Royal Bank Of Canada Forecasts Strong Price Appreciation for Wendy’s (NASDAQ:WEN) Stock

Wendy’s (NASDAQ:WEN) had its target price hoisted by analysts at Royal Bank Of Canada from $7.00 to $8.00 in a report released on Monday, Benzinga reports. The brokerage currently has a “sector perform” rating on the restaurant operator’s stock. Royal Bank Of Canada‘s target price would indicate a potential downside of 1.84% from the stock’s previous close.

Other equities research analysts have also issued research reports about the stock. Guggenheim reissued a “neutral” rating on shares of Wendy’s in a research note on Tuesday, September 15th. TD Cowen reaffirmed a “hold” rating and issued a $6.00 price target on shares of Wendy’s in a research note on Wednesday, October 28th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Wendy’s in a report on Thursday, October 15th. Citigroup increased their price objective on Wendy’s from $6.75 to $8.00 and gave the stock a “neutral” rating in a report on Friday. Finally, Morgan Stanley set a $5.50 price objective on Wendy’s in a research report on Monday, August 10th. One investment analyst has rated the stock with a Buy rating, eleven have given a Hold rating and six have issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $7.56.

Wendy’s Stock Performance

WEN stock opened at $8.15 on Monday. The firm has a 50 day simple moving average of $6.95 and a 200 day simple moving average of $7.36. Wendy’s has a 52 week low of $5.94 and a 52 week high of $10.12. The stock has a market cap of $1.55 billion, a P/E ratio of 15.98, a P/E/G ratio of 1.49 and a beta of 0.37. The company has a debt-to-equity ratio of 27.00, a quick ratio of 1.87 and a current ratio of 1.89.

Wendy’s (NASDAQ:WEN) last released its quarterly earnings data on Thursday, November 5th. The restaurant operator reported $0.13 earnings per share for the quarter, beating the consensus estimate of $0.09 by $0.04. The firm had revenue of $435.62 million for the quarter, compared to analyst estimates of $531.28 million. Wendy’s had a net margin of 4.40% and a return on equity of 93.77%. The company’s revenue for the quarter was down .5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.24 EPS. Research analysts anticipate that Wendy’s will post 0.50 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Wendy’s

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Global Retirement Partners LLC acquired a new stake in Wendy’s in the second quarter valued at approximately $27,000. Cassaday & Co Wealth Management LLC bought a new stake in Wendy’s in the first quarter worth approximately $30,000. Sterling Capital Management LLC grew its position in Wendy’s by 630.5% in the third quarter. Sterling Capital Management LLC now owns 5,245 shares of the restaurant operator’s stock worth $33,000 after acquiring an additional 4,527 shares in the last quarter. Nykredit A S acquired a new position in shares of Wendy’s during the 2nd quarter worth $37,000. Finally, Pavion Blue Capital LLC acquired a new position in shares of Wendy’s during the 3rd quarter worth $64,000. Institutional investors own 85.96% of the company’s stock.

About Wendy’s

The Wendy’s Company (NASDAQ: WEN) operates and franchises quick-service restaurants under the Wendy’s brand. Its restaurants are known for hamburgers made with fresh, never-frozen beef, along with chicken sandwiches, salads, fries, breakfast items, desserts, and beverages.

Founded by Dave Thomas in 1969, Wendy’s has grown into an international restaurant chain with locations primarily in the United States and Canada, as well as select markets in other countries. The company’s restaurant system includes both company-operated and franchised locations.

In addition to its restaurant operations, Wendy’s supports customers through digital ordering, delivery, loyalty programs, and mobile applications.