Noodles & Co (NASDAQ:NDLS) shares were on the rise as the company is expected to post strong earnings two days from now.
The fast-casual restaurant will not be reporting until after the market closes on Wednesday but the stock was upgraded by Zacks Investment Research early on Monday from a “hold” rating to a “buy” rating in a research report that the company sent to investors in the morning. Analysts from the firm have a price rating of $14 on the stock, which is currently selling at around $12.70 per share.
Noodles & Co recently announced that its outlook for its fiscal 2018 is slated to be in the range of a loss of a penny per share to a profit of 3 cents per share. For its most recent quarter, analysts are projecting the company to announce a profit of 2 cents per share.
The company’s most recent quarterly earnings report came on May 10, which yielded a loss of 4 cents per share for the period, below the Wall Street guidance of a loss of 3 cents per share. Noodles & Co also amassed revenue of $110.5 million for the period, below the consensus estimate of $107.8 million, with revenue falling 5.3% year-over-year.
NDLS stock gained more than 4.5% on Monday following the analyst upgrade and the fact that the company is expected to beat analysts’ expectations with its Wednesday earnings report.