A Steak-House Stock with Sizzle

S&P likes Rare Hospitality's growth potential and valuation, and rates the shares a strong buy

We expect Rare Hospitality International (RARE: $27) to continue to expand its two restaurant concepts, LongHorn Steakhouse and Capital Grille, as part of an expansion strategy designed to nearly double its number of restaurants over the next five to seven years. We think this will drive strong earnings growth as well.

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