The Wendy’s Company (NASDAQ:WEN) Given Average Recommendation of “Reduce” by Brokerages

Shares of The Wendy’s Company (NASDAQ:WEN) have received a consensus recommendation of “Reduce” from the twenty-three brokerages that are currently covering the company, MarketBeat reports. Six analysts have rated the stock with a sell recommendation, twelve have issued a hold recommendation and five have assigned a buy recommendation to the company. The average 1-year target price among brokerages that have issued a report on the stock in the last year is $8.5568.

WEN has been the subject of a number of analyst reports. Weiss Ratings restated a “sell (d+)” rating on shares of Wendy’s in a research report on Monday, April 20th. Stephens reduced their price target on Wendy’s from $9.00 to $8.00 and set an “equal weight” rating for the company in a research report on Friday, February 13th. Royal Bank Of Canada reduced their price target 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. Evercore set a $8.00 price target on Wendy’s in a research report on Tuesday, February 17th. Finally, TD Cowen restated a “hold” rating and issued a $6.00 price target on shares of Wendy’s in a research report on Tuesday, May 12th.

Wendy’s News Summary

Here are the key news stories impacting Wendy’s this week:

• Positive Sentiment: Wendy’s launched a Minions & Monsters promotional campaign featuring co-branded meals, new menu items, collectible toys, and a new banana-themed Frosty creation, which could boost customer interest and near-term sales. Wendy’s Partners With ‘Minions’ Franchise On Co-Branded Meals
• Positive Sentiment: Multiple reports highlighted strong consumer buzz around Wendy’s new limited-time meal and Frosty variant, suggesting the chain may be trying to drive engagement with a fresh value proposition. Wendys Unveils a New Meal and a First-Ever Frosty Creation Is This the Best Fast-Food Value of the Year?
• Neutral Sentiment: Coverage about short interest showed no meaningful new information, with reported short interest at zero shares, so it is unlikely to be a material driver for the stock today.
• Negative Sentiment: An analysis piece said Wendy’s self-service kiosks are creating customer-service issues, which could weigh on investor sentiment if the rollout hurts satisfaction or speeds up traffic declines. Analysis: Wendy’s kiosks create a customer-service problem

Institutional Trading of Wendy’s

A number of hedge funds and other institutional investors have recently bought and sold shares of WEN. Marshall Wace LLP purchased a new stake in Wendy’s in the third quarter worth about $36,912,000. Healthcare of Ontario Pension Plan Trust Fund purchased a new stake in Wendy’s in the first quarter worth about $26,062,000. AQR Capital Management LLC increased its position in Wendy’s by 38.1% in the fourth quarter. AQR Capital Management LLC now owns 11,705,610 shares of the restaurant operator’s stock worth $97,508,000 after buying an additional 3,227,366 shares in the last quarter. Wells Fargo & Company MN grew its position in shares of Wendy’s by 258.6% during the fourth quarter. Wells Fargo & Company MN now owns 4,224,648 shares of the restaurant operator’s stock worth $35,191,000 after purchasing an additional 3,046,517 shares in the last quarter. Finally, Renaissance Technologies LLC grew its position in shares of Wendy’s by 2,612.4% during the first quarter. Renaissance Technologies LLC now owns 2,340,282 shares of the restaurant operator’s stock worth $16,265,000 after purchasing an additional 2,254,000 shares in the last quarter. Hedge funds and other institutional investors own 85.96% of the company’s stock.

Wendy’s Stock Down 0.4%

Wendy’s stock opened at $6.71 on Wednesday. The stock has a market cap of $1.28 billion, a PE ratio of 8.60, a price-to-earnings-growth ratio of 0.49 and a beta of 0.38. The company has a debt-to-equity ratio of 29.25, a quick ratio of 1.81 and a current ratio of 1.83. Wendy’s has a one year low of $6.37 and a one year high of $12.51. The stock has a fifty day moving average of $7.17 and a 200 day moving average of $7.67.

Wendy’s (NASDAQ:WEN) last posted its quarterly earnings data on Friday, May 8th. The restaurant operator reported $0.12 EPS for the quarter, beating analysts’ consensus estimates of $0.10 by $0.02. The company had revenue of $432.30 million during the quarter, compared to analysts’ expectations of $518.03 million. Wendy’s had a return on equity of 136.46% and a net margin of 6.77%.Wendy’s’s revenue for the quarter was up 3.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.20 earnings per share. Wendy’s has set its FY 2026 guidance at 0.560-0.600 EPS. As a group, sell-side analysts predict that Wendy’s will post 0.58 EPS for the current year.

Wendy’s Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Monday, June 1st will be given a $0.14 dividend. The ex-dividend date is Monday, June 1st. This represents a $0.56 dividend on an annualized basis and a yield of 8.3%. Wendy’s’s dividend payout ratio is presently 71.79%.

About Wendy’s

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.