# IHOP parent names new CEO, effective Jan. 4, 2021

Peyton joins from Realogy Franchise Group, a subsidiary of Realogy Holdings Corp.
RLGY,
-2.82%
and a franchisor in the real-estate industry. Among the names that Realogy has franchised are Century 21 and Coldwell Banker. Peyton was president from 2016. He also worked with Starwood Hotels and Resorts Worldwide for 17 years.

Dine Brands, parent company to IHOP and Applebee’s restaurant chains, recently reported earnings that beat expectations and plans to review underperforming IHOP locations with 100 possible closures over the next six months.

See: Papa John’s CEO says the company has added more than 8 million new customers this year

The company is also facing new indoor capacity restrictions in Michigan, Washington and Oregon, among other cities and states where the coronavirus is surging.

Truist Securities says Applebee’s is the most negatively impacted in its coverage with 8.1% of U.S. locations in those three states. IHOP has 3.9% exposure.

But Wedbush analysts say restaurant chains have the benefit of experience now.

“Casual and family diners have proven they can weather even the worst-case scenario of a second nationwide shutdown through sustained off-premise sales, a reduction in costs, and liquidity positions across the board that are similar to or better than pre-COVID levels,” analysts wrote.

Wedbush rates Dine Brands outperform with a $73 price target.

In its restaurant report, Wedbush also upgraded Cheesecake Factory Inc.
CAKE,
-1.53%
to outperform from neutral with a $45 price target, up from $31.

“In more than 50% of retail centers where a Cheesecake Factory location exists, at least one competitor has shuttered,” analysts said. “While these locations will likely be filled over time, we believe that in the near- to medium-term, Cheesecake Factory’s mall-based locations have become a tailwind.”

Also: Noodles & Co. CEO says there’s an ‘opportunity for growth’ as pre-COVID trends accelerate

Analysts also think that another brand in the Cheesecake Factory portfolio, North Italia, could exceed pre-COVID expectations.

Cheesecake Factory stock is down 7.7% for the year to date.

Dine Brands shares have tumbled nearly 25% for the year to date. And the S&P 500 index
SPX,
-0.39%
has gained nearly 12% for the period.