Zacks Research Comments on Wendy’s’ Q3 Earnings (NASDAQ:WEN)

The Wendy’s Company (NASDAQ:WEN) – Stock analysts at Zacks Research cut their Q3 2026 earnings estimates for Wendy’s in a research note issued to investors on Friday, August 21st. Zacks Research analyst Team now forecasts that the restaurant operator will post earnings of $0.12 per share for the quarter, down from their prior forecast of $0.15. The consensus estimate for Wendy’s’ current full-year earnings is $0.51 per share. Zacks Research also issued estimates for Wendy’s’ Q4 2026 earnings at $0.11 EPS, FY2026 earnings at $0.53 EPS, Q2 2027 earnings at $0.15 EPS, Q4 2027 earnings at $0.14 EPS, FY2027 earnings at $0.54 EPS, Q1 2028 earnings at $0.12 EPS, Q2 2028 earnings at $0.16 EPS and FY2028 earnings at $0.57 EPS.

Several other research firms have also issued reports on WEN. TD Cowen reiterated a “hold” rating and set a $6.00 target price on shares of Wendy’s in a report on Tuesday, May 12th. UBS Group restated a “neutral” rating and issued a $8.00 price target on shares of Wendy’s in a research note on Monday, August 10th. Stephens reaffirmed an “equal weight” rating and set a $8.00 price target on shares of Wendy’s in a research report on Tuesday, June 23rd. Argus upgraded Wendy’s from a “hold” rating to a “buy” rating and set a $12.00 price objective on the stock in a research note on Wednesday, May 13th. Finally, BMO Capital Markets reissued a “market perform” rating on shares of Wendy’s in a report on Monday, August 10th. Two investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and six have given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus price target of $7.76.

Wendy’s Price Performance

Shares of NASDAQ WEN opened at $9.12 on Monday. The company has a debt-to-equity ratio of 27.95, a current ratio of 1.90 and a quick ratio of 1.88. The business has a 50-day moving average of $7.80 and a 200-day moving average of $7.45. The stock has a market capitalization of $1.74 billion, a price-to-earnings ratio of 13.82, a PEG ratio of 0.72 and a beta of 0.37. Wendy’s has a fifty-two week low of $6.07 and a fifty-two week high of $10.62.

Wendy’s (NASDAQ:WEN) last issued its quarterly earnings results on Friday, August 7th. The restaurant operator reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.16 by $0.02. Wendy’s had a net margin of 5.72% and a return on equity of 115.31%. The firm had revenue of $570.57 million for the quarter, compared to analyst estimates of $557.13 million. During the same period in the previous year, the business earned $0.29 EPS. The company’s revenue was up 1.8% compared to the same quarter last year.

Institutional Investors Weigh In On Wendy’s

Several hedge funds have recently bought and sold shares of WEN. Trian Fund Management L.P. acquired a new position in Wendy’s during the second quarter worth approximately $252,583,000. BlackRock Inc. lifted its position in shares of Wendy’s by 21.1% in the second quarter. BlackRock Inc. now owns 26,314,724 shares of the restaurant operator’s stock valued at $218,149,000 after buying an additional 4,576,075 shares during the last quarter. Marshall Wace LLP acquired a new stake in shares of Wendy’s in the third quarter valued at approximately $36,912,000. Healthcare of Ontario Pension Plan Trust Fund bought a new position in shares of Wendy’s during the 1st quarter worth approximately $26,062,000. Finally, AQR Capital Management LLC boosted its stake in shares of Wendy’s by 38.1% during the 4th quarter. AQR Capital Management LLC now owns 11,705,610 shares of the restaurant operator’s stock worth $97,508,000 after acquiring an additional 3,227,366 shares during the period. 85.96% of the stock is currently owned by institutional investors and hedge funds.

Wendy’s Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be issued a $0.07 dividend. This represents a $0.28 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date of this dividend is Tuesday, September 1st. Wendy’s’s dividend payout ratio is presently 84.85%.

Key Stories Impacting Wendy’s

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

• Positive Sentiment: Wendy’s appointed former McDonald’s executive Tariq Hassan to the newly created role of chief marketing and customer growth officer. The hire is intended to strengthen marketing, improve customer traffic and support the company’s turnaround strategy. The Wendy’s Company Names Tariq Hassan Chief Marketing and Customer Growth Officer
• Positive Sentiment: Management is refocusing on food quality after acknowledging that cost-cutting allowed Wendy’s to lose ground to competitors. Plans to improve menu quality and “get back in the burger fight” could help rebuild brand perception, traffic and same-store sales over time. Wendy’s CEO Says Food Quality Hasn’t Been Chain’s Top Priority—Vows Changes
• Positive Sentiment: A limited-time promotion offering 10 nuggets for $1.99 may drive near-term customer visits and increase trial among value-conscious consumers. Wendy’s Launches $1.99 10-Piece Nuggets Deal
• Neutral Sentiment: The reported short-interest update shows zero shares short both before and after the measurement period, with a zero-day days-to-cover ratio. Because the data also reports an undefined percentage change, it provides no meaningful signal about short-covering or bearish positioning.
• Negative Sentiment: The $1.99 nugget offer could pressure restaurant-level margins if it encourages discount-driven sales rather than profitable incremental traffic; the deal also includes eligibility restrictions and is available only for a limited time. Wendy’s Customers Can Now Get 10 Nuggets for $1.99
• Negative Sentiment: Zacks issued a negative outlook for Wendy’s earnings, adding pressure to a stock whose turnaround still depends on improving traffic, food quality and profitability.

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.