Wingstop Inc. (NASDAQ: WING) stock plunged 6.88% in pre-market trading on Wednesday, following the company's fourth-quarter earnings report that beat earnings estimates but missed revenue expectations.
The fast-food chain reported earnings per share of $0.92, surpassing the analyst consensus estimate of $0.87 by 5.75%. However, the company's quarterly revenue of $161.82 million fell short of the analyst consensus estimate of $164.54 million by 1.65%.
While Wingstop's earnings grew by an impressive 43.75% year-over-year, the weaker-than-expected revenue performance appears to have weighed on investor sentiment, leading to the pre-market sell-off. Investors may be concerned about the company's ability to sustain its growth momentum, given the missed revenue target.
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