Red Robin Gourmet Burgers, Inc. (NASDAQ:RRGB) is one of the most promising restaurant stocks to buy according to hedge funds.

TheFly reported on February 25 that RRGB released its earnings call for the twelve weeks and fifty-two weeks ended December 28, 2025. The report states that the company’s full-year revenues were $1,210.2 million compared to $1,248.6 million in 2024, and its overall revenues for Q4 2025 were $269.0 million, down from $285.2 million a year earlier. Revenues from restaurants totaled $1,189.8 million for the year and $263.8 million for the fourth quarter. Comparable restaurant revenue decreased by 3.1% in Q4 and 0.7% overall; decreases were 3.3% and 0.3%, respectively, when deferred loyalty revenue was excluded.
Additionally, Red Robin Gourmet Burgers, Inc. stated that its operating income was $2.8 million for the entire year, or 0.2% of revenues, and $4.0 million in Q4, or 1.5% of total revenues. With margins of 11.4% and 12.7%, restaurant-level operating profit was $30.2 million in Q4 and $151.5 million for the entire year. In Q4, the net loss was $10.1 million, and in 2025, it was $23.3 million. Adjusted EBITDA improved by 53% over 2024 to $11.8 million in Q4 and $69.7 million for the year.
For 2026, the corporation’s guidance includes comparable restaurant revenue growth of 0.5%–1.5%, restaurant-level operating profit of approximately 13.0%, adjusted EBITDA of $70–73 million, and capital expenditures of $25–30 million.
Red Robin Gourmet Burgers, Inc. is a U.S. casual dining chain known for gourmet burgers, bottomless steak fries, salads, and brews, operating over 500 restaurants across the United States and Canada.
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