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Wendy’s to Announce Quarterly Earnings on Thursday

by Nick
Wendy’s

Wendy’s (NASDAQ) will release its quarterly earnings data before the market opens on Thursday, August 1st. Analysts predict the company will report earnings of $0.28 per share for the quarter. Wendy’s has forecasted its FY24 earnings guidance to be between $0.98 and $1.02 per share. Interested parties can listen to the company’s conference call through this link.

Previous Earnings Report

Wendy’s last reported its earnings on Thursday, May 2nd. The company posted $0.23 earnings per share (EPS) for the quarter, which was $0.02 higher than the consensus estimate of $0.21. The revenue for the quarter was $534.80 million, slightly below the consensus estimate of $540.84 million. Wendy’s achieved a net margin of 9.44% and a return on equity of 62.68%. The company’s revenue increased by 1.1% compared to the same period last year, when it earned $0.21 per share.

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Analysts expect Wendy’s to post $1 EPS for both the current fiscal year and the next.

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Stock Performance

Wendy’s stock dropped 1.0%, opening at $16.59 on Thursday. The stock’s fifty-day moving average price is $17.01, and its two-hundred-day moving average price is $18.24. Wendy’s has a market capitalization of $3.40 billion, a price-to-earnings ratio of 16.76, a PEG ratio of 1.88, and a beta of 0.76. The company’s current ratio is 2.04, quick ratio is 2.02, and debt-to-equity ratio is 11.21. Wendy’s shares have ranged from a low of $15.61 to a high of $22.42 in the past year.

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Dividends

Wendy’s recently declared a quarterly dividend, paid on Monday, June 17th. Shareholders of record as of Monday, June 3rd received a $0.25 dividend. The ex-dividend date was Monday, June 3rd. This results in an annualized dividend of $1.00 and a yield of 6.03%. Wendy’s payout ratio stands at 101.01%.

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Insider Transactions

In recent insider news, CMO Juan Carlos Loredo sold 44,806 shares of Wendy’s stock on Thursday, May 9th. The shares were sold at an average price of $19.50, totaling $873,717.00. After this transaction, the chief marketing officer now owns 27,586 shares in the company, valued at approximately $537,927. This sale was disclosed in a filing with the SEC, accessible through this link. Corporate insiders own 17.10% of Wendy’s stock.

Analyst Ratings

Several research firms have issued ratings on Wendy’s. Citigroup increased its target price from $20.00 to $21.00, maintaining a “neutral” rating on May 3rd. The Goldman Sachs Group began coverage on Wendy’s on June 13th, giving the stock a “sell” rating with a $16.00 price objective. UBS Group raised its target price from $20.00 to $21.00, also giving a “neutral” rating on May 3rd. Loop Capital reiterated a “buy” rating with a $26.00 price target on July 15th.

BMO Capital Markets increased its price objective from $20.00 to $22.00, giving a “market perform” rating on May 3rd. Currently, one analyst has rated the stock as a “sell,” fourteen have issued a “hold” rating, and four have given a “buy” rating. According to MarketBeat, Wendy’s has an average rating of “Hold” and a consensus price target of $21.03.

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