Wall Street Zen upgrades Driven Brands stock to Buy

Published on 10/28/2026 at 06:05 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Q2 revenue reached USD 507.4 million in 2026. Driven Brands stock faces November 3 results and a USD 16.23 target from 17 analysts.

Analyst action and earnings date

Wall Street Zen upgraded Driven Brands from Hold to Buy on October 24, 2026.
Second-quarter revenue rose 6.8 percent to USD 507.4 million in 2026.
Driven Brands is scheduled to report third-quarter results on November 3, 2026.

DRVN, US26210V1026, Illustration mit AI erstellt.

Driven Brands (ISIN US26210V1026) was upgraded from Hold to Buy by Wall Street Zen on October 24, 2026, as MarketBeat reported. The company is approaching its November 3 results date after second-quarter revenue increased 6.8 percent year over year to USD 507.4 million.

Q2 growth meets a cautious outlook

Driven Brands reported USD 507.4 million of revenue, USD 107 million of adjusted EBITDA and USD 1.6 billion of system-wide sales for the second quarter of 2026, according to Driven Brands. Same-store sales increased 1.4 percent, while the company added 42 net new units during the quarter.

The earnings-call transcript showed adjusted EBITDA margin at 21.1 percent in the second quarter, with the result affected by USD 11.8 million of non-recurring restatement costs. Benzinga reported that management reiterated full-year 2026 revenue guidance of USD 1.95 billion to USD 2.05 billion and adjusted EBITDA guidance of USD 430 million to USD 460 million, while expecting performance near the lower end.

What does the outlook mean for margins?

The second-quarter figures show the central tradeoff: revenue growth remained positive, but restatement costs reduced adjusted EBITDA by USD 7.9 million year over year to USD 107 million. The company also ended the quarter at 3.1 times net leverage and is targeting 3.0 times by the end of 2026, giving debt reduction a measurable role in the next results update.

Three dated steps toward results

On September 22, 2026, Barclays began coverage with an Equal Weight rating and a USD 14.00 target, as MarketBeat reported. On October 6, 2026, Driven Brands reported second-quarter revenue of USD 507.4 million and adjusted EBITDA of USD 107 million through its earnings call. On October 24, 2026, Wall Street Zen upgraded the stock from Hold to Buy, while the broader consensus remained Hold with a USD 16.23 average target from 17 analysts.

Next date for investors

MarketBeat lists November 3, 2026, as the next reporting date, with the call scheduled for 8:30 a.m. ET. The same source gives a consensus estimate of USD 516.18 million in revenue for the third quarter.

Valuation ahead of the update

Driven Brands had a market capitalization of USD 1.9 billion and a 52-week range of USD 9.80 to USD 17.30 on October 27, 2026. The valuation leaves the November report to address both operating growth and the pace of balance-sheet improvement.

Operating priorities remain measurable

The company is using Take 5 growth and cash generation from its mature franchise brands as the main operating framework. In the second quarter, Take 5 same-store sales increased 3.6 percent and Franchise Brands delivered a 59 percent adjusted EBITDA margin, while Auto Glass Now posted 2.6 percent same-store sales growth.