Dunkin' Brands Stock Tumbles After Sales Outlook

Dunkin' Brands Group Inc.'s stock tumbled 8.7% in premarket trade Thursday, after the coffee and donut retail chain provided a disappointing third-quarter sales outlook. In a presentation prepared for its analyst day, the company said third-quarter U.S. same-store sales grew 1.1%. The estimates of the two analysts providing forecasts to FactSet were 2% and 2.7%. The company said it expects full-year 2015 earnings per share of $1.87 to $1.91, which is below the FactSet consensus of $1.92, and revenue growth of 6% to 8%, while the FactSet consensus of $808.1 million implies growth of 7.9%. Dunkin' Brands said it plans to close 100 U.S. Dunkin' Donuts stores in 2015 and 2016. The company said it would launch a test of mobile ordering in Portland in November, with plans to expand nationwide in 2016. The company will make Apple Pay available in its stores in 2016. The stock has lost 11% over the past three months through Wednesday, but was still up 15% year to date while the S&P 500 was down 6.7%.