Wingstop (WING) To Report Earnings Tomorrow: Here Is What To Expect

StockStory
18 Feb
Wingstop (WING) To Report Earnings Tomorrow: Here Is What To Expect

Fast-food chain Wingstop (NASDAQ:WING) will be reporting results tomorrow morning. Here’s what to look for.

Wingstop beat analysts’ revenue expectations by 1% last quarter, reporting revenues of $162.5 million, up 38.8% year on year. It was a slower quarter for the company, with a miss of analysts’ EBITDA and EPS estimates.

Is Wingstop a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Wingstop’s revenue to grow 29.9% year on year to $165 million, improving from the 21.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.87 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Wingstop has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 5.5% on average.

Looking at Wingstop’s peers in the restaurants segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Chipotle delivered year-on-year revenue growth of 13.1%, meeting analysts’ expectations, and Brinker International reported revenues up 26.5%, topping estimates by 9.6%. Chipotle traded down 2.6% following the results while Brinker International was up 18%.

Read our full analysis of Chipotle’s results here and Brinker International’s results here.

There has been positive sentiment among investors in the restaurants segment, with share prices up 6% on average over the last month. Wingstop is up 9.3% during the same time and is heading into earnings with an average analyst price target of $356.46 (compared to the current share price of $306.56).

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