Sonic one of today’s top gainers

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Checking out the major gainers is always interesting, and today is no different. Some of the companies on today’s gainer list are ones that have interesting business models.

Sonic Corp. (NASDAQ:SONC - News) traded higher after saying its board approved a modified Dutch auction tender offer to purchase as many as 25.5 million shares for a maximum of $560 million, or $19.50 to $22 a share.

There’s nothing new and exciting about Sonic’s business plan, but they have been doing a good job of execution during their expansion. The company currently operates over 3,000 restaurants.

The dutch auction buyback is a pretty good sign of confidence in the company by top management. Company shares were up 11% on the news.

One thing about fast food: it tends to do very well even when the economy is flat. Like all restaurant companies, Sonic faces a ton of competition but the market is huge. People eat nearly all of their meals away from their homes, so there’s a huge diners available for everyone.

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