Why Is Noodles & Company Stock Rising 5% Following Its Third-Quarter Results?

Noodles & Company (NDLS) stock rose 5.02% in premarket trading after its Q3 2026 results beat earnings and revenue expectations, with a narrower adjusted loss of $0.04 per share and revenue of $120.9M. Comparable sales grew 9.5%, and the company improved restaurant margins and adjusted EBITDA. Full-year guidance was raised, but the company plans to close 34-36 restaurants.

Original reporting
Published Nov 13, 2026, 1:36 PM UTC
Analysis
AlphAI AI DeskAI-generated
Added to AlphAI Nov 13, 2026, 2:14 PM UTC. Informational, not investment advice.
How this was made
AlphAI summarizes source reporting and applies a structured AI analysis for relevance, timing, sentiment and ticker impact. Always verify material claims with the original publisher.
Why Is Noodles & Company Stock Rising 5% Following Its Third-Quarter Results? — source image
Decision brief

The 30-second read

$NDLSBullishHigh
01

Why it matters

The earnings beat and guidance lift are likely to sustain the current price rally, though the modest revenue decline and network closures warrant caution.

02

Market read

First‑report earnings release with material beat; drives immediate price action and informs sector sentiment.

03

What to watch

Planned restaurant closures could suppress future top‑line growth despite comparable sales gains.

Relevance 7/10Novelty 8/10Timing: pre‑market today

Background

Noodles & Company reported Q3 2026 results, beating earnings and revenue estimates and raising full‑year guidance.

Company-level read

Ticker impact

$NDLSBullishHigh confidence
Context

Q3 2026 earnings beat and raised full-year guidance triggered a 5% pre‑market price jump.

Expected impact

upward pressure as investors price in stronger sales and margins.

Evidence & confidence

Adjusted loss beat expectations, revenue topped forecasts, margins expanded, and guidance lifted; market already reacted, but additional buying may follow.

Market effects

Improves outlook for the fast‑casual restaurant sector, suggesting peers may see similar margin pressure relief.

U.S. consumer‑discretionary sentiment boosted by the beat.

Limited to U.S. equities; no broader macro impact.

Counterpoint

If the revenue decline persists, the stock may be overbought after the rally.

Key entities

  • Joe Christina

    President and CEO who commented on the results.

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Noodles & Company tightens 2026 outlook to $35M-$37M adjusted EBITDA as ramen becomes a permanent menu category

Noodles & Company (NDLS) updated its 2026 adjusted EBITDA outlook to $35M-$37M, citing strong sales momentum. CEO Joseph Christina reported 9.5% system-wide comparable sales growth, driven by 10.7% growth at company-owned restaurants, including 7.8% traffic growth, marking eight consecutive quarters of positive growth. The company also announced ramen as a permanent menu category.

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Noodles & Company’s turnaround is a work in progress

Noodles & Company reported mixed Q3 results with 9.5% same-store sales growth and 7.8% traffic increase, but revenue declined 1.0% to $120.9M and net loss was $2.1M. The company is closing stores for long-term gains, with AUVs up 15.2% and restaurant margins at 16.7%. Debt stands at $101M with $1.5M in cash, and stock fell 12% post-results.

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Noodles & Company’s turnaround remains a work in progress

Noodles & Company reported mixed Q3 results, with 9.5% same-store sales growth and 7.8% traffic increase, but revenue declined 1.0% to $120.9M and net loss narrowed to $2.1M. The company closed 14 stores, aiming for 41-44 closures by 2026, and plans to focus on menu innovation and marketing. Despite improvements in AUVs and margins, debt remains at $101M with $1.5M in cash. Stock fell 12% post-results.

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Noodles & Company Finds Success by Getting Smaller

Noodles & Company reported a 9.5% increase in same-store sales for Q3, driven by restaurant closures, menu innovations, and operational improvements. Adjusted EBITDA rose 34% to $8.7M. The company plans further closures and new menu items in 2027, aiming for full-year revenue of $485M-$495M and adjusted EBITDA of $35M-$37M.

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What Noodles & Company (NDLS) Said on Its Q3 Earnings Call

Noodles & Company (NDLS) reported a 5.5% rise in comparable sales in October, driven by its new ramen offerings, which accounted for a double-digit percentage of product mix. The company tightened its full-year 2026 guidance, projecting revenue of $485M to $495M and comparable sales growth of 9% to 10%. NDLS also expects to reduce debt to $100M by year-end and extended its credit facility's maturity date to Nov. 30, 2027.