What Happened?
Shares of snack food company J&J Snack Foods (NASDAQ:JJSF)
fell 14.1% in the morning session after the company reported fourth-quarter results that fell short of Wall Street's expectations for both revenue and earnings.
The snack food company posted revenue of $343.8 million, which marked a 5.2% decrease compared to the same period in the previous year and missed the consensus analyst estimate. Its adjusted earnings per share of $0.33 also came in below what analysts had projected. The weaker-than-expected financial report prompted a downturn in the stock's value following the announcement.
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What Is The Market Telling Us
J&J Snack Foods’s shares are not very volatile and have only had 4 moves greater than 5% over the last year. Moves this big are rare for J&J Snack Foods and indicate this news significantly impacted the market’s perception of the business.
The biggest move we wrote about over the last year was 9 months ago when the stock dropped 12.1% on the news that the company reported weak first quarter 2025 results which saw revenue, gross margin, EPS, and EBITDA all fall short of Wall Street's estimates. A drop in volume across big segments like churros and pretzels, dragged sales and caused a sharp fall in gross profit. Also, slower theater traffic and the end of a one-time churro promo hurt sales, while price hikes didn't land fast enough to offset rising costs. Overall, this was a weaker quarter.
J&J Snack Foods is down 7.4% since the beginning of the year, and at $83.80 per share, it is trading 39.9% below its 52-week high of $139.42 from March 2025. Investors who bought $1,000 worth of J&J Snack Foods’s shares 5 years ago would now be looking at an investment worth $540.53.
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