Why Noodles (NDLS) Stock Is Up Today

What Happened?

Shares of casual restaurant chain Noodles & Company (NASDAQ:NDLS) jumped 4% in the afternoon session after investment firm Galloway Capital Partners disclosed a 6% stake in the restaurant chain. The position, which amounted to 2.81 million shares, was detailed in a regulatory filing. Galloway Capital Partners stated its belief that the company's current stock price did not reflect its true value. The investment firm also urged Noodles & Company's management to implement strategies to protect and enhance shareholder equity, suggesting a potential activist role aimed at improving the company's performance and stock value.

Is now the time to buy Noodles? Access our full analysis report here.

What Is The Market Telling Us

The previous big move we wrote about was 25 days ago when the stock gained 6.7% on the news that the company reported third-quarter 2025 results that beat Wall Street's expectations for revenue and profitability. While total revenue was flat year-on-year at $122.1 million, this figure surpassed analysts' forecasts. A key positive was a 4% increase in same-store sales, marking a significant turnaround from the prior year's decline. The company also delivered an adjusted EBITDA of $6.5 million, which was more than 12% above consensus estimates. Investors appeared to focus on these signs of improving business momentum and a slightly raised full-year revenue forecast, looking past the company's negative operating margin and an adjusted loss of $0.10 per share.

While Wall Street chases Nvidia at all-time highs, an under-the-radar semiconductor supplier is dominating a critical AI component these giants can’t build without. Click here to access our full research report.