JPMorgan Chase & Co. Cuts Wendy’s (NASDAQ:WEN) Price Target to $7.00

Wendy’s (NASDAQ:WEN) had its target price reduced by JPMorgan Chase & Co. from $9.00 to $7.00 in a report released on Monday morning,Benzinga reports. JPMorgan Chase & Co. currently has a neutral rating on the restaurant operator’s stock.

Several other analysts also recently commented on the stock. Mizuho lowered their target price on shares of Wendy’s from $8.00 to $7.00 and set an “underperform” rating for the company in a report on Friday, January 9th. Stifel Nicolaus set a $8.00 price objective on shares of Wendy’s in a research report on Monday, February 16th. The Goldman Sachs Group dropped their target price on shares of Wendy’s from $8.00 to $7.00 and set a “sell” rating on the stock in a research report on Tuesday, February 17th. Weiss Ratings restated a “sell (d+)” rating on shares of Wendy’s in a research note on Wednesday, January 21st. Finally, Morgan Stanley reaffirmed an “underweight” rating and set a $7.00 price target on shares of Wendy’s in a research report on Monday, February 16th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, sixteen have assigned a Hold rating and five have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $9.30.

Wendy’s Trading Down 3.1%

WEN opened at $7.49 on Monday. Wendy’s has a fifty-two week low of $6.73 and a fifty-two week high of $15.97. The firm has a market capitalization of $1.43 billion, a PE ratio of 8.81, a P/E/G ratio of 2.18 and a beta of 0.38. The company has a debt-to-equity ratio of 28.77, a current ratio of 1.76 and a quick ratio of 1.74. The company’s 50-day moving average is $8.10 and its 200 day moving average is $8.81.

Wendy’s (NASDAQ:WEN) last released its quarterly earnings results on Friday, February 13th. The restaurant operator reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.14 by $0.02. The business had revenue of $439.60 million during the quarter, compared to the consensus estimate of $537.11 million. Wendy’s had a return on equity of 145.93% and a net margin of 7.58%.The company’s quarterly revenue was down 5.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.25 EPS. Wendy’s has set its FY 2026 guidance at 0.560-0.600 EPS. As a group, research analysts predict that Wendy’s will post 0.99 earnings per share for the current fiscal year.

Wendy’s Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Monday, March 2nd will be given a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 7.5%. The ex-dividend date of this dividend is Monday, March 2nd. Wendy’s’s dividend payout ratio (DPR) is currently 65.88%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. AQR Capital Management LLC raised its stake in Wendy’s by 30.1% in the 2nd quarter. AQR Capital Management LLC now owns 13,843,438 shares of the restaurant operator’s stock valued at $158,092,000 after acquiring an additional 3,205,269 shares during the period. Charles Schwab Investment Management Inc. raised its position in shares of Wendy’s by 3.3% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 7,091,847 shares of the restaurant operator’s stock valued at $59,075,000 after purchasing an additional 227,023 shares during the period. Morgan Stanley lifted its stake in shares of Wendy’s by 5.8% during the 4th quarter. Morgan Stanley now owns 6,549,066 shares of the restaurant operator’s stock valued at $54,554,000 after buying an additional 357,814 shares in the last quarter. State Street Corp boosted its holdings in Wendy’s by 1.9% in the 4th quarter. State Street Corp now owns 5,446,335 shares of the restaurant operator’s stock worth $45,368,000 after buying an additional 102,084 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its stake in Wendy’s by 61.3% in 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 buying an additional 1,915,465 shares in the last quarter. 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.