Brinker International Inc

EAT remains in a Stage 2 advancing regime with a clear higher-highs/higher-lows structure and rising EMAs. Price is extended above the 9- and 21-EMA envelope and RSI is in extreme overbought territory without a Lockout Rally override. We recommend deferring new entries and waiting for a pullback into the EMA support zone to improve execution risk/reward.

• ↑Chili’s Q3 comps jumped 31.6%, 1,890bps above industry averages
• ↑Generated $223.7M free cash flow and repurchased $108M in stock
• ↓Management expects mid-single-digit commodity inflation, squeezing profits