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Jack in the Box (JACK) to Post Q4 Earnings: What's in Store?

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Jack in the Box Inc. (JACK - Free Report) is scheduled to report fourth-quarter fiscal 2020 results on Nov 18. In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 26.5%.

Q4 Estimates

The Zacks Consensus Estimate for fiscal fourth-quarter earnings is pegged at $1.14, which indicates an improvement of 20% from the prior-year quarter In the past 30 days, earnings estimates have been stable. The consensus mark for revenues stands at $249 million, which suggests growth of 12.5% from the year-ago reported figure.

Factors to Note

Jack in the Box’s fiscal fourth-quarter performance is likely to have benefited from robust comps and average check growth. The company has been gaining from menu innovation, robust delivery and marketing. Its partnership with DoorDash, Postmates, Grubhub and Uber Eats have been driving sales. Notably, focused menu inventions around premium products like Buttery Jack Burgers, sauced & Loaded Fries, munchie mash-ups and teriyaki bowls have been contributing to the comps.

The Zacks Consensus Estimate for franchise rental revenues, and franchise and royalties and other are pegged at $77 million and $42.8 million, indicating year-over-year growth of 20.3% and 9.7%, respectively.

Notably, high costs related to various sales-boosting initiatives, labor inflation and rise in delivery fees might have weighed on the to-be-reported quarter’s performance.

Jack In The Box Inc. Price and EPS Surprise Jack In The Box Inc. Price and EPS Surprise

Jack In The Box Inc. price-eps-surprise | Jack In The Box Inc. Quote

What Does the Zacks Model Say

Our proven model conclusively predicts an earnings beat for Jack in the Box this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat.   

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Jack in the Box has a Zacks Rank #3 and an Earnings ESP of +2.70%.

Peer Releases

Here are some stocks from the Restaurant industry that have reported their quarterly numbers so far.

McDonald's Corporation (MCD - Free Report) reported third-quarter 2020 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. The bottom line beat the consensus estimate after missing the same in the trailing two quarters. McDonald's carries a Zacks Rank #3.
 
Papa John’s International, Inc. (PZZA - Free Report) reported solid third-quarter fiscal 2020 results, wherein earnings and revenues not only beat the Zacks Consensus Estimate but also improved on a year-over-year basis. Papa John’s has a Zacks Rank #4 (Sell).

Red Robin Gourmet Burgers, Inc. (RRGB - Free Report) reported third-quarter fiscal 2020 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. The company has a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

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