Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
fell 4.4% in the morning session after the company reported weak third-quarter 2025 financial results that missed analyst expectations. Total revenue grew just 1.8% year-over-year to $181.4 million, falling short of Wall Street's estimates. Earnings per share of $0.02 also missed projections and represented a sharp decline from the $0.11 reported in the same quarter last year. While same-store sales were flat, profitability took a significant hit. The company's operating margin fell to 3% from 9% a year ago, as rising costs outpaced sales growth. Gross margin also compressed, declining 3.3 percentage points year-over-year, suggesting pressure from input costs. Overall, the results pointed to clear challenges for the company's profitability and operational performance.
Casual restaurant chain Portillo’s (NASDAQ:PTLO) missed Wall Street’s revenue expectations in Q3 CY2025 as sales only rose 1.8% year on year to $181.4 million. Its GAAP profit of $0.02 per share was $0.02 below analysts’ consensus estimates.
Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.
Investors can certainly boost their returns by concentrating on stocks trading between $1 and $10.
However, a disciplined approach is necessary because many of these businesses are speculative and lack the underlying fundamentals to support their prices.
Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
fell 3.7% in the morning session after B of A Securities downgraded the stock from a "Buy" to a "Neutral" rating and slashed its price target.
Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street.
Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.
Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
jumped 3.2% in the morning session after the stock rebounded from a sell-off in the previous trading session, which was prompted by the immediate departure of its President and CEO, Michael Osanloo.
Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
fell 3.2% in the morning session after the company announced a major leadership change, with President and CEO Michael Osanloo departing effective immediately.
Rock-bottom prices don't always mean rock-bottom businesses.
The stocks we're examining today have all touched their 52-week lows, creating a classic investor's dilemma: bargain opportunity or value trap?
Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
fell 6.4% in the afternoon session after the company significantly lowered its 2025 outlook for new restaurant openings, same-store sales, and revenue growth.
Shares of casual restaurant chain Portillo’s (NASDAQ:PTLO)
fell 3.2% in the afternoon session after the stock continued to decline as the company reported second-quarter 2025 financial results that fell short of expectations and lowered its full-year guidance. The company posted revenue of $188.5 million, below the forecasted $196.5 million, and earnings per share of $0.12.
Wrapping up Q2 earnings, we look at the numbers and key takeaways for the traditional fast food stocks, including Portillo's (NASDAQ:PTLO) and its peers.
