The ONE Group Hospitality, Inc. (STKS) Reports Q3 Loss, Lags Revenue Estimates

Core Insights - The ONE Group Hospitality, Inc. reported a quarterly loss of $0.66 per share, significantly worse than the Zacks Consensus Estimate of a loss of $0.19, marking an earnings surprise of -247.37% [1] - The company's revenues for the quarter ended September 2025 were $180.2 million, missing the Zacks Consensus Estimate by 5.74% and down from $193.98 million a year ago [2] - The stock has underperformed the market, losing approximately 27.6% since the beginning of the year, while the S&P 500 has gained 15.6% [3] Financial Performance - Over the last four quarters, the company has surpassed consensus EPS estimates only once [2] - The current consensus EPS estimate for the upcoming quarter is $0.29 on revenues of $226.96 million, and for the current fiscal year, it is $0.30 on revenues of $836.65 million [7] Market Outlook - The estimate revisions trend for The ONE Group Hospitality was unfavorable prior to the earnings release, resulting in a Zacks Rank 5 (Strong Sell) for the stock, indicating expected underperformance in the near future [6] - The Retail - Restaurants industry, to which the company belongs, is currently ranked in the bottom 12% of over 250 Zacks industries, suggesting a challenging environment for stock performance [8]