After Wingstop (WING) reported Q3 domestic comp growth of 20.9%, which came in modestly below consensus expectations of 21.6% and flowed through to “modest misses” on restaurant-level margins and adjusted EPS, Stephens said the firm believes shares will see pressure today given the elevated valuation and modest comp miss. However, it would continue to be buyers on weakness as the firm calls Wingstop “a truly idiosyncratic name in the restaurant segment given the relatively low awareness and traffic momentum.” Ahead of the company’searnings call the firm keeps an Overweight rating on Wingstop shares, which are down 13% to $321.50 in pre-market trading.
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Read More on WING:
- Wingstop reports Q3 domestic SSS up 20.9%
- Wingstop reports Q3 EPS 88c, consensus 95c
- Wingstop reaffirms FY24 domestic same store sales view up 20%
- Notable companies reporting before tomorrow’s open
- WING Earnings this Week: How Will it Perform?
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