Cracker Barrel's Stock Drops After Profit Miss, Downbeat Outlook

Shares of Cracker Barrel Old Country Store Inc. slumped 3% in premarket trade Wednesday, after the restaurant and store chain missed profit expectations and provided downbeat outlook for fiscal 2017, offsetting better-than-expected sales results. For the quarter ended July 29, earnings rose to $51 million, or $2.12 a share, from $47.4 million, or $1.97 a share, in the same period a year ago. The FactSet consensus for earnings per share was $2.13. Revenue rose to $745.6 million from $719.2 million, above the FactSet consensus $741.3 million, with both same-store restaurant and retail sales beating expectations. For fiscal 2017, the company expects EPS of $7.95 to $8.10, below the FactSet consensus of $8.32. Revenue is expected to be $2.95 billion to $3.00 billion, compared with the FactSet consensus of $3.01 billion. The stock had soared 19% year to date through Tuesday, while the S&P 500 had gained 4.1%.