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

by · The Markets Daily

Noodles & Company (NASDAQ:NDLS – Get Free Report) announced its earnings results on Friday. The restaurant operator reported $0.18 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.05) by $0.23, FiscalAI reports. The company 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 Stock Up 24.4%

Noodles & Company stock opened at $15.36 on Friday. Noodles & Company has a twelve month low of $3.57 and a twelve month high of $16.65. The company has a 50 day moving average of $12.97 and a 200-day moving average of $9.33. The stock has a market capitalization of $90.47 million, a PE ratio of -2.41 and a beta of 1.38.

Key Headlines Impacting Noodles & Company

Here are the key news stories impacting Noodles & Company this week:

  • Positive Sentiment: Noodles & Company reported Q2 2026 EPS of $0.18, far above the consensus estimate of a loss of $0.05, while revenue of $127.0 million also topped expectations. Earnings report and conference call
  • Positive Sentiment: The company said second-quarter comparable restaurant sales increased 10.3% system-wide, a sign that traffic and sales trends improved meaningfully. Second quarter 2026 financial results
  • Positive Sentiment: Noodles & Company raised its FY 2026 revenue guidance to $485 million-$500 million, above Wall Street’s prior expectations, reinforcing confidence in continued momentum. Guidance update
  • Neutral Sentiment: Short-interest data showed 0 reported shares as of July 24, so the update does not provide a meaningful new signal for the stock. Short interest data
  • Neutral Sentiment: An earnings call transcript and follow-up coverage from multiple outlets added to the day’s attention, but the main driver remains the strong earnings beat and raised outlook. Earnings call transcript

Institutional Trading of Noodles & Company

Several hedge funds and other institutional investors have recently modified their holdings of the company. Virtu Financial LLC acquired a new position in shares of Noodles & Company during the fourth quarter worth about $28,000. Renaissance Technologies LLC raised its position in Noodles & Company by 35.7% in the 4th quarter. Renaissance Technologies LLC now owns 93,500 shares of the restaurant operator’s stock valued at $66,000 after buying an additional 24,600 shares during the last quarter. Goldman Sachs Group Inc. lifted its stake in Noodles & Company by 331.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 110,666 shares of the restaurant operator’s stock valued at $121,000 after acquiring an additional 84,987 shares in the last quarter. Geode Capital Management LLC boosted its position in Noodles & Company by 7.6% during the 4th quarter. Geode Capital Management LLC now owns 389,421 shares of the restaurant operator’s stock worth $275,000 after acquiring an additional 27,384 shares during the last quarter. Finally, State Street Corp boosted its position in Noodles & Company by 31.1% during the 4th quarter. State Street Corp now owns 181,963 shares of the restaurant operator’s stock worth $128,000 after acquiring an additional 43,211 shares during the last quarter. Institutional investors and hedge funds own 65.67% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Noodles & Company in a report on Monday, July 6th. Wall Street Zen upgraded Noodles & Company from a “sell” rating to a “hold” rating in a research report on Saturday, March 28th. One research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Reduce”.

Get Our Latest Stock Report on Noodles & Company

Noodles & Company Company Profile

(Get Free Report)

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.

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