Buffalo Wild Wings Third Quarter Earnings on Deck

Buffalo Wild Wings (NASDAQ:BWLD) will unveil its latest earnings on Tuesday, October 23, 2012. Buffalo Wild Wings is an owner, operator, and franchiser of restaurants.

Buffalo Wild Wings Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 60 cents per share, a decline of 1.6% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 63 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 60 cents during the last month. Analysts are projecting profit to rise by 16.8% versus last year to $3.19.

Past Earnings Performance: The company missed estimates last quarter after beating forecasts in the prior two. In the second quarter, the company reported profit of 62 cents per share versus a mean estimate of net income of 68 cents per share. In the first quarter, the company beat estimates by 3 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 28.5% in revenue from the year-earlier quarter to $254 million.

Stock Price Performance: Between August 21, 2012 and October 17, 2012, the stock price had risen $12.67 (16.9%), from $74.96 to $87.63. The stock price saw one of its best stretches over the last year between February 6, 2012 and February 13, 2012, when shares rose for six straight days, increasing 24.7% (+$17.01) over that span. It saw one of its worst periods between May 2, 2012 and May 10, 2012 when shares fell for seven straight days, dropping 4.6% (-$4) over that span.

A Look Back: In the second quarter, profit rose 9.3% to $11.7 million (62 cents a share) from $10.7 million (58 cents a share) the year earlier, but fell short analyst expectations. Revenue rose 29.7% to $238.7 million from $184.1 million.

Key Stats:

The company enters this earnings announcement with substantial revenue momentum. The company has averaged year-over-year revenue growth of 33.2% over the last four quarters.

After experiencing income increases the last three quarters, the company is hoping to keep the good news coming with this earnings announcement. Net income rose 34% in the fourth quarter of the last fiscal year and 22.8% in the first quarter before increasing again in the second quarter.

Analyst Ratings: With 11 analysts rating the stock a buy, one rating it a sell and six rating the stock a hold, there are indications of a bullish stance by analysts. Over the last three months, the stock’s average rating has increased from hold to moderate buy.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 1.49 last quarter. The current ratio is an indication of a firm’s liquidity and ability to meet creditor demands and generally, for every dollar the company owes in the short term, it has that figure available in assets that can be converted to cash in the short term.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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