Brokerages Anticipate Wendys Co (NASDAQ:WEN) to Post $0.10 EPS

Analysts forecast that Wendys Co (NASDAQ:WEN) will announce $0.10 earnings per share (EPS) for the current quarter, Zacks Investment Research reports. Ten analysts have made estimates for Wendys’ earnings, with estimates ranging from $0.08 to $0.12. Wendys reported earnings of $0.18 per share during the same quarter last year, which suggests a negative year-over-year growth rate of 44.4%. The firm is scheduled to announce its next earnings results on Wednesday, August 5th.

On average, analysts expect that Wendys will report full year earnings of $0.53 per share for the current year, with EPS estimates ranging from $0.40 to $0.61. For the next fiscal year, analysts anticipate that the company will report earnings of $0.66 per share, with EPS estimates ranging from $0.57 to $0.71. Zacks Investment Research’s earnings per share calculations are a mean average based on a survey of research firms that cover Wendys.

Wendys (NASDAQ:WEN) last announced its earnings results on Wednesday, May 6th. The restaurant operator reported $0.09 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.10 by ($0.01). Wendys had a net margin of 7.01% and a return on equity of 22.37%. The firm had revenue of $404.96 million during the quarter, compared to analysts’ expectations of $413.02 million. During the same period in the previous year, the firm earned $0.14 EPS. The firm’s revenue for the quarter was down .9% compared to the same quarter last year.

Several research firms have issued reports on WEN. Stephens upped their price objective on shares of Wendys from $21.00 to $24.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. SunTrust Banks upped their price objective on shares of Wendys from $20.00 to $23.00 and gave the company a “buy” rating in a research note on Thursday, May 7th. Royal Bank of Canada upped their price objective on shares of Wendys from $15.00 to $21.00 and gave the company a “sector perform” rating in a research note on Thursday, May 7th. BidaskClub upgraded shares of Wendys from a “hold” rating to a “buy” rating in a research note on Wednesday, April 29th. Finally, JPMorgan Chase & Co. increased their target price on shares of Wendys from $21.00 to $23.00 and gave the stock an “overweight” rating in a research note on Wednesday, June 24th. Two research analysts have rated the stock with a sell rating, thirteen have assigned a hold rating and sixteen have issued a buy rating to the company’s stock. The stock presently has a consensus rating of “Hold” and a consensus target price of $22.09.

NASDAQ:WEN traded up $0.60 during trading hours on Tuesday, hitting $21.66. The company’s stock had a trading volume of 2,443,000 shares, compared to its average volume of 4,313,010. The stock has a market capitalization of $4.82 billion, a P/E ratio of 42.47, a price-to-earnings-growth ratio of 5.77 and a beta of 1.23. The stock has a fifty day moving average of $21.45 and a 200-day moving average of $20.09. The company has a current ratio of 1.37, a quick ratio of 1.36 and a debt-to-equity ratio of 8.01. Wendys has a 52-week low of $6.82 and a 52-week high of $24.04.

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Monday, June 1st were paid a dividend of $0.05 per share. The ex-dividend date was Friday, May 29th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 0.92%. Wendys’s dividend payout ratio (DPR) is 33.90%.

In other news, CEO Todd Allan Penegor sold 300,054 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $21.23, for a total transaction of $6,370,146.42. Following the completion of the transaction, the chief executive officer now directly owns 844,992 shares of the company’s stock, valued at approximately $17,939,180.16. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CAO Leigh A. Burnside sold 71,118 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $20.30, for a total transaction of $1,443,695.40. Following the transaction, the chief accounting officer now directly owns 79,888 shares of the company’s stock, valued at $1,621,726.40. The disclosure for this sale can be found here. Over the last three months, insiders have sold 558,661 shares of company stock valued at $11,816,556. Corporate insiders own 20.90% of the company’s stock.

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. New Mexico Educational Retirement Board boosted its position in Wendys by 39.0% during the first quarter. New Mexico Educational Retirement Board now owns 43,800 shares of the restaurant operator’s stock worth $652,000 after acquiring an additional 12,300 shares during the last quarter. Guggenheim Capital LLC boosted its position in Wendys by 10.2% during the first quarter. Guggenheim Capital LLC now owns 296,471 shares of the restaurant operator’s stock worth $4,412,000 after acquiring an additional 27,377 shares during the last quarter. State of Tennessee Treasury Department boosted its holdings in shares of Wendys by 10.3% in the 1st quarter. State of Tennessee Treasury Department now owns 66,293 shares of the restaurant operator’s stock valued at $986,000 after purchasing an additional 6,199 shares during the last quarter. The Manufacturers Life Insurance Company boosted its holdings in shares of Wendys by 2.1% in the 1st quarter. The Manufacturers Life Insurance Company now owns 264,682 shares of the restaurant operator’s stock valued at $3,938,000 after purchasing an additional 5,340 shares during the last quarter. Finally, HighTower Advisors LLC boosted its holdings in shares of Wendys by 10.2% in the 1st quarter. HighTower Advisors LLC now owns 41,521 shares of the restaurant operator’s stock valued at $618,000 after purchasing an additional 3,829 shares during the last quarter. Hedge funds and other institutional investors own 67.68% of the company’s stock.

About Wendys

The Wendy's Company, together its subsidiaries, operates as a quick-service restaurant company. The company is involved in operating, developing, and franchising a system of quick-service restaurants specializing in hamburger sandwiches. As of December 30, 2018, its restaurant system included 6,711 franchise restaurants, which comprise 353 owned and operated restaurants worldwide.

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