Cracker Barrel Rolling Over After Q4 Report

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Cracker Barrel Old Country Store, Inc CBRL shares were trading lower by $5.81 (3.7 percent) at $145.26 in Wednesday's session. Despite posting a better-than-expected EPS ($1.97 vs. $1.86 estimates), the company came up light for sales ($719.18 million vs. $724.3 million).

The company provided mixed guidance for FY 2016 for EPS ($7.15-$7.30 vs. $7.22 estimates) and for sales ($2.9-$2.95 billion vs. $2.95 billion).

After a lower open ($145.40 vs. Tuesday's close of $151.07), it staged a rally to $146.86 before continuing lower. So far, it has reached $143 and rebounded to its current level. That level coincides with a series lows made at the area in four of five trading sessions in late August and early September. The one outlier was its September 1 low of $141.20.