Cracker Barrel(US:CBRL) Finbold·2025-10-13 06:32Core Viewpoint - Cracker Barrel Old Country Store is set to reward investors with a quarterly dividend of $0.25 per share despite facing significant challenges in 2025, including a controversial rebranding effort that negatively impacted its reputation and performance [1][2][4]. Dividend Information - The declared quarterly dividend of $0.25 per share remains unchanged from the previous quarter, resulting in a total of $250 for investors holding 1,000 shares, which translates to an annualized rate of $1 per share [2]. - Based on the closing price of $39.34 on October 10, the dividend yield is calculated at 2.54% [2]. - The company's payout ratio stands at 103.92%, indicating that it is distributing more in dividends than it earns, raising concerns about the sustainability of the dividend [2]. Company Challenges - Cracker Barrel is currently experiencing a turbulent period, marked by a significant controversy surrounding its rebranding efforts initiated in August 2025 [4]. - The introduction of a modernized logo, which removed the "Old Country Store" tagline and the traditional imagery, led to a backlash on social media, with critics accusing the company of abandoning its heritage [5]. - The backlash was exacerbated by public criticism from political figures, including President Donald Trump, who called for a return to the old logo [5]. - Following the negative response, Cracker Barrel quickly reinstated its original logo within a week, but the controversy had already impacted the brand's reputation and performance [6]. - Restaurant traffic declined by approximately 8% in the weeks after the rebranding, with some reports indicating year-over-year declines of up to 12% by late September [6]. - In light of these challenges, the company has lowered its full-year revenue outlook to between $3.35 billion and $3.45 billion, which is below analyst estimates [8].