Jack in the Box shares slump after margin decline

Referenced Symbols

Jack in the Box Inc. JACK, -5.94% shares slumped 7.1% in Tuesday premarket trading after the taco chain reported a fiscal fourth-quarter margin decline and same-store sales that missed expectations. Net income totaled $38.9 million, or $1.80 per share, up from $37.8 million, or $1.64 per share, last year. Revenue totaled $278.5 million, up from $255.4 million last year. The FactSet consensus was for EPS of $1.74 and revenue of $268.9 million. Same-store sales edged up 0.1%, missing the FactSet consensus for 3.1% growth. Restaurant-level margins were 20.1%, down 6.9% from the year-ago period, driven by higher costs, taking back lower-volume franchises and higher wages. Jack in the Box stock is up 3.2% for the year to date while the S&P 500 index SPX, -0.57% has gained 24.7% for the period.

Read Next

Read Next

Barron's: Lithium Miner Stock Jumps Double Digits. What Gives?

Shares of lithium miner SQM have popped. Barron's tries to sort out why.

More On MarketWatch

About the Author