The 10-second takeaway
For the quarter ended Sep. 4 (Q1), Ruby Tuesday met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue expanded slightly and GAAP earnings per share shrank.
Gross margins expanded, operating margins increased, net margins dropped.
Ruby Tuesday logged revenue of $332.9 million. The five analysts polled by S&P Capital IQ expected revenue of $331.5 million on the same basis. GAAP reported sales were 0.8% higher than the prior-year quarter's $330.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.05. The five earnings estimates compiled by S&P Capital IQ averaged $0.06 per share. GAAP EPS of $0.04 for Q1 were 20% lower than the prior-year quarter's $0.05 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 20.1%, 460 basis points better than the prior-year quarter. Operating margin was 2.5%, 10 basis points better than the prior-year quarter. Net margin was 0.8%, 10 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $304.6 million. On the bottom line, the average EPS estimate is -$0.07.
Next year's average estimate for revenue is $1.31 billion. The average EPS estimate is $0.29.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 125 members out of 248 rating the stock outperform, and 123 members rating it underperform. Among 75 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 43 give Ruby Tuesday a green thumbs-up, and 32 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ruby Tuesday is outperform, with an average price target of $7.00.
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