Will NDLS Q1 2025 earnings beat forecasts?

**Noodles & Company (NDLS) is likely to face challenges in beating Q1 2025 earnings forecasts**, based on several key factors: 1. **Recent Performance and Trends**: NDLS reported a challenging Q4 2024, missing both earnings and revenue forecasts. The company posted an EPS of -$0.21, falling short of the expected -$0.10, and reported revenue of $121.8 million, slightly below the forecasted $124.38 million. 2. **Comparative Analysis**: Analysts have been trimming their price targets after the latest report, indicating a more cautious outlook. The average price target has fallen to $3.00, reflecting reduced optimism about the company's future performance. 3. **Strategic Initiatives**: While NDLS has implemented strategic initiatives such as menu innovation, operational improvements, and a refined pricing strategy, the impact of these changes on short-term earnings is uncertain. 4. **Market Reaction and Investor Sentiment**: The stock has surged following the announcement of a promising turnaround plan, including new menu items and marketing initiatives. However, the initial eight weeks of Q1 2025 showed over 3% growth in traffic and comparable restaurant sales, which suggests a slow recovery rather than a immediate earnings beat. 5. **Financial Projections**: The estimated EPS for Q1 2025 is -$0.1, with an estimated revenue of $120.81 million. This indicates that the company is expected to operate at a loss in the quarter, which does not align with the notion of beating earnings forecasts. In conclusion, NDLS's Q1 2025 earnings are not positioned to exceed current forecasts, considering the recent underperformance, analyst adjustments, and the phased impact of strategic initiatives.