Wendy’s (NASDAQ:WEN) Reaches New 1-Year Low – Time to Sell?

The Wendy’s Company (NASDAQ:WEN)’s stock price hit a new 52-week low on Friday . The stock traded as low as $13.57 and last traded at $13.54, with a volume of 753999 shares changing hands. The stock had previously closed at $14.07.

Wall Street Analysts Forecast Growth

Several research firms have commented on WEN. Barclays upped their target price on shares of Wendy’s from $16.00 to $17.00 and gave the stock an “equal weight” rating in a research report on Friday, March 7th. Stephens restated an “equal weight” rating and issued a $15.00 target price on shares of Wendy’s in a research report on Thursday, March 6th. Royal Bank of Canada reiterated a “sector perform” rating and set a $17.00 price target on shares of Wendy’s in a research report on Tuesday, March 4th. Argus raised Wendy’s to a “strong-buy” rating in a report on Tuesday, February 18th. Finally, The Goldman Sachs Group reduced their price objective on shares of Wendy’s from $17.00 to $15.00 and set a “sell” rating for the company in a report on Thursday, February 6th. Two investment analysts have rated the stock with a sell rating, twelve have assigned a hold rating, four have given a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $18.08.

Wendy’s Price Performance

The company has a current ratio of 1.85, a quick ratio of 1.83 and a debt-to-equity ratio of 12.48. The company has a market cap of $2.67 billion, a price-to-earnings ratio of 14.00, a P/E/G ratio of 2.00 and a beta of 0.61. The business has a 50-day moving average price of $14.97 and a 200 day moving average price of $16.65.

Wendy’s (NASDAQ:WEN) last announced its earnings results on Thursday, February 13th. The restaurant operator reported $0.25 EPS for the quarter, beating the consensus estimate of $0.24 by $0.01. The business had revenue of $574.27 million during the quarter, compared to the consensus estimate of $564.17 million. Wendy’s had a return on equity of 75.56% and a net margin of 8.65%. As a group, research analysts expect that The Wendy’s Company will post 0.99 earnings per share for the current fiscal year.

Wendy’s Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, March 17th. Stockholders of record on Monday, March 3rd were issued a dividend of $0.25 per share. The ex-dividend date was Monday, March 3rd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 7.52%. Wendy’s’s dividend payout ratio is currently 105.26%.

Hedge Funds Weigh In On Wendy’s

Several institutional investors and hedge funds have recently added to or reduced their stakes in WEN. Blue Trust Inc. boosted its position in shares of Wendy’s by 670.3% in the fourth quarter. Blue Trust Inc. now owns 1,402 shares of the restaurant operator’s stock worth $25,000 after buying an additional 1,220 shares during the period. SBI Securities Co. Ltd. purchased a new stake in Wendy’s in the 4th quarter worth about $30,000. Colonial Trust Co SC acquired a new stake in Wendy’s during the 4th quarter worth about $31,000. GAMMA Investing LLC grew its stake in Wendy’s by 168.1% during the 4th quarter. GAMMA Investing LLC now owns 2,233 shares of the restaurant operator’s stock valued at $36,000 after acquiring an additional 1,400 shares in the last quarter. Finally, Hillsdale Investment Management Inc. acquired a new position in shares of Wendy’s in the 4th quarter valued at about $46,000. 85.96% of the stock is currently owned by hedge funds and other institutional investors.

About Wendy’s

The Wendy’s Co engages in operating, developing, and franchising a system of quick-service restaurants. It operates through the following segments: Wendy’s U.S., Wendy’s International, and Global Real Estate and Development. The Wendy’s U.S. segment includes the operation and franchising of Wendy’s restaurants in the U.S.