Noodles & Company to Post Q4 Earnings: What's in Store for the Stock?

Noodles & Company NDLS is scheduled to release fourth-quarter 2024 results on March 6, 2025.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.In the last reported quarter, the company reported a negative earnings surprise of 71.4%.How are Estimates Placed for NDLS?The Zacks Consensus Estimate for fourth-quarter loss per share is pegged at 13 cents. In the prior-year quarter, NDLS reported a loss per share of 7 cents.For revenues, the consensus mark is pegged at $123.3 million. The metric indicates a slight decline of 0.8% from the year-ago quarter’s figure.Noodles & Company Price and EPS Surprise Noodles & Company price-eps-surprise | Noodles & Company QuoteLet us analyze the factors that might have impacted the company’s performance in the quarter to be reported.Factors to Note Ahead of NDLS’ Q4 ResultsNoodles & Company’s revenues are expected to have declined year over year in the fourth quarter due to industry-wide volatility caused by a weak consumer environment. The company is likely to have faced intense competition, leading to higher discounting.NDLS’ fourth-quarter top line is likely to reflect a deceleration in comparable restaurant sales owing to reduced winter and holiday traffic. The Zacks Consensus Estimates for fourth-quarter Restaurant revenues are pegged at $121 million, indicating a decline from $122 million reported in the prior-year quarter.Nonetheless, emphasis on sales-driving initiatives, including operational improvements to enhance guest experience, menu innovation and controlled discounting, is likely to have supported performance. Strategic investments in loyalty programs, digital media and third-party marketplace spending are likely to have aided the company’s performance in the fourth quarter.The consensus mark for Franchising royalties and fee revenues is pegged at $2.7 million, implying an increase from $2.5 million reported in the prior-year quarter.Meanwhile, inflationary pressures, including food, labor, energy costs and construction materials, are likely to have negatively impacted the bottom line in the to-be-reported quarter.What Our Model Says About NDLS Our proven model does not predict an earnings beat for Noodles & Company 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, but that is not the case here.Earnings ESP of NDLS: Noodles & Company has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.NDLS’ Zacks Rank: The company has a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.Stocks Poised to Beat EarningsHere are some companies in the Zacks Retail-Wholesale sector which, according to our model, have the right combination of elements to post an earnings beat.CAVA Group, Inc. CAVA has an Earnings ESP of +0.17% and a Zacks Rank of 3 at present.CAVA is expected to register a 16.7% year over year increase in earnings for the to-be-reported quarter. It company reported better-than-expected earnings in the trailing three out of four quarters and missed once, the average surprise being 62.6%.Brinker International, Inc. EAT currently has an Earnings ESP of +2.59% and a Zacks Rank of 1.EAT reported an earnings beat in the trailing three out of four quarters and missed once, the average surprise being 24.7%. Its earnings for the to-be-reported quarter are expected to grow 91.1% year over year.Yum! Brands, Inc. YUM currently has an Earnings ESP of +0.69% and a Zacks Rank of 3.YUM’s earnings for the to-be-reported quarter are expected to grow 9.6% year over year. Its earnings topped the consensus mark in two of the trailing four quarters and missed on two occasions, with negative average surprise of 0.7%.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Yum! Brands, Inc. (YUM): Free Stock Analysis Report Brinker International, Inc. (EAT): Free Stock Analysis Report Noodles & Company (NDLS): Free Stock Analysis Report CAVA Group, Inc. (CAVA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks