Noodles (NDLS) Stock Trades Up, Here Is Why

Core Insights - Noodles & Company reported third-quarter 2025 results that exceeded Wall Street expectations for both revenue and profitability, leading to a 6.7% increase in share price [1] - Total revenue remained flat year-on-year at $122.1 million, but this surpassed analysts' forecasts, while same-store sales increased by 4%, indicating a turnaround from the previous year's decline [1] - The company achieved an adjusted EBITDA of $6.5 million, which was over 12% higher than consensus estimates, and slightly raised its full-year revenue forecast despite a negative operating margin and an adjusted loss of $0.10 per share [1] Market Reaction - Noodles & Company's shares have shown extreme volatility, with 83 moves greater than 5% in the past year, suggesting that the market views the recent news as significant but not fundamentally altering its perception of the business [3] - The stock had previously gained 4.3% due to a holiday marketing campaign aimed at promoting its meals as an alternative to pizza, which was based on a survey indicating 70% of respondents preferred noodles over pizza during the holidays [4] Stock Performance - Since the beginning of the year, Noodles & Company shares have increased by 28.2%, but at $0.75 per share, they are still trading 55.4% below their 52-week high of $1.69 from February 2025 [5] - An investment of $1,000 in Noodles shares five years ago would now be worth $113.46, highlighting the long-term challenges faced by the company [5]