Fast food franchisee Carrols Restaurant Group (NASDAQ:TAST) will be reporting results tomorrow before market open. Here's what investors should know.
Last quarter Carrols reported revenues of $485.2 million, up 9.8% year on year, beating analyst revenue expectations by 2.1%. It was a solid quarter for the company, with an impressive beat of analysts' revenue estimates.
Is Carrols buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Carrols's revenue to grow 5.6% year on year to $468.9 million, in line with the 5.3% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.05 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 1.8%.
Looking at Carrols's peers in the traditional fast food segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. McDonald's (NYSE:MCD) delivered top-line growth of 14% year on year, beating analyst estimates by 2.2% and Dutch Bros reported revenues up 33.2% year on year, exceeding estimates by 2.4%. McDonald's traded up 2.6% on the results, and Dutch Bros was up 1.3%.
Read the full analysis of McDonald's's and Dutch Bros's results on StockStory.
There has been positive sentiment among investors in the traditional fast food segment, with the stocks up on average 3.5% over the last month. Carrols is up 0.7% during the same time, and is heading into the earnings with analyst price target of $9.3, compared to share price of $6.1.
The author has no position in any of the stocks mentioned.
