usatoday.com – Americans crave hamburgers as much as ever — but that’s not helping the fortunes of Red Robin Gourmet Burgers.
The casual-dining chain — nice mid-market eateries with comfy booths, burger-heavy menus and lots of bar action — became one of the latest casualties of the revival of fast food.
Competition from fast-food burger chains was a key reason that Red Robin’s stock plummeted more than 20% in after-market trading Monday after a poor earnings report. The casual dining chain’s third-quarter earnings failed to meet analysts’ expectations.
Red Robin is suffering along with the rest of the so-called casual-dining segment, which is losing business to cheaper fast-food chains’ expanded menu offerings.
Prob took a hit for other reasons as well….bottomless fries aren’t gonna keep getting it done.