Noodles & Company (NASDAQ:NDLS) Releases Quarterly Earnings Results, Beats Estimates By $0.23 EPS

Noodles & Company (NASDAQ:NDLS) issued its quarterly earnings results on Friday. The restaurant operator reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.05) by $0.23, FiscalAI reports. The firm had revenue of $127.04 million for the quarter, compared to analyst estimates of $119.40 million.

Here are the key takeaways from Noodles & Company’s conference call:

• Noodles reported one of its strongest quarterly performances as a public company, with restaurant-level margin expanding more than 400 basis points year over year to 17.2% and adjusted EBITDA up 79% to $10.8 million.
• Comparable sales remained strong, with system-wide comp sales up 10.3% in Q2 and company-owned comps up 11.4%; management also said Q3-to-date company-owned comps are running about 10% higher.
• Menu innovation is gaining traction, especially Asian-inspired items like Indonesian Peanut Saute and Chili Garlic Ramen, which drove a 42% increase in Asian category mix and attracted many new guests.
• Management said its more disciplined marketing strategy is working, with digital channel comparable sales up 18% and media impressions nearly doubling on only about a 6% increase in spend.
• The company raised full-year 2026 guidance for revenue, margin, and adjusted EBITDA, and expects debt to fall to at or below 3x adjusted EBITDA by year-end through free cash flow and continued portfolio optimization.

Noodles & Company Trading Up 28.4%

Shares of Noodles & Company stock traded up $3.50 on Friday, reaching $15.85. 225,484 shares of the company were exchanged, compared to its average volume of 62,860. Noodles & Company has a fifty-two week low of $3.57 and a fifty-two week high of $16.41. The firm has a market capitalization of $93.38 million, a price-to-earnings ratio of -2.48 and a beta of 1.38. The stock has a fifty day moving average price of $12.91 and a 200-day moving average price of $9.28.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on NDLS shares. Wall Street Zen upgraded Noodles & Company from a “sell” rating to a “hold” rating in a report on Saturday, March 28th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Noodles & Company in a research report on Monday, July 6th. One investment analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Reduce”.

Hedge Funds Weigh In On Noodles & Company

Institutional investors have recently bought and sold shares of the stock. Virtu Financial LLC purchased a new stake in Noodles & Company during the fourth quarter valued at about $28,000. Northwestern Mutual Wealth Management Co. increased its position in shares of Noodles & Company by 34,246.2% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 49,802 shares of the restaurant operator’s stock worth $35,000 after acquiring an additional 49,657 shares in the last quarter. Jane Street Group LLC acquired a new stake in shares of Noodles & Company during the first quarter valued at approximately $41,000. Renaissance Technologies LLC raised its holdings in shares of Noodles & Company by 35.7% during the fourth quarter. Renaissance Technologies LLC now owns 93,500 shares of the restaurant operator’s stock valued at $66,000 after acquiring an additional 24,600 shares during the period. Finally, XTX Topco Ltd lifted its position in shares of Noodles & Company by 228.5% in the 4th quarter. XTX Topco Ltd now owns 94,746 shares of the restaurant operator’s stock valued at $67,000 after acquiring an additional 65,907 shares in the last quarter. Hedge funds and other institutional investors own 65.67% of the company’s stock.

About Noodles & Company

Noodles & Company is an American fast-casual restaurant chain that specializes in a variety of noodle and pasta dishes inspired by global cuisines. Its menu features signature entrees such as the Wisconsin Mac & Cheese and Japanese Pan Noodles, alongside soups, salads, shareable sides and seasonal offerings. The brand emphasizes fresh ingredients, customizable meals and a quick-service format designed to accommodate dine-in, takeout and digital ordering channels.

The company was founded in 1995 by Aaron Kennedy in Boulder, Colorado, with the aim of introducing a diverse noodle-centric menu to the American market.