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What's in Store for Jack in the Box (JACK) Q4 Earnings?

Zacks Equity Research

Jack in the Box Inc. JACK is likely to register bottom-line growth when it reports fourth-quarter fiscal 2019 results. In the last reported quarter, the company’s earnings surpassed the Zacks Consensus Estimate by 8.1%.

Q4 Expectations

The Zacks Consensus Estimate for fiscal fourth-quarter earnings is pegged at 95 cents, which indicates a rise from 77 cents reported in the prior-year quarter. In the past 30 days, earnings estimates have witnessed upward revision by a penny. For revenues, the consensus mark is pegged at $220.8 million that suggests growth of 24.4% from the year-ago quarter’s reported figure.

Factors at Play

Jack in the Box’s performance in the quarter is likely to have been impacted by robust average check growth, transactions and comps. Initiatives like regular menu innovation along with focus on catering, delivery and marketing are likely to get reflected in the company’s fiscal fourth-quarter results. Moreover, the company’s partnership with DoorDash, Postmates, Grubhub and Uber Eats are likely to have driven the top line.

However, costs related to marketing initiatives, unit expansion and opening catering call centers might have dented margins in the quarter to be reported.

Jack In The Box Inc. Price and EPS Surprise

 

Jack In The Box Inc. Price and EPS Surprise

Jack In The Box Inc. price-eps-surprise | Jack In The Box Inc. Quote

 

What Does the Zacks Model Say

Our proven model does not conclusively predict an earnings beat for Jack in the Box this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that's not the case here.   

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Jack in the Box has a Zacks Rank #3 and an Earnings ESP of -2.77%.   

Stocks Poised to Beat Earnings Estimates

Here are some stocks from the Retail-Wholesale industry that investors may consider as our model shows that these have the right combination of elements to post an earnings beat in the to-be-reported quarter:

Foot Locker, Inc FL has a Zacks Rank #3 and an Earnings ESP of +0.64%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Dollar General Corporation DG has a Zacks Rank #2 and an Earnings ESP of +2.34%.

Ross Stores, Inc ROST has a Zacks Rank #2 and an Earnings ESP of +4.03%.

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Foot Locker, Inc. (FL) : Free Stock Analysis Report
 
Dollar General Corporation (DG) : Free Stock Analysis Report
 
Ross Stores, Inc. (ROST) : Free Stock Analysis Report
 
Jack In The Box Inc. (JACK) : Free Stock Analysis Report
 
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