Wendy’s (NASDAQ:WEN) Cut to “Sell” at Wall Street Zen

Wall Street Zen downgraded shares of Wendy’s (NASDAQ:WEN) from a hold rating to a sell rating in a research report report published on Saturday.

Several other equities analysts have also commented on WEN. Mizuho lowered their price target on shares of Wendy’s from $8.00 to $7.00 and set an “underperform” rating for the company in a research report on Friday, January 9th. BMO Capital Markets decreased their target price on shares of Wendy’s from $11.00 to $9.00 and set a “market perform” rating for the company in a research report on Tuesday, February 17th. Stephens dropped their price target on shares of Wendy’s from $9.00 to $8.00 and set an “equal weight” rating on the stock in a research note on Friday, February 13th. Royal Bank Of Canada reduced their price objective on Wendy’s from $8.50 to $8.00 and set a “sector perform” rating for the company in a research report on Tuesday, February 17th. Finally, JPMorgan Chase & Co. reissued a “neutral” rating and issued a $9.00 price objective (down from $12.00) on shares of Wendy’s in a report on Wednesday, December 3rd. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, sixteen have issued a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $9.30.

Wendy’s Trading Down 4.0%

NASDAQ WEN opened at $7.77 on Friday. The company has a debt-to-equity ratio of 28.77, a quick ratio of 1.74 and a current ratio of 1.76. Wendy’s has a one year low of $6.73 and a one year high of $16.20. The company has a 50-day simple moving average of $8.13 and a 200-day simple moving average of $8.84. The firm has a market capitalization of $1.48 billion, a PE ratio of 9.14, a price-to-earnings-growth ratio of 2.26 and a beta of 0.38.

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

Wendy’s Announces Dividend

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 7.2%. The ex-dividend date is Monday, March 2nd. Wendy’s’s dividend payout ratio is 65.88%.

Institutional Trading of Wendy’s

A number of hedge funds and other institutional investors have recently modified their holdings of WEN. Hantz Financial Services Inc. increased its stake in shares of Wendy’s by 5.6% in the 2nd quarter. Hantz Financial Services Inc. now owns 19,697 shares of the restaurant operator’s stock valued at $225,000 after buying an additional 1,036 shares during the period. Steward Partners Investment Advisory LLC lifted its stake in shares of Wendy’s by 35.0% during the second quarter. Steward Partners Investment Advisory LLC now owns 4,017 shares of the restaurant operator’s stock valued at $46,000 after acquiring an additional 1,041 shares during the period. Police & Firemen s Retirement System of New Jersey boosted its holdings in Wendy’s by 1.8% in the second quarter. Police & Firemen s Retirement System of New Jersey now owns 63,577 shares of the restaurant operator’s stock valued at $726,000 after acquiring an additional 1,094 shares during the last quarter. Earned Wealth Advisors LLC boosted its holdings in Wendy’s by 10.8% in the third quarter. Earned Wealth Advisors LLC now owns 11,814 shares of the restaurant operator’s stock valued at $108,000 after acquiring an additional 1,151 shares during the last quarter. Finally, Vanguard Personalized Indexing Management LLC increased its position in Wendy’s by 5.6% in the second quarter. Vanguard Personalized Indexing Management LLC now owns 24,038 shares of the restaurant operator’s stock worth $275,000 after purchasing an additional 1,276 shares during the period. 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.