Chuy's (CHUY) Q1 Earnings Report Preview: What To Look For

Casual restaurant chain Chuy’s (NASDAQ:CHUY) will be reporting results tomorrow afternoon. Here's what to expect.

Chuy's met analysts' revenue expectations last quarter, reporting revenues of $116.3 million, up 11.8% year on year. It was a weaker quarter for the company, with a narrow beat of analysts' revenue estimate. Non-GAAP EPS also came in below expectations.

Is Chuy's a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Chuy's revenue to be flat year on year at $111.7 million, slowing from the 12% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.36 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Chuy's has missed Wall Street's revenue estimates twice over the last two years.

Looking at Chuy's peers in the sit-down dining segment, some have already reported their Q1 results, giving us a hint as to what we can expect. First Watch delivered year-on-year revenue growth of 14.7%, missing analysts' expectations by 1.1%, and BJ's reported a revenue decline of 1.2%, in line with consensus estimates. BJ's traded up 5.9% following the results.

Read our full analysis of First Watch's results here and BJ's results here.

Investors in the sit-down dining segment have had fairly steady hands going into earnings, with share prices down 1.6% on average over the last month. Chuy's is down 6.3% during the same time and is heading into earnings with an average analyst price target of $37.6 (compared to the current share price of $30.12).

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