Cracker Barrel Forecasts 9% Q4 Revenue Decline After Q3 Guidance Shortfall
Cracker Barrel reported Q3 revenues of $797.2 million, down 5.7% year-over-year, and issued full-year revenue and EBITDA guidance below analyst forecasts. For Q4, consensus revenue estimates call for a 9% year-over-year decline while peers Red Robin and Brinker International delivered mixed revenue results and stock gains.
1. Upcoming Q4 Earnings Preview
Cracker Barrel will report Q4 results Wednesday after the bell, with consensus revenue estimates calling for a 9% year-over-year decline, reversing the 1.5% growth recorded in the same quarter last year. Analysts have largely reconfirmed their forecasts over the past month, indicating steady expectations ahead of the release.
2. Q3 Performance and Full-Year Guidance
In Q3, the company generated $797.2 million in revenue, down 5.7% year-over-year, and its full-year revenue and EBITDA guidance fell short of analyst projections by a significant margin. This marks another quarter of soft top-line growth following multiple revenue misses over the last two years.
3. Peer Comparisons and Stock Reactions
Within the sit-down dining segment, Red Robin posted a 5.7% revenue decline but beat estimates by 1.8%, while Brinker International delivered a 6.9% revenue increase, topping forecasts by 2.9%. Both names saw share price gains post-results, contrasting with a flat sector performance last month.
4. Analyst Targets and Share Performance
Cracker Barrel shares have risen 2.5% over the past month, outpacing the broader sit-down dining segment. The average analyst price target stands at $29.63, suggesting potential headwinds from current trading levels.