We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Red Robin (RRGB) Reports Q4 Business Update, Comps Rise
Read MoreHide Full Article
Red Robin Gourmet Burgers, Inc. (RRGB - Free Report) reported preliminary comparable restaurant sales for the fiscal fourth quarter ended Dec 25, 2022. Following the announcement, the company’s moved up 14.6% during trading hours on Jan 9.
Preliminary Revenue Results
Comparable restaurant revenues during the fiscal fourth quarter rose 2.5% year over year. This marked the eighth consecutive quarter of positive comparable restaurant revenue growth. During the quarter, the company stated that restaurants serving Donatos pizza outperformed non-Donatos locations by 6.2% in comparable restaurant revenues compared with 2019 levels.
The company’s total revenue is anticipated at approximately $290.2 million in the fiscal fourth quarter, suggesting a rise of 2.4% on a year-over-year basis.
Other Updates
Looking ahead, the company has outlined its “North Star” five-point plan to build sales and increase profitability. The plan includes emphasis on an operations-focused restaurant company, elevating the guest experience, removing costs and complexity, optimizing guest engagement, and driving growth in comparable restaurant revenue and unit-level profitability.
G.J. Hart, Red Robin’s President and chief executive officer stated, “The North Star initiatives will guide our efforts over the next 3 years, and we believe present an opportunity to more than double Adjusted EBITDA margin.”
Red Robin also announced that it is evaluating a sale-leaseback transaction related to its 35 owned properties. The company has collaborated with CBRE Group to initiate the process. Red Robin expects the evaluation process to be complete in the first quarter of 2023. It anticipates the proceeds to be used for repaying debt, funding capital investments and repurchasing shares of company stock. However, it is subject to the company's credit agreement and the board of directors’ approval.
Image Source: Zacks Investment Research
In the past six months, shares of Red Robin have declined 4.7% against the industry’s 14.4% growth.
Tecnoglass sports a Zacks Rank #1 (Strong Buy). TGLS has a trailing four-quarter earnings surprise of 26.9%, on average. Shares of the company have gained 35.2% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for TGLS’ 2023 sales and earnings per share (EPS) suggests growth of 11.2% and 9%, respectively, from the year-ago period’s reported levels.
Wingstop currently carries a Zacks Rank #2 (Buy). WING has a long-term earnings growth rate of 12%. Shares of WING have lost 11.9% in the past year.
The Zacks Consensus Estimate for Wingstop’s 2023 sales and EPS suggests growth of 18.4% and 16.3%, respectively, from the year-ago period’s reported levels.
Domino's currently carries a Zacks Rank #2. DPZ has a long-term earnings growth rate of 12.6%. Shares of DPZ have declined 31.4% in the past year.
The Zacks Consensus Estimate for Domino's 2023 sales and EPS suggests growth of 3.8% and 17.2%, respectively, from the year-ago period’s reported levels.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Red Robin (RRGB) Reports Q4 Business Update, Comps Rise
Red Robin Gourmet Burgers, Inc. (RRGB - Free Report) reported preliminary comparable restaurant sales for the fiscal fourth quarter ended Dec 25, 2022. Following the announcement, the company’s moved up 14.6% during trading hours on Jan 9.
Preliminary Revenue Results
Comparable restaurant revenues during the fiscal fourth quarter rose 2.5% year over year. This marked the eighth consecutive quarter of positive comparable restaurant revenue growth. During the quarter, the company stated that restaurants serving Donatos pizza outperformed non-Donatos locations by 6.2% in comparable restaurant revenues compared with 2019 levels.
The company’s total revenue is anticipated at approximately $290.2 million in the fiscal fourth quarter, suggesting a rise of 2.4% on a year-over-year basis.
Other Updates
Looking ahead, the company has outlined its “North Star” five-point plan to build sales and increase profitability. The plan includes emphasis on an operations-focused restaurant company, elevating the guest experience, removing costs and complexity, optimizing guest engagement, and driving growth in comparable restaurant revenue and unit-level profitability.
G.J. Hart, Red Robin’s President and chief executive officer stated, “The North Star initiatives will guide our efforts over the next 3 years, and we believe present an opportunity to more than double Adjusted EBITDA margin.”
Red Robin also announced that it is evaluating a sale-leaseback transaction related to its 35 owned properties. The company has collaborated with CBRE Group to initiate the process. Red Robin expects the evaluation process to be complete in the first quarter of 2023. It anticipates the proceeds to be used for repaying debt, funding capital investments and repurchasing shares of company stock. However, it is subject to the company's credit agreement and the board of directors’ approval.
Image Source: Zacks Investment Research
In the past six months, shares of Red Robin have declined 4.7% against the industry’s 14.4% growth.
Zacks Rank & Key Picks
Red Robin currently has a Zacks Rank #4 (Sell).
Some better-ranked stocks in the Zacks Retail-Wholesale sector are Tecnoglass Inc. (TGLS - Free Report) , Wingstop Inc. (WING - Free Report) and Domino's Pizza, Inc. (DPZ - Free Report) .
Tecnoglass sports a Zacks Rank #1 (Strong Buy). TGLS has a trailing four-quarter earnings surprise of 26.9%, on average. Shares of the company have gained 35.2% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for TGLS’ 2023 sales and earnings per share (EPS) suggests growth of 11.2% and 9%, respectively, from the year-ago period’s reported levels.
Wingstop currently carries a Zacks Rank #2 (Buy). WING has a long-term earnings growth rate of 12%. Shares of WING have lost 11.9% in the past year.
The Zacks Consensus Estimate for Wingstop’s 2023 sales and EPS suggests growth of 18.4% and 16.3%, respectively, from the year-ago period’s reported levels.
Domino's currently carries a Zacks Rank #2. DPZ has a long-term earnings growth rate of 12.6%. Shares of DPZ have declined 31.4% in the past year.
The Zacks Consensus Estimate for Domino's 2023 sales and EPS suggests growth of 3.8% and 17.2%, respectively, from the year-ago period’s reported levels.