Casual sandwich chain Potbelly (NASDAQ: PBPB) will be reporting earnings this Wednesday after the bell. Here’s what to look for.
Potbelly beat analysts’ revenue expectations by 1.7% last quarter, reporting revenues of $113.7 million, up 2.3% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
Is Potbelly a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Potbelly’s revenue to grow 2.5% year on year to $122.6 million, a reversal from the 5.5% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.09 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. Potbelly has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Potbelly’s peers in the modern fast food segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Shake Shack delivered year-on-year revenue growth of 12.6%, beating analysts’ expectations by 0.9%, and Wingstop reported revenues up 12%, topping estimates by 0.5%. Shake Shack traded down 20.7% following the results while Wingstop was up 29.7%.
Read our full analysis of Shake Shack’s results here and Wingstop’s results here.
Questions about potential tariffs and corporate tax changes have caused much volatility in 2025. While some of the modern fast food stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 6.3% on average over the last month. Potbelly is down 9.1% during the same time and is heading into earnings with an average analyst price target of $17 (compared to the current share price of $11.51).
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