Monro Muffler Brake (NASDAQ:MNRO) Releases Earnings Results, Misses Expectations By $0.12 EPS

Monro Muffler Brake (NASDAQ:MNRO) issued its quarterly earnings results on Wednesday. The auto parts company reported ($0.16) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.04) by ($0.12), FiscalAI reports. Monro Muffler Brake had a positive return on equity of 2.69% and a negative net margin of 1.06%.The business had revenue of $273.84 million for the quarter, compared to the consensus estimate of $283.47 million. During the same period in the prior year, the business posted ($0.09) earnings per share. Monro Muffler Brake’s revenue was down 7.2% on a year-over-year basis.

Here are the key takeaways from Monro Muffler Brake’s conference call:

• Monro said its performance improvement initiatives are gaining traction, including more targeted marketing, broader use of ConfiDrive inspections, and a new district manager toolkit aimed at lifting store-level sales and profitability.
• Fourth-quarter results were weak, with comparable store sales down 2.4% and total sales down 7.2%, pressured mainly by softer tire demand and severe February weather disruptions.
• Despite lower sales, gross margin improved 90 basis points to 33.9% as labor productivity improved, showing some operating leverage even in a difficult demand environment.
• Management expects full-year fiscal 2027 comparable sales growth and said the business has enough cash flow and liquidity to support capital priorities, including the dividend, while it continues its strategic review.
• The company warned that consumer pressure, higher gas and input costs, and tariff risk could keep margin and demand dynamics challenging, with more customers trading down to lower-priced Tier 4 tires.

Monro Muffler Brake Trading Down 2.1%

Shares of NASDAQ MNRO opened at $16.22 on Thursday. The company has a quick ratio of 0.15, a current ratio of 0.45 and a debt-to-equity ratio of 0.41. The business has a fifty day simple moving average of $16.44 and a two-hundred day simple moving average of $18.71. The firm has a market cap of $486.92 million, a PE ratio of -34.51, a price-to-earnings-growth ratio of 1.62 and a beta of 1.07. Monro Muffler Brake has a twelve month low of $12.26 and a twelve month high of $23.91.

Monro Muffler Brake Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 16th. Shareholders of record on Tuesday, June 2nd will be given a dividend of $0.28 per share. The ex-dividend date of this dividend is Tuesday, June 2nd. This represents a $1.12 dividend on an annualized basis and a yield of 6.9%. Monro Muffler Brake’s payout ratio is -238.30%.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on MNRO. Weiss Ratings reissued a “sell (d)” rating on shares of Monro Muffler Brake in a research note on Tuesday, April 21st. Oppenheimer raised Monro Muffler Brake from a “market perform” rating to an “outperform” rating and set a $40.00 price target for the company in a research note on Wednesday, February 11th. One research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $28.00.

Institutional Investors Weigh In On Monro Muffler Brake

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Goldman Sachs Group Inc. raised its position in Monro Muffler Brake by 11.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 688,075 shares of the auto parts company’s stock valued at $9,956,000 after purchasing an additional 68,862 shares in the last quarter. Empowered Funds LLC raised its position in Monro Muffler Brake by 5.6% during the 1st quarter. Empowered Funds LLC now owns 141,635 shares of the auto parts company’s stock valued at $2,049,000 after purchasing an additional 7,464 shares in the last quarter. Jane Street Group LLC raised its position in Monro Muffler Brake by 85.2% during the 1st quarter. Jane Street Group LLC now owns 79,839 shares of the auto parts company’s stock valued at $1,155,000 after purchasing an additional 36,734 shares in the last quarter. Jones Financial Companies Lllp bought a new stake in Monro Muffler Brake during the 1st quarter valued at $559,000. Finally, Royal Bank of Canada raised its position in Monro Muffler Brake by 139.8% during the 1st quarter. Royal Bank of Canada now owns 27,904 shares of the auto parts company’s stock valued at $404,000 after purchasing an additional 16,268 shares in the last quarter.

About Monro Muffler Brake

Monro Muffler Brake (NASDAQ:MNRO) is a leading provider of undercar repair and maintenance services for light vehicles in the United States. The company’s core offerings include brake systems, exhaust systems, steering and suspension repairs, tire sales and service, oil and lube changes, wheel alignment, multi-point inspections, and state vehicle inspections. Monro serves both retail customers and fleet accounts, focusing on fast, reliable service and preventive maintenance to help extend vehicle life and safety.

Headquartered in Rochester, New York, Monro was originally founded in 1957 and has grown through a combination of organic expansion and strategic acquisitions.