The Wendy’s Company (NASDAQ:WEN) Stock Has Consensus Price Target of $7.56

The Wendy’s Company (NASDAQ:WEN) has been given an average rating of “Reduce” by the seventeen ratings firms that are presently covering the firm, MarketBeat Ratings reports. Six investment analysts have rated the stock with a sell rating, ten have given a hold rating and one has assigned a buy rating to the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $7.56.

WEN has been the subject of a number of research reports. Guggenheim reissued a “neutral” rating on shares of Wendy’s in a report on Tuesday, September 15th. Argus lowered shares of Wendy’s from a “buy” rating to a “sell” rating in a report on Thursday, October 29th. BMO Capital Markets reaffirmed a “market perform” rating on shares of Wendy’s in a report on Friday, November 6th. Royal Bank Of Canada upped their price objective on shares of Wendy’s from $7.00 to $8.00 and gave the stock a “sector perform” rating in a research report on Monday. Finally, Citigroup increased their price objective on shares of Wendy’s from $6.75 to $8.00 and gave the company a “neutral” rating in a research note on Friday, November 6th.

Latest Wendy’s News

Here’s some of the latest news about WEN:

• Positive Sentiment: Wendy’s is revamping its menu, including efforts to improve burgers and Frostys, and making breakfast optional for franchisees to support restaurant profitability. It has also agreed to acquire up to 163 restaurants—moves that could help its turnaround, though results will depend on execution. Wendy’s promises better-tasting burgers and Frostys, plus big news about breakfast Wendy’s: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Wendy’s rejected Nelson Peltz’s reported $1.4 billion takeover bid. That removes a potential transaction catalyst; the longer-term effect depends on the company’s standalone plans and the bid’s terms. Wendy’s Rejects Nelson Peltz’s $1.4 Billion Takeover Bid
• Negative Sentiment: A review of Wendy’s new $8 value meal was critical, raising questions about whether its value offering will satisfy customers. It is an individual review, not broad evidence of consumer response. I tried Wendy’s new $8 value meal

Wendy’s Price Performance

Wendy’s stock opened at $8.34 on Friday. The company has a debt-to-equity ratio of 27.00, a quick ratio of 1.87 and a current ratio of 1.89. Wendy’s has a 52 week low of $5.94 and a 52 week high of $9.45. The stock has a market capitalization of $1.59 billion, a P/E ratio of 16.35, a price-to-earnings-growth ratio of 1.50 and a beta of 0.37. The stock has a fifty day moving average of $6.96 and a 200-day moving average of $7.36.

Wendy’s (NASDAQ:WEN) last released its quarterly earnings data on Thursday, November 5th. The restaurant operator reported $0.13 earnings per share for the quarter, beating the consensus estimate of $0.09 by $0.04. Wendy’s had a return on equity of 93.77% and a net margin of 4.40%. The business had revenue of $435.62 million for the quarter, compared to analyst estimates of $531.28 million. During the same period last year, the firm posted $0.24 earnings per share. Wendy’s’s revenue was down .5% compared to the same quarter last year. On average, sell-side analysts expect that Wendy’s will post 0.51 earnings per share for the current fiscal year.

Wendy’s Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a dividend of $0.07 per share. This represents a $0.28 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Tuesday, December 1st. Wendy’s’s payout ratio is presently 54.90%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Global Retirement Partners LLC acquired a new stake in shares of Wendy’s during the 2nd quarter valued at $27,000. Cassaday & Co Wealth Management LLC bought a new stake in Wendy’s during the 1st quarter worth $30,000. Sterling Capital Management LLC grew its position in Wendy’s by 630.5% during the 3rd quarter. Sterling Capital Management LLC now owns 5,245 shares of the restaurant operator’s stock worth $33,000 after acquiring an additional 4,527 shares during the last quarter. Nykredit A S acquired a new position in Wendy’s in the 2nd quarter worth about $37,000. Finally, Pavion Blue Capital LLC acquired a new position in Wendy’s in the 3rd quarter worth about $64,000. 85.96% of the stock is currently owned by institutional investors and hedge funds.

Wendy’s Company Profile

The Wendy’s Company operates and franchises quick-service restaurants under the Wendy’s name. Founded by Dave Thomas in Columbus, Ohio, in 1969, the chain is known for hamburgers made with fresh, never-frozen beef in the United States, along with chicken sandwiches, nuggets, fries, salads and its signature Frosty dessert. Wendy’s restaurants also offer breakfast items and a range of beverages. The company serves customers in the United States and international markets through a mix of company-operated and franchised locations.