Wall Street analysts forecast that Denny's (DENN) will report quarterly earnings of $0.15 per share in its upcoming release, pointing to a year-over-year increase of 7.1%. It is anticipated that revenues will amount to $115.61 million, exhibiting an increase of 0.2% compared to the year-ago quarter.
The consensus EPS estimate for the quarter has undergone a downward revision of 5.6% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
Given this perspective, it's time to examine the average forecasts of specific Denny's metrics that are routinely monitored and predicted by Wall Street analysts.
It is projected by analysts that the 'Revenue- Franchise and license revenue' will reach $61.71 million. The estimate indicates a change of +0.7% from the prior-year quarter.
Analysts' assessment points toward 'Revenue- Company restaurant sales' reaching $53.88 million. The estimate points to a change of -0.3% from the year-ago quarter.
The consensus among analysts is that 'Revenue- Franchise and license revenue- Advertising revenue' will reach $20.34 million. The estimate indicates a change of +3.4% from the prior-year quarter.
Analysts forecast 'Revenue- Franchise and license revenue- Occupancy revenue' to reach $8.44 million. The estimate points to a change of -3.2% from the year-ago quarter.
According to the collective judgment of analysts, 'Total restaurants end of period' should come in at 1,575. Compared to the present estimate, the company reported 1,631 in the same quarter last year.
Analysts predict that the 'Franchised and licensed restaurants at end of period' will reach 1,492. Compared to the current estimate, the company reported 1,558 in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Company operated restaurants at end of period' of 76. Compared to the present estimate, the company reported 73 in the same quarter last year.
The consensus estimate for 'Restaurant Units Opened - Keke's' stands at 7. Compared to the present estimate, the company reported 3 in the same quarter last year.
The average prediction of analysts places 'Restaurant Units Opened - Denny's' at 7. Compared to the current estimate, the company reported 7 in the same quarter of the previous year.
Analysts expect 'Restaurant Ending Units - Keke's Total' to come in at 69. The estimate is in contrast to the year-ago figure of 58.
Based on the collective assessment of analysts, 'Restaurant Ending Units - Keke's - Franchised and licensed' should arrive at 53. The estimate compares to the year-ago value of 50.
The combined assessment of analysts suggests that 'Restaurant Ending Units - Keke's - Company' will likely reach 14. The estimate compares to the year-ago value of 8.
View all Key Company Metrics for Denny's here>>>
Over the past month, Denny's shares have recorded returns of +23.8% versus the Zacks S&P 500 composite's +4.2% change. Based on its Zacks Rank #2 (Buy), DENN will likely outperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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