Jack In The Box (NASDAQ:JACK) Releases Quarterly Earnings Results

Jack In The Box (NASDAQ:JACK) announced its quarterly earnings data on Wednesday. The restaurant operator reported $0.96 EPS for the quarter, beating analysts’ consensus estimates of $0.88 by $0.08, FiscalAI reports. The company had revenue of $257.66 million during the quarter, compared to the consensus estimate of $264.70 million. Jack In The Box had a negative return on equity of 6.34% and a net margin of 2.82%.The company’s quarterly revenue was down 22.6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.02 EPS.

Here are the key takeaways from Jack In The Box’s conference call:

• Q3 performance remained below expectations: Jack in the Box same-store sales declined 1.1%, restaurant-level margin fell to 17.6%, and adjusted operating EPS decreased to $0.96 from $1.04 year over year.
• Q4 same-store sales are running in the low-single-digit positive range, helped by the earlier launch of the Philly Cheesesteak platform, stronger traffic and check, and a better balance between premium and value offerings.
• Management outlined five priorities for a turnaround: better customer insight, improved food quality, restaurant refreshes, simpler operations and stronger franchisee profitability. A system-wide burger platform is expected in 2027, while menu and marketing changes will be tested ahead of broader 2027 initiatives.
• Franchisee economics remain pressured by declining sales, inflation and bad debt, with restaurant closures occurring more slowly than expected. The company now anticipates approximately 10–20 additional closures in Q4 and elevated closures potentially continuing through 2028.
• The company reduced debt by $244 million since launching Jack On Trac and completed a refinancing, lowering net leverage to 6.3 times. However, total debt remains approximately $1.5 billion, and digital sales—about 22% of revenue—still require work to become consistently profitable.

Jack In The Box Trading Up 5.1%

Shares of NASDAQ JACK opened at $18.77 on Thursday. Jack In The Box has a one year low of $8.91 and a one year high of $23.86. The business has a 50-day moving average price of $14.87 and a two-hundred day moving average price of $14.59. The firm has a market capitalization of $357.94 million, a PE ratio of 10.15, a PEG ratio of 0.98 and a beta of 1.38.

Analyst Ratings Changes

Several brokerages have recently commented on JACK. UBS Group reduced their target price on Jack In The Box from $23.00 to $14.00 and set a “neutral” rating for the company in a report on Thursday, May 14th. Deutsche Bank Aktiengesellschaft set a $15.00 price objective on Jack In The Box in a report on Thursday, May 14th. Wall Street Zen upgraded shares of Jack In The Box from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. Guggenheim downgraded shares of Jack In The Box from a “buy” rating to a “neutral” rating in a research report on Thursday, May 28th. Finally, Mizuho boosted their price target on shares of Jack In The Box from $11.00 to $13.00 and gave the company a “neutral” rating in a report on Thursday, May 14th. Three research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $15.84.

Insider Buying and Selling at Jack In The Box

In other Jack In The Box news, Director Guillermo Diaz, Jr. bought 5,962 shares of the company’s stock in a transaction dated Thursday, May 28th. The shares were bought at an average price of $11.51 per share, for a total transaction of $68,622.62. Following the acquisition, the director directly owned 20,692 shares of the company’s stock, valued at approximately $238,164.92. This trade represents a 40.48% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 1.40% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. US Bancorp DE increased its stake in Jack In The Box by 96.7% in the 3rd quarter. US Bancorp DE now owns 1,420 shares of the restaurant operator’s stock valued at $28,000 after buying an additional 698 shares during the period. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Jack In The Box by 3,604.0% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,852 shares of the restaurant operator’s stock valued at $35,000 after buying an additional 1,802 shares during the period. Russell Investments Group Ltd. boosted its stake in shares of Jack In The Box by 882.5% during the 3rd quarter. Russell Investments Group Ltd. now owns 3,144 shares of the restaurant operator’s stock valued at $62,000 after buying an additional 2,824 shares during the period. Inspire Investing LLC purchased a new position in shares of Jack In The Box during the 4th quarter valued at $100,000. Finally, Cubist Systematic Strategies LLC grew its holdings in shares of Jack In The Box by 206.6% during the 1st quarter. Cubist Systematic Strategies LLC now owns 5,967 shares of the restaurant operator’s stock valued at $162,000 after acquiring an additional 11,567 shares in the last quarter. 99.79% of the stock is owned by hedge funds and other institutional investors.

Jack In The Box Company Profile

Jack in the Box (NASDAQ: JACK) is a publicly traded quick-service restaurant company best known for its Jack in the Box brand of fast-food restaurants. Founded in 1951 by Robert O. Peterson and headquartered in San Diego, California, the company has operated for decades as a franchisor and operator of drive-thru and dine-in restaurants. Its business model combines company-owned locations with franchise arrangements, and the company focuses on building brand recognition through menu innovation, marketing and service convenience.

The company’s core offerings center on a broad fast-food menu that includes hamburgers (notably the Jumbo Jack), tacos, breakfast items, sandwiches, salads, sides and specialty limited-time items.