Sept. 15--Sonic Corp. survived the Great Recession and is ready to outperform its peers in the restaurant business, says a respected Tulsa investment adviser.
Sonic -- with its eight hotdog varieties, nine burger types, seven white-meat chicken dishes, nine breakfasts and "398,829 fountain drink and slush combinations" -- is the nation's largest drive-in restaurant chain with 3,500 drive-ins, including nine in Tulsa, serving 3 million daily.
Based in Oklahoma City, Sonic started in 1953 as a hamburger and root beer stand in Shawnee and changed its name to Sonic in 1959.
Jake Dollarhide, CEO of Longbow Asset Management Co., said, "During the 2008-10 recession, most restaurant companies struggled, as far as the stock market was concerned. By 2012, most restaurant stocks rebounded but Sonic's didn't. However, over the last year Sonic stock prices have turned upward, and its performance and earnings improved. I think we'll see a full economic recovery. ...
"Sonic is one of these unique restaurant experiences. "
Dollarhide added the restaurant uses the "smaller-town strategy."
"They're in towns where McDonald's and the bigger players aren't -- they're America's drive-in. Sonic represents what makes America great. I think it's set, and analysts on CNBC and Money Magazine make Sonic one of the top restaurant stocks for the next year. I have to agree with them."
Address: 300 Johnny Bench Drive, Oklahoma City, OK, 73013
Chairman/CEO/President: Clifford Hudson
Symbol (Exchange): SONC (Nasdaq)
Operation: Franchises and operates nationwide drive-in restaurant chain
Phil Mulkins 918-699-8888