Latest news with #ICEE
Yahoo
11-06-2025
- Entertainment
- Yahoo
Why do movie snacks cost so much? It's probably not what you think
(KODE & KSN) — It's pretty common knowledge that things like popcorn, soda, candy, and nacho cheese dip cost a lot more at a movie theater than they might at a grocery store, but have you ever wondered why? The answer may be a little more complicated than you'd think. There is a common assertion that movie theaters are simply price gouging by selling their concessions well above market value, but the reasons for this are not always based around maximizing profit, as some movie theaters, especially smaller regional chains and standalone theaters, make the staunch majority of their money from concessions. Contrary to popular belief, most of the profits from ticket sales go directly to the studio that produced the film, not the movie theater showing it. On average in the U.S., film studios take up to 60% of the box office, while theaters walk away with 40% or less. Distributing films is not a one-size-fits-all process. Studios will adjust their cut of ticket sales to give theaters showing movies less likely to be successful a higher cut to make up the difference, while a summer blockbuster might see the opposite, with the studio walking away with a higher percentage than usual as the film is sure to be profitable for both the studio and the theater. Today, the average rate for a movie ticket in the U.S. is $16.08. Following this average, the studio walks away with $9.65 for every ticket sold, while the theater receives $6.43 or less. Putting that number into a larger perspective, the highest grossing film of all time (not adjusted for inflation) is 'Avatar' (2009) at $2,923,706,026. Following the average, this means the studio walked away with approximately $1,754,223,724 while every movie theater that showed the film split the remaining $1,169,482,481, leaving the profit of the film for a single theater location to just thousands or even hundreds of dollars based on the size of the theater. These figures are based on the highest grossing film of all time, so keep in mind the average worldwide movie gross is only about $15,000,000, with large, big budget franchise films usually raking in between $300,000,000 and $700,000,000, meaning theaters rarely generate ticket sales to the levels they did with a box office behemoths like 'Avatar' or 'Star Wars: The Force Awakens'. How do movie theater franchises and independent theaters make up the difference? Concession sales. On average 80% or more of profit for a movie theater is generated from concession sales. This is why you might see prices like $16 for a large popcorn bucket, $6.50 for a box of candy, and $7 for an ICEE drink. Movie theater snack prices, while high, are usually not designed to maliciously 'rip people off' as common sentiment suggests. If not for the high yield of profit from concession sales, movie theaters as they're known now would certainly fade fast, as most movie theaters (especially independent locations) pay their staff, renovate and repair, and pay utilities with money made on popcorn and jumbo hot dogs, not ticket sales. This is why many theaters offer combo deals, and why as time goes on, more and more theaters are branching out into less traditional offerings like specialty flavored popcorns, personal pizzas, and fried chicken strips. Boosting concessions profit boosts the theatres chances of long-term success. So, next time you take a night out at the movies, and feel the urge to tell a theater employee 'what a rip-off' that $8 small popcorn you bought is, remember without that purchase and all others like it, the employee assisting you could not be paid and the movie theater industry would not survive, especially in an era where streaming services and online content continue to usurp the traditional movie-going experience. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
03-06-2025
- Business
- Yahoo
1 Safe-and-Steady Stock to Research Further and 2 to Approach with Caution
Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets. Luckily for you, StockStory helps you navigate which companies are truly worth holding. That said, here is one low-volatility stock that could offer consistent gains and two that may not deliver the returns you need. Rolling One-Year Beta: 0.15 Best known for its SuperPretzel soft pretzels and ICEE frozen drinks, J&J Snack Foods (NASDAQ:JJSF) produces a range of snacks and beverages and distributes them primarily to supermarket and food service customers. Why Are We Hesitant About JJSF? Smaller revenue base of $1.59 billion means it hasn't achieved the economies of scale that some industry juggernauts enjoy Estimated sales growth of 2.8% for the next 12 months implies demand will slow from its three-year trend Low returns on capital reflect management's struggle to allocate funds effectively At $114.55 per share, J&J Snack Foods trades at 22.5x forward P/E. To fully understand why you should be careful with JJSF, check out our full research report (it's free). Rolling One-Year Beta: 0.68 Powering forklifts for Walmart's distribution centers, Plug Power (NASDAQ:PLUG) provides hydrogen fuel cells used to power electric motors. Why Should You Sell PLUG? Customers postponed purchases of its products and services this cycle as its revenue declined by 8.7% annually over the last two years Free cash flow margin shrank by 531.2 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders Plug Power's stock price of $0.82 implies a valuation ratio of 1x forward price-to-sales. Read our free research report to see why you should think twice about including PLUG in your portfolio, it's free. Rolling One-Year Beta: 0.54 Parent company of SeaWorld and home of the world-famous Shamu, United Parks & Resorts (NYSE:PRKS) is a theme park chain featuring marine life, live entertainment, roller coasters, and waterparks. Why Does PRKS Stand Out? Excellent operating margin of 26.9% highlights the efficiency of its business model Share buybacks catapulted its annual earnings per share growth to 39.1%, which outperformed its revenue gains over the last five years Returns on capital are growing as management capitalizes on its market opportunities United Parks & Resorts is trading at $43.05 per share, or 8.9x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
Bear of the Day: J&J Snack Foods (JJSF)
J&J Snack Foods manufactures, markets, and distributes snack food and beverages to the food service and retail supermarket industries in the United States, Canada, and Mexico. Known for its SuperPretzel soft pretzels and ICEE frozen drinks, the company offers a variety of bakery products such as fig and fruit bars, cookies, donuts, churros, and muffins. Incorporated in 1971 and headquartered in Mount Laurel, New Jersey, J&J Snack Foods also sells machines and machine parts to other food and beverage companies. It markets its products through department stores, fast food and casual dining restaurants, theme parks, convenience stores, movie theaters, and independent retailers. The company faces several headwinds amid a challenging operating environment. A modest revenue base provides the company less fixed cost leverage and fewer distribution channels relative to larger competitors. Estimated sales growth of less than 2% for the current fiscal year implies a slowdown from recent trends. A Zacks Rank #5 (Strong Sell) stock, J&J Snack Foods JJSF is a component of the Zacks Food – Miscellaneous industry group, which currently ranks in the bottom 43% out of approximately 250 Zacks Ranked Industries. As such, we expect this industry group as a whole to underperform the market over the next 3 to 6 months, just as it has over the past year: Image Source: Zacks Investment Research Stocks in the bottom tiers of industries can often be intriguing short candidates. While individual stocks have the ability to outperform even when they're part of a lagging industry, the inclusion in a weaker group serves as a headwind for any potential rallies and the journey forward is that much more difficult. JJSF shares have been underperforming over the past year. The stock is hitting a series of lower lows and represents a compelling short opportunity as we head further into 2025. J&J Snack Foods has fallen short of earnings estimates in each of the last four quarters. Just last week, the company reported fiscal second-quarter earnings of $0.35 per share, missing the Zacks Consensus Estimate by a whopping -49.3%. J&J Snack Foods has posted a trailing four-quarter average earnings miss of -28.1%. A drop in volume across larger segments like churros and pretzels dented first-quarter sales, causing a sharp drop in gross profit. Falling short of earnings estimates is a recipe for underperformance, and JJSF is no exception. The company has been on the receiving end of negative earnings estimate revisions as of late. Looking at the current quarter, analysts have slashed estimates by -12.06% in the past 60 days. The fiscal Q3 Zacks Consensus EPS Estimate is now $1.75 per share, reflecting negative growth of -11.6% relative to the year-ago period. Image Source: Zacks Investment Research Falling earnings estimates are a huge red flag and need to be respected. Negative growth year-over-year is the type of trend that bears like to see. As illustrated below, JJSF stock is in a sustained downtrend. Notice how the stock has made a series of lower lows, widely underperforming the major indices. Also note that shares are trading below downward-sloping 50-day (blue line) and 200-day (red line) moving averages – another good sign for the bears. Image Source: StockCharts JJSF stock has experienced what is known as a 'death cross,' whereby the stock's 50-day moving average crosses below its 200-day moving average. Shares would have to make an outsized move to the upside and show increasing earnings estimate revisions to warrant taking any long positions. The stock has fallen more than 20% this year alone. A deteriorating fundamental and technical backdrop show that this stock is not set to make its way to new highs anytime soon. The fact that JJSF is included in one of the worst-performing industry groups provides yet another headwind to a long list of concerns. A history of earnings misses and falling future earnings estimates will likely serve as a ceiling to any potential rallies, nurturing the stock's downtrend. Potential investors may want to give this stock the cold shoulder, or perhaps include it as part of a short or hedge strategy. Bulls will want to steer clear of JJSF until the situation shows major signs of improvement. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report J & J Snack Foods Corp. (JJSF) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-05-2025
- Business
- Yahoo
J&J Snack Foods (NASDAQ:JJSF) Reports Sales Below Analyst Estimates In Q1 Earnings, Stock Drops
Snack food company J&J Snack Foods (NASDAQ:JJSF) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 1% year on year to $356.1 million. Its non-GAAP profit of $0.35 per share was 48.5% below analysts' consensus estimates. Is now the time to buy J&J Snack Foods? Find out in our full research report. J&J Snack Foods (JJSF) Q1 CY2025 Highlights: Revenue: $356.1 million vs analyst estimates of $367.8 million (1% year-on-year decline, 3.2% miss) Adjusted EPS: $0.35 vs analyst expectations of $0.68 (48.5% miss) Adjusted EBITDA: $26.2 million vs analyst estimates of $35.69 million (7.4% margin, 26.6% miss) Operating Margin: 1.7%, down from 5% in the same quarter last year Free Cash Flow was $8.94 million, up from -$3.95 million in the same quarter last year Market Capitalization: $2.57 billion Dan Fachner, J&J Snack Foods Chairman, President, and CEO stated, 'J & J Snack Foods total net sales for our fiscal second quarter declined 1.0% to $356.1 million as compared to the prior year quarter, which primarily was driven by lower sales in our Frozen Beverage and Food Service segments, partly offset by growth in our Retail business." Company Overview Best known for its SuperPretzel soft pretzels and ICEE frozen drinks, J&J Snack Foods (NASDAQ:JJSF) produces a range of snacks and beverages and distributes them primarily to supermarket and food service customers. Sales Growth Examining a company's long-term performance can provide clues about its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. With $1.59 billion in revenue over the past 12 months, J&J Snack Foods is a small consumer staples company, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and negotiating leverage with retailers. On the bright side, it can grow faster because it has a longer list of untapped store chains to sell into. As you can see below, J&J Snack Foods's sales grew at a decent 8.3% compounded annual growth rate over the last three years. This shows its offerings generated slightly more demand than the average consumer staples company, a useful starting point for our analysis. J&J Snack Foods Quarterly Revenue This quarter, J&J Snack Foods missed Wall Street's estimates and reported a rather uninspiring 1% year-on-year revenue decline, generating $356.1 million of revenue. Looking ahead, sell-side analysts expect revenue to grow 4.6% over the next 12 months, a deceleration versus the last three years. This projection doesn't excite us and indicates its products will face some demand challenges.
Yahoo
28-04-2025
- Business
- Yahoo
1 Oversold Stock Ready to Bounce Back and 2 to Keep Off Your Radar
Rock-bottom prices don't always mean rock-bottom businesses. The stocks we're examining today have all touched their 52-week lows, creating a classic investor's dilemma: bargain opportunity or value trap? At StockStory, we dig beneath the surface of price movements to uncover whether a company's fundamentals justify its current valuation or suggest hidden potential. Keeping that in mind, here is one stock poised to prove the bears wrong and two where the skepticism is well-placed. One-Month Return: -1.2% Best known for its SuperPretzel soft pretzels and ICEE frozen drinks, J&J Snack Foods (NASDAQ:JJSF) produces a range of snacks and beverages and distributes them primarily to supermarket and food service customers. Why Does JJSF Fall Short? Revenue base of $1.59 billion puts it at a disadvantage compared to larger competitors exhibiting economies of scale Estimated sales growth of 3.6% for the next 12 months implies demand will slow from its three-year trend ROIC of 6.8% reflects management's challenges in identifying attractive investment opportunities At $128.52 per share, J&J Snack Foods trades at 22.5x forward price-to-earnings. Dive into our free research report to see why there are better opportunities than JJSF. One-Month Return: -3.2% With a workforce of approximately 774,000 people serving clients in more than 120 countries, Accenture (NYSE:ACN) is a professional services firm that helps organizations transform their businesses through consulting, technology, operations, and digital services. Why Are We Hesitant About ACN? Scale is a double-edged sword because it limits the company's growth potential compared to its smaller competitors, as reflected in its below-average annual revenue increases of 3.1% for the last two years 5.2 percentage point decline in its free cash flow margin over the last five years reflects the company's increased investments to defend its market position Diminishing returns on capital suggest its earlier profit pools are drying up Accenture is trading at $294.50 per share, or 22.6x forward price-to-earnings. To fully understand why you should be careful with ACN, check out our full research report (it's free). One-Month Return: -5.7% With locations often featuring Western-inspired decor, Texas Roadhouse (NASDAQ:TXRH) is an American restaurant chain specializing in Southern-style cuisine and steaks. Why Are We Bullish on TXRH? Offensive push to build new restaurants and attack its untapped market opportunities is backed by its same-store sales growth Customers are lining up to eat at its restaurants as the company's same-store sales growth averaged 9.1% over the past two years Free cash flow margin expanded by 2.7 percentage points over the last year, providing additional flexibility for investments and share buybacks/dividends Texas Roadhouse's stock price of $161.30 implies a valuation ratio of 22.5x forward price-to-earnings. Is now the right time to buy? See for yourself in our in-depth research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free. Sign in to access your portfolio
