Red Robin Gourmet Burgers (NASDAQ:RRGB) Announces Earnings Results

Red Robin Gourmet Burgers (NASDAQ:RRGB) issued its earnings results on Wednesday. The restaurant operator reported $0.12 earnings per share (EPS) for the quarter, FiscalAI reports. The firm had revenue of $277.64 million during the quarter, compared to the consensus estimate of $268.56 million.

Here are the key takeaways from Red Robin Gourmet Burgers’ conference call:

• Same-store sales increased 1.3% in Q2, with traffic nearly flat and outperforming the industry by 40 basis points; management said traffic improved as the quarter progressed and reached positive territory in the final period.
• Restaurant-level operating margin rose 20 basis points to 14.7%, supported by labor efficiencies, cost management, and improved sales, while employee turnover and guest satisfaction remained favorable.
• Red Robin announced three refranchising agreements expected to generate approximately $96 million in gross proceeds, which management plans to use primarily for debt reduction and greater financial flexibility.
• The company maintained its 2026 guidance, including comparable sales growth of 0.5%–1.5%, restaurant-level margin of about 13%, adjusted EBITDA of $70 million–$73 million, and capital expenditures of $25 million–$30 million; management expects stronger same-store momentum in the second half as value-program mix headwinds ease.
• Adjusted EBITDA declined $3.5 million year over year to $18.9 million, primarily because marketing expenses increased $4 million as Red Robin invested behind the Big Yummm Burger Deal and personalization initiatives; refinancing also remains unfinished while existing debt comes due later this year.

Red Robin Gourmet Burgers Price Performance

Shares of RRGB stock traded down $0.00 during mid-day trading on Friday, hitting $9.90. 229,851 shares of the stock traded hands, compared to its average volume of 351,365. Red Robin Gourmet Burgers has a 52-week low of $2.45 and a 52-week high of $10.95. The stock’s fifty day moving average is $6.91 and its two-hundred day moving average is $4.87. The stock has a market cap of $183.09 million, a P/E ratio of -5.86 and a beta of 2.40.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Bank of America Corp DE raised its holdings in shares of Red Robin Gourmet Burgers by 1.5% during the second quarter. Bank of America Corp DE now owns 182,565 shares of the restaurant operator’s stock worth $1,057,000 after purchasing an additional 2,697 shares during the last quarter. BNP Paribas Financial Markets lifted its holdings in shares of Red Robin Gourmet Burgers by 503.0% in the 2nd quarter. BNP Paribas Financial Markets now owns 5,379 shares of the restaurant operator’s stock valued at $31,000 after buying an additional 4,487 shares during the period. Dimensional Fund Advisors LP boosted its stake in shares of Red Robin Gourmet Burgers by 27.6% in the fourth quarter. Dimensional Fund Advisors LP now owns 21,086 shares of the restaurant operator’s stock worth $86,000 after buying an additional 4,563 shares during the last quarter. Renaissance Technologies LLC grew its holdings in Red Robin Gourmet Burgers by 3.6% during the fourth quarter. Renaissance Technologies LLC now owns 172,666 shares of the restaurant operator’s stock worth $699,000 after acquiring an additional 5,923 shares during the period. Finally, Osaic Holdings Inc. increased its holdings in Red Robin Gourmet Burgers by 152.6% in the second quarter. Osaic Holdings Inc. now owns 10,055 shares of the restaurant operator’s stock valued at $58,000 after buying an additional 6,075 shares in the last quarter. Institutional investors and hedge funds own 84.04% of the company’s stock.

Analyst Ratings Changes

Several equities analysts recently commented on the company. UBS Group set a $8.00 target price on Red Robin Gourmet Burgers in a research report on Wednesday, June 3rd. Wall Street Zen upgraded shares of Red Robin Gourmet Burgers from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. Benchmark increased their target price on Red Robin Gourmet Burgers from $8.00 to $10.00 and gave the company a “buy” rating in a research note on Thursday. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Red Robin Gourmet Burgers in a report on Friday, July 17th. Two analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $8.33.

Red Robin Gourmet Burgers Company Profile

Red Robin Gourmet Burgers, Inc, trading on NASDAQ under the ticker RRGB, is a leading casual dining restaurant company headquartered in Greenwood Village, Colorado. The company specializes in offering a diverse menu centered on gourmet burgers, bottomless steak fries, salads, sandwiches and a selection of alcoholic beverages. Red Robin operates restaurants under its flagship Red Robin® brand, serving guests through both dine-in and off-premises channels, including delivery and carry-out. The company also leverages technology and loyalty programs to enhance the guest experience and drive repeat visits.

Founded in 1969 in Seattle, Washington, Red Robin began as a small tavern before evolving into a family-friendly restaurant concept focused on premium burgers.