Market Overview

Buffalo Wild Wings To Deliver Double-Digit EPS Growth, Experts And Crowd Say

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Shares of Buffalo Wild Wings (NASDAQ: BWLD) are up on Tuesday morning in anticipation of the company’s report of its first quarter results, after the bell.

According to Estimize, experts and the crowd pretty much agree regarding what to expect. Wall Street analysts model consensus EPS of $1.66 on revenue of $453.9 million, while Main Street projects consensus EPS of $1.68 on revenue of $454.39 million.

These estimates imply an EPS growth of at least 11 percent from the $1.49 reported in the first quarter of 2014, and an even larger increase from the $1.07 registered in the latest quarter.

It is also important to highlight (and it can be seen in the graph below), that the company’s results have been coming in very close to estimates over the last couple of years. 

In addition, one can see how estimates have evolved over the quarter.

Both the crowd and the Street have been increasingly constructive on earnings (and revenue) as the quarter went by, with the crowd becoming more bullish than experts only a few days before the earnings call.

Analyst Opinion

In a recent Benzinga article, the author looked into a Wedbush report, which previewed the first quarter financial results for several restaurants. For Buffalo Wild Wings, “analysts predict that SSS growth in the first half of 2015 could come in short of expectations. They believe that shareholders run the risk of earnings disappointment and that there is a lack of potential positive catalysts to balance out that risk at this time.”

Sterne Agee also weighed in on the company, rating its stock a Buy and setting the price target at $208. The analysts expect first quarter EPS of $1.61, down from $1.65. This estimate implies same-store sales growth of 8 percent (down from 9 percent), "and slightly increased COGS (higher-than-expected chicken wing pricing)."

Posted-In: Estimize Sterne Agee WedbushAnalyst Color Previews Movers Trading Ideas


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