Wendy’s (NASDAQ:WEN) Sets New 52-Week Low – Here’s Why

The Wendy’s Company (NASDAQ:WEN) shares hit a new 52-week low on Monday . The stock traded as low as $8.37 and last traded at $8.3750, with a volume of 4084106 shares trading hands. The stock had previously closed at $8.62.

Wall Street Analyst Weigh In

A number of research firms recently commented on WEN. Argus reaffirmed a “hold” rating on shares of Wendy’s in a research note on Tuesday, September 23rd. Barclays dropped their target price on Wendy’s from $11.00 to $9.00 and set an “equal weight” rating for the company in a research report on Wednesday, October 22nd. Stephens reiterated an “equal weight” rating on shares of Wendy’s in a report on Monday, August 11th. Citigroup raised Wendy’s from a “hold” rating to a “strong-buy” rating in a research note on Friday, August 8th. Finally, BTIG Research reaffirmed a “neutral” rating on shares of Wendy’s in a research report on Monday, September 15th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, sixteen have given a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $10.86.

Wendy’s Stock Down 2.6%

The company has a quick ratio of 1.43, a current ratio of 1.45 and a debt-to-equity ratio of 28.74. The stock has a market cap of $1.60 billion, a P/E ratio of 8.75, a P/E/G ratio of 1.63 and a beta of 0.38. The company’s 50 day moving average price is $9.11 and its two-hundred day moving average price is $10.41.

Wendy’s (NASDAQ:WEN) last released its quarterly earnings data on Friday, November 7th. The restaurant operator reported $0.24 EPS for the quarter, topping the consensus estimate of $0.20 by $0.04. Wendy’s had a return on equity of 103.07% and a net margin of 8.63%.The company had revenue of $442.50 million for the quarter, compared to the consensus estimate of $535.75 million. During the same period last year, the business posted $0.25 EPS. Wendy’s’s quarterly revenue was down 3.0% on a year-over-year basis. Wendy’s has set its FY 2025 guidance at 0.820-0.890 EPS. As a group, research analysts expect that The Wendy’s Company will post 0.99 earnings per share for the current year.

Wendy’s Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 15th. Investors of record on Monday, December 1st will be issued a $0.14 dividend. This represents a $0.56 annualized dividend and a dividend yield of 6.7%. The ex-dividend date is Monday, December 1st. Wendy’s’s payout ratio is presently 59.57%.

Institutional Investors Weigh In On Wendy’s

Large investors have recently modified their holdings of the business. Marshall Wace LLP bought a new position in shares of Wendy’s during the third quarter valued at approximately $36,912,000. AQR Capital Management LLC lifted its holdings in Wendy’s by 30.1% during the second quarter. AQR Capital Management LLC now owns 13,843,438 shares of the restaurant operator’s stock worth $158,092,000 after buying an additional 3,205,269 shares during the period. Arrowstreet Capital Limited Partnership boosted its position in Wendy’s by 61.3% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 5,041,012 shares of the restaurant operator’s stock valued at $57,568,000 after acquiring an additional 1,915,465 shares in the last quarter. Norges Bank purchased a new position in shares of Wendy’s in the 2nd quarter valued at $18,929,000. Finally, Northern Trust Corp raised its position in shares of Wendy’s by 89.6% in the 1st quarter. Northern Trust Corp now owns 2,987,332 shares of the restaurant operator’s stock worth $43,705,000 after acquiring an additional 1,411,912 shares in the last quarter. Institutional investors own 85.96% of the company’s stock.

Wendy’s Company Profile

The Wendy’s Co engages in operating, developing, and franchising a system of quick-service restaurants. It operates through the following segments: Wendy’s U.S., Wendy’s International, and Global Real Estate and Development. The Wendy’s U.S. segment includes the operation and franchising of Wendy’s restaurants in the U.S.