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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 its fourth-quarter fiscal 2022 results on Nov 22. In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 3.5%.
Q4 Expectations
The Zacks Consensus Estimate for fiscal fourth-quarter earnings is pegged at $1.35, lower than the $1.80 reported in the prior-year quarter. Over the past seven days, the company’s earnings estimates have remained stable. The consensus mark for revenues stands at $392.4 million, suggesting growth of 40.9% from the year-ago quarter.
Factors to Note
Jack in the Box’s fiscal fourth-quarter top line is likely to have benefited from regular menu innovation, increased focus on delivery channels, and marketing strategies. The company continues to benefit from average check growth. An increase in company restaurant sales, franchise rental revenues and franchise royalties is likely to have aided the top line.
We expect restaurant sales, franchise rental revenues and franchise royalties to increase 84.3%, 5.7% and 24% year over year to $176.3 million, $89.2 million and $58.3 million, respectively. Increased focus on unit expansion, off-premise business, drive-thru enhancements and aggressive brand marketing may have driven performance in the fiscal fourth quarter.
However, the rise in food and packaging costs, wage inflation, and higher utilities and maintenance and repair costs are expected to have weighed on margins in the quarter to be reported. We expect restaurant-level and franchise-level margins to be 16.1% and 38.2% compared with 20.1% and 41.4%, respectively.
What Does the Zacks Model Say?
Our proven model 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 an Earnings ESP of +0.99% and a Zacks Rank #3.
Other Stocks Poised to Beat Estimates
Here are some other stocks worth considering from the Zacks Retail-Wholesale space, as our model shows that these have the right combination of elements to beat on earnings this season:
Dollar General (DG - Free Report) currently has an Earnings ESP of +2.35% and a Zacks Rank of 2. The company is likely to register an increase in the bottom line when it reports its third-quarter fiscal 2022 results. The Zacks Consensus Estimate for the quarterly earnings per share of $2.54 suggests an increase of 22.1% from the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dollar General’s top line is expected to have risen year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $9.43 billion, which suggests a rise of 10.7% from the figure reported in the prior-year quarter. DG delivered an earnings beat of 2.2%, on average, in the trailing four quarters.
Dollar Tree (DLTR - Free Report) currently has an Earnings ESP of +6.57% and a Zacks Rank #3. The company is likely to register an increase in the bottom line when it reports its third-quarter fiscal 2022 results. The Zacks Consensus Estimate for the quarterly earnings per share of $1.16 suggests an increase of 20.8% from the year-ago quarter.
Dollar Tree’s top line is expected to have risen year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.83 billion, which suggests a rise of 6.5% from the figure reported in the prior-year quarter. DLTR delivered an earnings beat of 8.6% on average in the trailing four quarters.
Five Below (FIVE - Free Report) currently has an Earnings ESP of +10.31% and a Zacks Rank #3. The company is likely to register a bottom-line decline when it reports its third-quarter fiscal 2022 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of 14 cents suggests a decline of 67.4% from the year-ago quarter.
Five Below's top line is expected to have increased marginally year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $611.2 million, which indicates an increase of 0.6% from the figure reported in the prior-year quarter. FIVE has a trailing four-quarter earnings surprise of 11.6%, on average.
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Jack in the Box (JACK) to Post Q4 Earnings: What's in Store?
Jack in the Box Inc. (JACK - Free Report) is scheduled to report its fourth-quarter fiscal 2022 results on Nov 22. In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 3.5%.
Q4 Expectations
The Zacks Consensus Estimate for fiscal fourth-quarter earnings is pegged at $1.35, lower than the $1.80 reported in the prior-year quarter. Over the past seven days, the company’s earnings estimates have remained stable. The consensus mark for revenues stands at $392.4 million, suggesting growth of 40.9% from the year-ago quarter.
Factors to Note
Jack in the Box’s fiscal fourth-quarter top line is likely to have benefited from regular menu innovation, increased focus on delivery channels, and marketing strategies. The company continues to benefit from average check growth. An increase in company restaurant sales, franchise rental revenues and franchise royalties is likely to have aided the top line.
We expect restaurant sales, franchise rental revenues and franchise royalties to increase 84.3%, 5.7% and 24% year over year to $176.3 million, $89.2 million and $58.3 million, respectively. Increased focus on unit expansion, off-premise business, drive-thru enhancements and aggressive brand marketing may have driven performance in the fiscal fourth quarter.
However, the rise in food and packaging costs, wage inflation, and higher utilities and maintenance and repair costs are expected to have weighed on margins in the quarter to be reported. We expect restaurant-level and franchise-level margins to be 16.1% and 38.2% compared with 20.1% and 41.4%, respectively.
What Does the Zacks Model Say?
Our proven model 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 an Earnings ESP of +0.99% and a Zacks Rank #3.
Other Stocks Poised to Beat Estimates
Here are some other stocks worth considering from the Zacks Retail-Wholesale space, as our model shows that these have the right combination of elements to beat on earnings this season:
Dollar General (DG - Free Report) currently has an Earnings ESP of +2.35% and a Zacks Rank of 2. The company is likely to register an increase in the bottom line when it reports its third-quarter fiscal 2022 results. The Zacks Consensus Estimate for the quarterly earnings per share of $2.54 suggests an increase of 22.1% from the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dollar General’s top line is expected to have risen year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $9.43 billion, which suggests a rise of 10.7% from the figure reported in the prior-year quarter. DG delivered an earnings beat of 2.2%, on average, in the trailing four quarters.
Dollar Tree (DLTR - Free Report) currently has an Earnings ESP of +6.57% and a Zacks Rank #3. The company is likely to register an increase in the bottom line when it reports its third-quarter fiscal 2022 results. The Zacks Consensus Estimate for the quarterly earnings per share of $1.16 suggests an increase of 20.8% from the year-ago quarter.
Dollar Tree’s top line is expected to have risen year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.83 billion, which suggests a rise of 6.5% from the figure reported in the prior-year quarter. DLTR delivered an earnings beat of 8.6% on average in the trailing four quarters.
Five Below (FIVE - Free Report) currently has an Earnings ESP of +10.31% and a Zacks Rank #3. The company is likely to register a bottom-line decline when it reports its third-quarter fiscal 2022 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of 14 cents suggests a decline of 67.4% from the year-ago quarter.
Five Below's top line is expected to have increased marginally year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $611.2 million, which indicates an increase of 0.6% from the figure reported in the prior-year quarter. FIVE has a trailing four-quarter earnings surprise of 11.6%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar