Jack In The Box Inc

Unit growth isn’t the only factor that drives revenue. A restaurant can keep adding more restaurants. Eventually, it can capture newer markets. This is what Chipotle is doing.

Valuation multiple Investors should look at valuation multiples when deciding whether to enter or exit a stock. Valuation multiples are driven by perceived growth, risk and uncertainties, and investors’ willingness to pay for a stock. There are various multiples to evaluate a stock. In this article, we’ll use the PE (price-to-earnings) ratio due to its […]

As of April 26, 2017, McDonald’s was trading at PE multiple of 21.9x, as compared to 21.3x before the announcement of its 1Q17 earnings.

Wall Street analysts are expecting McDonald’s (MCD) to post EBIT of $2.1 billion in 3Q16. This represents an EBIT margin of 33.2% compared to 30.7% in 3Q15.

So far in this series, we’ve discussed McDonald’s (MCD) estimated revenue, sources of revenue, and estimated EBIT (earnings before interest and tax) margins.

Jack in the Box (JACK) and Restaurant Brands International (QSR) are analysts’ favorites among the companies we’ve reviewed in this series.

McDonald’s (MCD) is scheduled to announce its 3Q16 results on October 21, 2016. As of October 13, 2016, it was trading at $115.40, a fall of 9.4% from July 25.

In the second quarter, Restaurant Brands International (QSR) saw revenue of $1.34 billion, falling short of analysts’ estimate of $1.38 billion due to lower-than-expected SSSG (same-store sales growth) at Tim Hortons and Burger King.

In the last four quarters, McDonald’s has beaten analysts’ estimates. In 3Q16, analysts are expecting the company to post EPS of $1.48, a year-over-year rise of 6.1%.

In the next four quarters, analysts expect Restaurant Brands International’s (QSR) revenue to rise 10.1% YoY (year-over-year) to $5.55 billion from $5.04 billion.

The Mizuho downgrade appears to have led a fall in Wendy’s (WEN) stock price.

Shake Shack (SHAK) is scheduled to announce its 4Q17 earnings after the market closes on February 15, 2018.

JACK reported fiscal 2Q16 revenue of $361.2 million and adjusted EPS of $0.90. Compared to 2Q15, the company’s revenue rose by 0.8%, and its EPS grew 25.5%.

As of January 22, MCD was trading at $176.21. Analysts expect the company’s stock price to reach $186.07 in the next 12 months.

Due to high visibility in McDonald’s (MCD) valuation multiple, we have opted for the forward PE (price-to-earnings) multiple.

A New York–based fine casual restaurant chain, Shake Shack (SHAK) announced its 4Q15 results on March 7, 2016. SHAK reported an overall revenue of $51.1 million and earnings per share of $0.08.

For the next four quarters, analysts are expecting Shake Shack (SHAK) to post revenues of $427.9 million, which would be a 27.4% YoY (year-over-year) rise.

With 100% of its restaurants franchised, Restaurant Brands International (QSR) enjoys higher margins than its peers.

Panera Bread (PNRA) noted that the increase in same-store sales growth was primarily due to the implementation of Panera 2.0. Panera 2.0 utilizes digital technology to enhance customer experience and increase the company’s operational efficiency.

Analysts expect McDonald’s (MCD) to post EPS of $1.93 in the second quarter, a rise of 11.6% year-over-year.

In 2Q17, analysts are expecting Wendy’s (WEN) to post EBIT (earnings before interest and tax) of $78.1 million.

The Jack in the Box brand recorded a systemwide same-store sales growth of 1.4%. The franchise-operated restaurants posted 1.8% while the company-operated restaurants posted 0.5%.

Same-store sales at Jack in the Box’s company-operated restaurants are expected to grow 4%–6% in 3Q15 and 4.5%–5.5% for the year. Qdoba’s sales are expected to increase 6%–8%.

Shake Shack recorded revenues of $51.1 million, with $49.3 million coming from company-owned restaurants sales and $1.7 million from licensed restaurants.

In 2Q16, Wendy’s posted EBIT of $71.7 million—an EBIT margin of 18.7% compared to 13.3% in 2Q15. Analysts expected the EBIT margin to be 16.7%.

As of November 22, 52.9% of the 17 analysts who follow Jack in the Box (JACK) recommend a “buy,” 41.2% recommend a “hold,” and 5.9% recommend a “sell.”

On September 28, Chipotle’s management announced that it was able to resume serving carnitas in 90% of Chipotle’s restaurants.

McDonald’s (MCD) competition includes large international and national food chains as well as regional and local retailers of food products.

On February 9, 2017, Wendy’s (WEN) stock was trading at $14.22.

As of October 25, 2014, McDonald’s (MCD) year-to-date (or YTD) return was -2.8%—compared to returns of 8.3% on the S&P 500 Index and 19.3% on the casual restaurant segment.

With the expectation of a decline in Wendy’s same-store sales growth, investors are skeptical about the company’s future earnings.

The Korean market, which represents 45% of Dunkin’s International segment’s sales, dragged down the same-store sales. The company also closed stores in Korea and the Philippines during the quarter.

San Diego-based restaurant chain Jack in the Box (JACK) is set to announce its 2Q16 results on May 11, 2016, after the market closes.

Revenue expectations In the next four quarters, analysts expect Wendy’s (WEN) to post revenue of $1.22 billion, which represents 3.1% growth from the $1.26 billion seen in the last four quarters. Revenue growth Wendy’s revenue growth is expected to be driven by positive SSSG (same-store sales growth) and the addition of new restaurants. The SSSG is expected […]

In the last five quarters, Jack in the Box has beaten analysts’ estimates four times.

Jack in the Box (JACK), which also operates Qdoba Mexican Eats, is set to announce its fiscal 1Q17 results on February 22, 2017, after the market closes.

For 2Q17, analysts are expecting Shake Shack (SHAK) to post earnings per share of $0.16, which would be a growth of 14.3% over its EPS of $0.14 in 2Q16.

For 2Q17, Wendy’s (WEN) reported adjusted earnings per share of $0.15 on revenues of $320.3 million—50.0% higher YoY—but its revenue fell 16.3%.

In 1Q16, Wendy’s Company (WEN) posted EBIT (earnings before interest and tax) of $63.8 million, which represented an EBIT margin of 16.9%.

For the next four quarters, analysts expect Shake Shack (SHAK) to post an EPS of $0.52—a fall of 16.1% from $0.62 last year.

In 2Q17, analysts are expecting Wendy’s (WEN) to post EPS (earnings per share) of $0.13, which represents an increase of 30% from $0.10 in 2Q16.

With EPS growth of 45.1%, Jack in the Box (JACK) outperformsed other fast food restaurants in this metric.

The company has set 1Q16 guidance for Jack in the Box company-owned restaurants to be in the range of 1% to 3%.

Dave & Buster’s Entertainment (PLAY) is expected to report its fiscal second quarter of 2018 results on September 14.

Jack in the Box (JACK) will announce its fiscal 4Q16 earnings after the market closes on November 21, 2016.

On January 19, 2018, Goldman Sachs upgraded Jack in the Box (JACK) from “neutral” to “buy.”

At the end of the second quarter, Fiesta Restaurant Group’s net income increased 87.4% to $9.3 million, compared to net income of $5 million in 2Q13.

Most of Papa John’s revenue comes from domestic company-owned restaurants, domestic commissaries, North American franchising, and international operations.

Optimism about reopening the economy, fiscal stimulus packages, and progress in COVID-19 treatment led to a rise in McDonald’s stock price.

For the second quarter, analysts expect Jack in the Box to report revenue of $211.1 million—a fall of 2.1% from the second quarter of 2019.

As of April 30, Shake Shack was trading at $54.51. Despite the recent surge, the company is still trading 48.5% lower than its 52-week high of $105.84.

On Wednesday, Jack in the Box (NASDAQ:JACK) provided an update for its preliminary performance in the second quarter of fiscal 2020, which ended on April 12.

Along with the global sell-off, the weak fourth-quarter sales and lower-than-expected 2020 guidance led to a fall in Shake Shack’s stock price.

Shake Shack will report its fourth-quarter earnings on February 24. For the quarter, analysts expect the company’s revenue to rise in the double-digits.

Baskin-Robbins U.S. same-store sales grew 5.8% from 3.2% year-over-year. This was primarily driven by the company’s Plus Up promotion and by online cake sales. According to the company, the promotion in particular drove franchise profitability in 3Q14.

Dunkin’ Brands reported $13.3 million in occupancy costs compared to $13.4 million in the corresponding quarter a year ago. This includes rental expenses related to the restaurant location, which do not fluctuate because the locations are leased for the long term at a fixed price.

In August, the Restaurant Performance Index stood at 101.9, an increase of 1% from July, which was its first gain in three months.

Fiesta Restaurant Group Inc. (FRGI) owns, operates, and franchises two fast-casual restaurant brands, Pollo Tropical and Taco Cabana.

As of June 2014, Fiesta Restaurant Group owned 112 Pollo Tropical restaurants and 166 Taco Cabana restaurants.

For 2Q14, Fiesta’s total revenues recorded an increase of 9.4% to $154.2 million from $140.9 million in the corresponding quarter last year.

For the 19th consecutive quarter, Pollo Tropical has delivered positive comparable restaurant sales growth.

Fiesta’s partnership with food distributor PFG will allow the growing brands to share a national distribution system and freight consolidation.

More Americans are eating out, and they’re eating out more often. The restaurant industry’s share of the food dollar is 51%, up from 25% in 1955.

For 2019, analysts expect Wendy’s (WEN) to report revenues of $1.70 billion—a rise of 7.0% from $1.59 billion in 2018.

As of June 26, Wendy’s was trading at a forward PE ratio of 28.2x compared to 27.7x before the announcement of its first-quarter earnings.

Analysts expect Jack in the Box (JACK) to post adjusted EPS of $0.93, which represents a rise of 16.3% from $0.80 in the corresponding quarter of fiscal 2018.

In the second quarter, analysts expect Jack in the Box (JACK) to post revenue of $217.7 million.

Jack in the Box (JACK) is scheduled to report its earnings results for the second quarter of fiscal 2019 after the market closes on May 15.

Analysts expect McDonald’s (MCD) to report revenues of $20.95 billion in 2019—a fall of 0.4% from $21.03 billion in 2018.

McDonald’s (MCD) posted its first-quarter earnings on April 30. The company posted an adjusted EPS of $1.78 on revenues of $4.96 billion.

For the first quarter of 2019, analysts are expecting Shake Shack (SHAK) to post adjusted EPS of $0.13, which represents a fall of 13.3% from $0.15 in the corresponding quarter of 2018.

For the first quarter of 2019, analysts expect Shake Shack (SHAK) to post revenue of $126.9 million.

Shake Shack (SHAK) is scheduled to report its first-quarter earnings after the market closes on May 2.

Of the 29 analysts covering (MCD), 79.3% recommend “buy,” 20.7% recommend “hold,” and none recommend “sell.”

In the first quarter of 2019, analysts expect McDonald’s (MCD) revenue to fall 4.1% YoY (year-over-year) to $4.93 billion from $5.14 billion, likely due to its company-owned restaurant count falling.

McDonald’s (MCD) is set to report its first-quarter earnings before the market opens on April 30.

Today, Longbow Research downgraded Shake Shack (SHAK) to “neutral” from “buy” on concerns about its high valuation.

On April 10, Cowen initiated coverage on Wendy’s (WEN) with an “outperform” recommendation and a price target of $21.0.

Jack in the Box (JACK) posted its first-quarter earnings after the market closed on February 20.

Today, Stephens upgraded McDonald’s from “equal weight” to “overweight,” stating that lower expectations for McDonald’s in 2019 provided room for positive surprises.

Wendy’s (WEN) is scheduled to post its fourth-quarter earnings results before the market opens on February 21.

For the fourth quarter, McDonald’s posted an EPS of $1.82. Removing one-time or special items, the company’s adjusted EPS was $1.97.

For the fourth quarter, McDonald’s (MCD) posted an EBIT margin of 43.1%—compared to 40.2% in the fourth quarter of 2017.

In the fourth quarter, McDonald’s (MCD) posted revenues of $5.163 billion—slightly better than analysts’ expectation of $5.162 billion.

On January 30, McDonald’s posted its fourth-quarter earnings. The company posted an adjusted EPS of $1.97 on revenues of $5.16 billion.

Among the 32 analysts covering McDonald’s (MCD), 78.1% recommend a “buy,” while 21.9% recommend a “hold.”

McDonald’s (MCD) is scheduled to post its fourth-quarter earnings before the market opens on January 30.

In the first three quarters of 2018, McDonald’s (MCD) revenue fell 9.3% to $15.86 billion.

Of the 32 analysts that cover McDonald’s (MCD), 78.1% have given the stock “buy” ratings, while the remaining 21.9% have given it “holds.”

As of December 14, Jack in the Box stock has declined by 18.1% since the beginning of this year.

After the market closed on November 19, Jack in the Box posted its fourth-quarter earnings. The company posted an adjusted EPS of $0.77.

Of the 17 analysts following Jack in the Box (JACK), 47.1% favor a “buy” as of November 14, while 52.9% favor a “hold.”

Analysts expect Jack in the Box (JACK) to post revenues of $176.0 million in Q4 2018—a fall of 24.2% from $232.13 million in Q4 2017.

Jack in the Box (JACK) is scheduled to report its fourth-quarter earnings after the market closes on November 19.

For the next four quarters, analysts expect McDonald’s (MCD) to post adjusted EPS of $8.01.

Of the 26 analysts that cover Wendy’s (WEN), 61.5% have given it “buys,” and 38.5% have given it “holds.” No analysts have given it “sell” recommendations.

Analysts expect Wendy’s (WEN) to post revenue of $405.6 million in the third quarter, which represents a rise of 31.7% year-over-year.

In the third quarter, McDonald’s (MCD) posted revenue of $5.37 billion, outperforming analysts’ expectation of $5.32 billion.

McDonald’s (MCD) posted its third-quarter earnings on October 23. It reported adjusted EPS of $2.10 on revenues of $5.37 billion.

For the next four quarters, analysts are expecting McDonald’s (MCD) to post revenue of $20.75 billion, which is a 3.9% fall year-over-year.