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MarketFoolery

50 Shades of GrubHub

MarketFoolery

The Motley Fool

Money, Business, Motley, Business News, Stocks, News, Investing, Market, Fool

4.71.7K Ratings

🗓️ 29 October 2019

⏱️ 24 minutes

🧾️ Download transcript

Summary

Alphabet falls slightly on lower 3rd-quarter profits. Texas Roadhouse’s stock pops 20% on strong 3rd-quarter results. And GrubHub sinks more than 40% after a disastrous report comes with a warning from the CEO about “promiscuous” customers. Bill Barker analyzes those stories and shares why Reese’s Peanut Butter Cups are overrated and Candy Corn is underrated. (To get 50% off our Stock Advisor service, go to www.StockIdeas.Fool.com.)

Transcript

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0:00.0

It's Tuesday, October 29th.

0:04.0

Welcome to Market Foolery.

0:05.0

I'm Chris Hill joining me in studio from M-Fam Funds.

0:08.0

It's Bill Barker.

0:09.0

Thanks for being here.

0:10.0

Thanks for having me.

0:11.0

If you like eating at restaurants or having food delivered to you, we've got two stocks

0:15.5

in those categories.

0:16.6

I would just add parenthetically, they are going very much in opposite direction today. We're going to start though with alphabet. at It looks to me like a speed bump, but you looked at it more closely than I did.

0:34.5

Why would you assume that?

0:35.9

Well, I'll tell you why.

0:38.9

They were light on earnings.

0:40.3

Everything else was essentially as expected. You're not giving yourself enough credit.

0:44.0

Look at you revealing how closely you've looked at it already.

0:47.0

I don't want for one second for anyone listening to this podcast to think for one second, then I'm an analyst.

0:57.2

Over the years I've gotten that comment from Times, you know, you're a financial analyst,

1:00.4

no, I'm not. I'm really not. What do you call yourself at parties? I don't really go to

1:08.6

parties. Let's get back to Alphabet's third quarter. This did look like they missed on earnings. Everything else.

1:15.3

Revenue was sort of in line with expectations. The different divisions seem to be

1:20.6

performing about as expected. They didn't really do anything radical to the guidance.

1:25.2

And so that's why I look at this and say, okay, yeah, I get why the stock is down 2% for a company

1:31.4

and a business that has otherwise been crushing it for the last 15 years?

...

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