Analysts Set The Wendy’s Company (NASDAQ:WEN) Price Target at $7.76

The Wendy’s Company (NASDAQ:WEN) has been given a consensus recommendation of “Reduce” by the twenty-one research firms that are currently covering the company, MarketBeat Ratings reports. Six analysts have rated the stock with a sell recommendation, thirteen have issued a hold recommendation and two have given a buy recommendation to the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $7.7632.

A number of equities analysts have issued reports on the stock. Wall Street Zen upgraded shares of Wendy’s from a “sell” rating to a “hold” rating in a research report on Saturday, May 16th. JPMorgan Chase & Co. reiterated an “underweight” rating and set a $6.00 target price (down from $7.00) on shares of Wendy’s in a report on Monday, May 11th. BMO Capital Markets reissued a “market perform” rating on shares of Wendy’s in a research note on Monday, August 10th. Argus upgraded Wendy’s from a “hold” rating to a “buy” rating and set a $12.00 price target on the stock in a report on Wednesday, May 13th. Finally, Citigroup upped their price target on Wendy’s from $7.25 to $8.00 and gave the company a “neutral” rating in a research report on Monday, August 10th.

Wendy’s Stock Performance

NASDAQ:WEN opened at $8.27 on Monday. The company has a debt-to-equity ratio of 27.95, a quick ratio of 1.88 and a current ratio of 1.90. Wendy’s has a fifty-two week low of $6.07 and a fifty-two week high of $10.62. The firm has a market cap of $1.58 billion, a PE ratio of 12.53, a price-to-earnings-growth ratio of 0.70 and a beta of 0.37. The business has a 50 day moving average price of $7.89 and a 200-day moving average price of $7.46.

Wendy’s (NASDAQ:WEN) last issued its earnings results on Friday, August 7th. The restaurant operator reported $0.18 EPS for the quarter, topping the consensus estimate of $0.16 by $0.02. Wendy’s had a net margin of 5.72% and a return on equity of 115.31%. The company had revenue of $570.57 million for the quarter, compared to the consensus estimate of $557.13 million. During the same period in the previous year, the firm earned $0.29 earnings per share. The firm’s revenue for the quarter was up 1.8% on a year-over-year basis. Equities research analysts predict that Wendy’s will post 0.5 earnings per share for the current year.

Wendy’s Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be paid a dividend of $0.07 per share. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $0.28 annualized dividend and a dividend yield of 3.4%. Wendy’s’s payout ratio is 84.85%.

Hedge Funds Weigh In On Wendy’s

A number of hedge funds and other institutional investors have recently made changes to their positions in WEN. Global Retirement Partners LLC purchased a new position in Wendy’s during the 2nd quarter valued at $27,000. Hilton Head Capital Partners LLC bought a new stake in shares of Wendy’s during the fourth quarter valued at approximately $30,000. Fifth Third Bancorp grew its stake in Wendy’s by 161.0% in the fourth quarter. Fifth Third Bancorp now owns 3,829 shares of the restaurant operator’s stock worth $32,000 after purchasing an additional 2,362 shares during the period. Gen Wealth Partners Inc bought a new position in Wendy’s in the fourth quarter worth $33,000. Finally, Cassaday & Co Wealth Management LLC bought a new stake in shares of Wendy’s during the 1st quarter valued at $30,000. Institutional investors own 85.96% of the company’s stock.

Wendy’s Company Profile

The Wendy’s Company (NASDAQ:WEN) operates as a global quick-service restaurant chain, best known for its square-shaped beef patties, fresh ingredient sourcing and signature Frosty dessert. The company’s menu features a variety of hamburgers, chicken sandwiches, salads, breakfast sandwiches, sides and beverages, designed to appeal to a broad customer base seeking both classic and contemporary fast-food options. Wendy’s has placed particular emphasis on product innovation, introducing limited-time offerings and revamped core menu items to maintain customer interest and respond to evolving dining trends.

Founded in 1969 by entrepreneur Dave Thomas in Columbus, Ohio, Wendy’s expanded rapidly through both company-owned and franchised outlets.