Dine Brands Global, Inc. (NYSE:DIN) is anticipated to report an EPS of $1.35 and revenue of approximately $200.7 million in its upcoming quarterly earnings.
The company has a history of surpassing earnings expectations, with an EPS of $1.44 in the most recent quarter, exceeding the forecast by 8.27%.
Despite a projected decline in EPS and revenue for the quarter ending December 2024, Dine Brands’ strong earnings yield and valuation ratios remain key attractions for investors.
Dine Brands Global, Inc. (NYSE:DIN), the parent company behind the popular restaurant chains Applebee’s and IHOP, has consistently demonstrated strong financial performance, often beating earnings expectations. As the company gears up for its quarterly earnings release on March 5, 2025, Wall Street sets its sights on an earnings per share (EPS) of $1.35 and revenue projections of around $200.7 million.
The company’s knack for exceeding earnings estimates is evident in its performance over the last two quarters, where it outperformed expectations by an average of 5.95%. In its most recent quarter, Dine Brands reported an EPS of $1.44, surpassing the anticipated $1.33 and marking an 8.27% surprise. This consistent track record hints at the potential for another positive earnings surprise in the forthcoming report.
For the quarter ending December 2024, analysts have pegged the EPS at $1.36, reflecting a 2.9% decline from the previous year. Revenue expectations are set at $201.25 million, indicating a 2.5% decrease year-over-year. Despite these projected declines, the stability in the EPS estimate over the past 30 days underscores analysts’ confidence in their forecasts.
Examining Dine Brands’ financial metrics presents a mixed picture. The company’s low price-to-earnings (P/E) ratio of 3.85 suggests an attractive valuation relative to its earnings. However, a negative debt-to-equity ratio of -7.20 raises concerns about its high debt levels compared to equity. Furthermore, a current ratio of 0.86 signals potential liquidity challenges in meeting short-term obligations.
Investors are keenly awaiting Dine Brands’ earnings announcement, especially given its appealing earnings yield of 25.97%, which is enticing for income-seeking investors. The company’s enterprise value to sales ratio of 2.24 and enterprise value to operating cash flow ratio of 13.56 offer insights into its valuation and cash flow generation capabilities. These factors, coupled with the company’s earnings history, will be pivotal in shaping market reactions post-earnings release.
