Citigroup Issues Pessimistic Forecast for Wendy’s (NASDAQ:WEN) Stock Price

Wendy’s (NASDAQ:WEN) had its target price decreased by research analysts at Citigroup from $9.00 to $8.00 in a research note issued on Tuesday,Benzinga reports. The firm presently has a “neutral” rating on the restaurant operator’s stock. Citigroup’s target price points to a potential upside of 2.24% from the company’s current price.

Other analysts also recently issued reports about the stock. Mizuho dropped their target price on shares of Wendy’s from $8.00 to $7.00 and set an “underperform” rating on the stock in a report on Friday, January 9th. The Goldman Sachs Group cut their price objective on shares of Wendy’s from $9.00 to $8.00 and set a “sell” rating for the company in a research report on Wednesday, December 17th. Stifel Nicolaus cut their price target on shares of Wendy’s from $12.00 to $11.00 and set a “hold” rating for the company in a report on Friday, October 31st. JPMorgan Chase & Co. reissued a “neutral” rating and issued a $9.00 price target (down previously from $12.00) on shares of Wendy’s in a research note on Wednesday, December 3rd. Finally, Truist Financial cut their price target on Wendy’s from $12.00 to $11.00 and set a “buy” rating on the stock in a report on Thursday, January 8th. Four analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and five have issued a Sell rating to the company’s stock. According to data from MarketBeat, Wendy’s presently has an average rating of “Reduce” and an average target price of $10.14.

Wendy’s Stock Performance

Shares of NASDAQ WEN traded up $0.14 during trading hours on Tuesday, hitting $7.83. 1,906,574 shares of the stock were exchanged, compared to its average volume of 6,360,242. The firm has a market capitalization of $1.49 billion, a P/E ratio of 8.30, a P/E/G ratio of 1.49 and a beta of 0.38. Wendy’s has a one year low of $7.60 and a one year high of $16.20. The company has a debt-to-equity ratio of 26.89, a current ratio of 0.81 and a quick ratio of 0.80. The company’s 50 day moving average is $8.31 and its 200 day moving average is $9.10.

Wendy’s (NASDAQ:WEN) last released its earnings results on Friday, November 7th. The restaurant operator reported $0.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.20 by $0.04. Wendy’s had a return on equity of 125.74% and a net margin of 8.43%.The firm had revenue of $442.50 million for the quarter, compared to analyst estimates of $535.75 million. During the same quarter last year, the firm posted $0.25 EPS. The company’s 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. On average, research analysts expect that Wendy’s will post 0.99 EPS for the current year.

Hedge Funds Weigh In On Wendy’s

Several institutional investors have recently added to or reduced their stakes in the company. United Services Automobile Association bought a new position in Wendy’s during the first quarter valued at $161,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of Wendy’s by 1.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 639,085 shares of the restaurant operator’s stock valued at $9,350,000 after purchasing an additional 11,072 shares during the last quarter. Janney Montgomery Scott LLC boosted its stake in Wendy’s by 82.3% during the second quarter. Janney Montgomery Scott LLC now owns 72,636 shares of the restaurant operator’s stock worth $830,000 after buying an additional 32,792 shares during the period. Truist Financial Corp lifted its holdings in shares of Wendy’s by 54.7% in the 2nd quarter. Truist Financial Corp now owns 57,296 shares of the restaurant operator’s stock worth $654,000 after acquiring an additional 20,249 shares during the last quarter. Finally, Mirae Asset Global Investments Co. Ltd. boosted its position in shares of Wendy’s by 5.2% during the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 146,775 shares of the restaurant operator’s stock valued at $1,676,000 after buying an additional 7,237 shares during the period. Hedge funds and other 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.