquisition of the DAVID franchise and intellectual property, which is seen as a long-term strategic asset for the company [3] Group 1: Financial Performance - "DAVID" has become the highest-grossing faith-based animated theatrical opening, surpassing Angel's own "The King of Kings," which previously held the record with $19.4 million [7] - The film's opening weekend gross of $22 million also surpasses the previous best opening for Angel, which was $19.6 million from "Sound of Freedom" [7] Group 2: Audience Reception - "DAVID" has received an A CinemaScore and a 98% audience score on Rotten Tomatoes, indicating strong positive reception from viewers [2] - The film is expected to have a robust theatrical run, appealing to families seeking values-driven content during the holiday season [3] Group 3: Future Releases - Angel's upcoming slate includes diverse films such as "I Was A Stranger," "Solo Mio," and "Young Washington," showcasing a range of genres and stories [5] - The company has released over 40 films and 20 television series, emphasizing its commitment to values-driven storytelling [6]

Core Insights - Box (BOX) shares have declined by 13.8% over the past six months, underperforming the Zacks Internet Software industry's decline of 3.9% and the broader Zacks Computer and Technology sector's return of 22.3% due to a challenging macroeconomic environment and rising expenses related to cloud infrastructure, sales and marketing, and administration [1][9] Financial Performance - In the trailing nine months ended October 31, Box's gross margin remained flat at 81.2% compared to the previous year, while operating expenses rose by 9.7% year over year to $635.6 million, driven by a 11.2% increase in research and development expenses, a 7.4% increase in sales and marketing expenses, and a 13% increase in general and administrative expenses [2] - The operating margin contracted by 50 basis points year over year during the same period [2] Future Guidance - Box anticipates a gross margin of 81% for fiscal 2026, indicating a contraction of 20 basis points from fiscal 2025, while the operating margin is expected to remain stable at 28% [3] - For the fourth quarter, Box expects revenues of $304 million, reflecting a year-over-year growth of 9% or 8% on a constant-currency basis, with billings growth projected in the low-digit range [8][10] Product and Market Developments - Box is expected to benefit from strong customer demand for Box AI and the growing adoption of its Enterprise Advanced suite, with new use cases involving AI agents enhancing its prospects [4] - The launch of Box Extract, an AI-powered data extraction solution, and Box Automate, a workflow automation solution, are expected to improve enterprise efficiency [5] - Partnerships with companies like OpenAI, AWS, Google, Anthropic, and IBM are enhancing Box's AI ecosystem and driving double-digit revenue growth in the third quarter of fiscal 2026 [6] Customer Metrics - Box has over 2,000 customers paying at least $100K annually, a 7% increase year over year, with a net retention rate of 104% in the third quarter of fiscal 2026, exceeding management's expectations [7] - Billings grew by 12% year over year in the third quarter, and the remaining performance obligation (RPO) increased by 18% year over year to $1.5 billion, with expectations to recognize 55% of RPO over the next 12 months [7]

Core Message - Jack in the Box is celebrating its 75th anniversary with a year-long campaign featuring nostalgic menu items, exclusive collectibles, and special deals to thank its loyal customers [1][2][3] Group 1: Anniversary Celebration - The celebration includes the return of fan-favorite menu items, limited edition collectibles, and various promotions throughout the year [2][3] - The Chicken Supreme, a popular item first introduced in 1980 and retired in 2004, is making a comeback as part of the anniversary festivities [4] - The company is launching a special offer of 2 tacos for $0.75 on January 6, available exclusively through the Jack app for one day [5] Group 2: Collectibles and Promotions - Alongside the Chicken Supreme, Jack in the Box is introducing limited-edition collectible bag charms called Jibbis, which are included in the Chicken Supreme Munchie Meal [4] - The company plans to engage customers with 75 Days of Trivia throughout the year, offering in-app trivia questions related to key dates and fan-favorite moments [5][6] - Additional nostalgic menu items, exclusive merchandise, and surprises are expected throughout 2026 as part of the ongoing celebration [6] Group 3: Company Overview - Jack in the Box Inc. operates approximately 2,135 restaurants across 21 states and is one of the largest hamburger chains in the U.S. [8] - The company also operates Del Taco, the second largest Mexican-American QSR chain in the U.S. with around 575 restaurants across 18 states [8]

AI & Agent Adoption in Enterprises - Box initially focused on cash flow positivity but now prioritizes delivering functional AI agents, believing margins are currently less important [1][74] - The company is adopting an "AI-first" strategy, aiming to resemble a new startup in its approach to AI implementation [8] - Box is excited about the potential of AI agents to tap into unstructured data, which constitutes approximately 90% of corporate information, including contracts, marketing assets, and research files [14][15] - The company envisions a future where agents can answer customer questions and automate workflows related to unstructured data [15][16] Agent Differentiation & User Experience - Differentiating agents involves two main categories: seamless integration where users are unaware of the agent's presence and scenarios where users directly interact with agents to delegate tasks [19][20] - A key challenge is designing a delightful and transparent user experience for human-agent interaction, balancing transparency with simplicity [22][23][24] - The company emphasizes the importance of data advantage, noting that a large percentage (potentially over 95%) of enterprise data is underutilized [30] - The company believes applied solutions are crucial because understanding the nuances of each use case is essential for user comprehension and effective implementation [39] Business Model & Enterprise Transformation - The company is moving towards a business model that incorporates both user seats and consumption-based pricing for agents, utilizing "AI units" to normalize different use cases [129] - The company anticipates a shift towards selling outcomes to customers, requiring a deeper understanding of their businesses and potentially leading to new service level agreements (SLAs) focused on accuracy [130][131][132] - The company expects the transformation of enterprises with AI to be a gradual process, allowing for retraining and repurposing of the workforce [85][86] - The company predicts a significant increase in the use of tokens (AI processing units) for tasks not currently performed, indicating new opportunities and workflows [87][88]

Following my coverage on Box, Inc. ( BOX ) in May ’25, in which I recommended a buy rating as the leading growth metrics remained very strong (billings and RPO) and the AI strategy was working, this post isI take a fundamentals-based approach to value investing.I disagree with the common misconception held by many investors that low multiple stocks must be cheap. I look for companies that offer the best long-term durability at the most affordable prices. Consequently, I have a propensity to be drawn to comp ...