Wendy’s (NASDAQ:WEN) Reaches New 12-Month Low – What’s Next?

The Wendy’s Company (NASDAQ:WEN)’s share price reached a new 52-week low during trading 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.

Analysts Set New Price Targets

WEN has been the topic of a number of research reports. The Goldman Sachs Group dropped their price target on shares of Wendy’s from $17.00 to $15.00 and set a “sell” rating on the stock in a research note on Thursday, February 6th. Wedbush reaffirmed a “neutral” rating and set a $16.00 price target on shares of Wendy’s in a research note on Friday, March 7th. Argus upgraded Wendy’s to a “strong-buy” rating in a report on Tuesday, February 18th. Stifel Nicolaus dropped their price objective on Wendy’s from $17.00 to $16.00 and set a “hold” rating on the stock in a report on Wednesday, February 19th. Finally, Truist Financial reduced their target price on shares of Wendy’s from $22.00 to $19.00 and set a “buy” rating for the company in a research note on Friday, February 14th. Two equities research analysts have rated the stock with a sell rating, twelve have given a hold rating, four have issued a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $18.08.

Wendy’s Price Performance

The company has a debt-to-equity ratio of 12.48, a current ratio of 1.85 and a quick ratio of 1.83. The stock’s fifty day simple moving average is $14.97 and its 200-day simple moving average is $16.65. The company has a market capitalization of $2.67 billion, a P/E ratio of 14.00, a PEG ratio of 2.00 and a beta of 0.61.

Wendy’s (NASDAQ:WEN) last released its earnings results on Thursday, February 13th. The restaurant operator reported $0.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.24 by $0.01. Wendy’s had a return on equity of 75.56% and a net margin of 8.65%. The firm had revenue of $574.27 million for the quarter, compared to analyst estimates of $564.17 million. On average, equities analysts forecast that The Wendy’s Company will post 0.99 earnings per share for the current fiscal year.

Wendy’s Announces Dividend

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

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Versant Capital Management Inc grew its position in Wendy’s by 1,294.0% during the first quarter. Versant Capital Management Inc now owns 23,809 shares of the restaurant operator’s stock worth $348,000 after buying an additional 22,101 shares in the last quarter. Wealth Enhancement Advisory Services LLC grew its holdings in shares of Wendy’s by 85.5% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 279,041 shares of the restaurant operator’s stock worth $4,548,000 after purchasing an additional 128,579 shares in the last quarter. NorthCrest Asset Manangement LLC bought a new stake in shares of Wendy’s during the fourth quarter valued at approximately $184,000. Probity Advisors Inc. lifted its position in Wendy’s by 21.9% in the fourth quarter. Probity Advisors Inc. now owns 14,253 shares of the restaurant operator’s stock worth $232,000 after purchasing an additional 2,564 shares during the period. Finally, Neo Ivy Capital Management acquired a new stake in Wendy’s during the fourth quarter worth $3,723,000. Institutional investors own 85.96% of the company’s stock.

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.