Wendy’s (NASDAQ:WEN)‘s stock had its “buy” rating reiterated by equities researchers at Argus in a research note issued to investors on Thursday. They currently have a $16.34 price target on the restaurant operator’s stock, down from their prior price target of $19.00.
Several other research analysts have also recently commented on WEN. Zacks Investment Research raised Wendy’s from a “sell” rating to a “hold” rating and set a $19.00 price target for the company in a research report on Thursday, May 10th. Mizuho assumed coverage on Wendy’s in a research report on Thursday, March 15th. They set a “buy” rating and a $19.00 price target for the company. BidaskClub raised Wendy’s from a “strong sell” rating to a “sell” rating in a research report on Friday, March 9th. Oppenheimer assumed coverage on Wendy’s in a research report on Monday, March 19th. They set a “market perform” rating for the company. Finally, Citigroup increased their price target on Wendy’s from $17.00 to $19.00 and gave the company a “buy” rating in a research report on Monday, March 5th. One research analyst has rated the stock with a sell rating, eleven have given a hold rating and ten have issued a buy rating to the company’s stock. Wendy’s currently has an average rating of “Hold” and a consensus price target of $17.72.
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Shares of NASDAQ WEN opened at $16.34 on Thursday. Wendy’s has a 52 week low of $16.32 and a 52 week high of $16.60. The company has a quick ratio of 1.76, a current ratio of 1.77 and a debt-to-equity ratio of 6.00. The company has a market cap of $3.95 billion, a P/E ratio of 38.00, a P/E/G ratio of 1.53 and a beta of 0.76.
Wendy’s (NASDAQ:WEN) last issued its quarterly earnings results on Wednesday, February 21st. The restaurant operator reported $0.11 EPS for the quarter, missing the consensus estimate of $0.12 by ($0.01). Wendy’s had a net margin of 14.55% and a return on equity of 23.01%. The company had revenue of $309.25 million for the quarter. During the same period in the previous year, the business earned $0.08 earnings per share. The business’s revenue was down .2% on a year-over-year basis. equities research analysts anticipate that Wendy’s will post 0.55 EPS for the current year.
Wendy’s announced that its board has initiated a stock repurchase plan on Thursday, February 15th that allows the company to repurchase $175.00 million in outstanding shares. This repurchase authorization allows the restaurant operator to reacquire shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.
In related news, CFO Gunther Plosch acquired 5,000 shares of the stock in a transaction on Wednesday, March 7th. The shares were purchased at an average price of $16.62 per share, for a total transaction of $83,100.00. Following the purchase, the chief financial officer now directly owns 25,000 shares in the company, valued at $415,500. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, major shareholder Trian Partners Parallel Fund I sold 5,000,000 shares of the firm’s stock in a transaction on Monday, February 26th. The stock was sold at an average price of $16.50, for a total value of $82,500,000.00. Following the transaction, the insider now owns 5,409,971 shares in the company, valued at approximately $89,264,521.50. The disclosure for this sale can be found here. Insiders sold 9,434,832 shares of company stock worth $155,809,973 in the last 90 days. Corporate insiders own 23.10% of the company’s stock.
Institutional investors have recently bought and sold shares of the business. Wells Fargo & Company MN increased its stake in Wendy’s by 7.4% during the 4th quarter. Wells Fargo & Company MN now owns 8,547,151 shares of the restaurant operator’s stock worth $140,344,000 after acquiring an additional 587,113 shares during the period. Schwab Charles Investment Management Inc. increased its stake in Wendy’s by 5.8% during the 4th quarter. Schwab Charles Investment Management Inc. now owns 736,132 shares of the restaurant operator’s stock worth $12,088,000 after acquiring an additional 40,357 shares during the period. Raymond James Financial Services Advisors Inc. increased its stake in Wendy’s by 15.1% during the 4th quarter. Raymond James Financial Services Advisors Inc. now owns 32,698 shares of the restaurant operator’s stock worth $537,000 after acquiring an additional 4,298 shares during the period. Jennison Associates LLC increased its stake in Wendy’s by 1.0% during the 4th quarter. Jennison Associates LLC now owns 1,941,802 shares of the restaurant operator’s stock worth $31,884,000 after acquiring an additional 18,756 shares during the period. Finally, State of Alaska Department of Revenue bought a new position in Wendy’s during the 4th quarter worth $220,000. Hedge funds and other institutional investors own 80.08% of the company’s stock.
Wendy’s Company Profile
The Wendy's Company, through its subsidiaries, operates as a quick-service restaurant company. It is involved in operating, developing, and franchising a system of quick-service restaurants specializing in hamburger sandwiches. The company's restaurants offer a range of chicken breast sandwiches, chicken nuggets, chili, French fries, baked potatoes, salads, soft drinks, desserts, and kids' meals.