Wendy’s (NASDAQ:WEN) Issues Quarterly Earnings Results, Beats Expectations By $0.04 EPS

Wendy’s (NASDAQ:WEN) released its earnings results on Friday. The restaurant operator reported $0.24 EPS for the quarter, topping analysts’ consensus estimates of $0.20 by $0.04, Zacks reports. The company had revenue of $442.50 million for the quarter, compared to analysts’ expectations of $535.75 million. Wendy’s had a net margin of 8.63% and a return on equity of 103.07%. The firm’s revenue was down 3.0% compared to the same quarter last year. During the same quarter last year, the business earned $0.25 EPS. Wendy’s updated its FY 2025 guidance to 0.820-0.890 EPS.

Wendy’s Price Performance

Shares of NASDAQ:WEN traded up $0.14 during mid-day trading on Friday, reaching $8.97. The stock had a trading volume of 20,315,424 shares, compared to its average volume of 6,216,775. The business’s 50 day moving average price is $9.30 and its 200 day moving average price is $10.61. Wendy’s has a 1 year low of $8.39 and a 1 year high of $19.97. The company has a market cap of $1.71 billion, a P/E ratio of 9.34, a price-to-earnings-growth ratio of 1.63 and a beta of 0.38. The company has a current ratio of 1.45, a quick ratio of 1.43 and a debt-to-equity ratio of 28.74.

Analyst Upgrades and Downgrades

Several analysts have recently commented on WEN shares. Northcoast Research downgraded shares of Wendy’s from a “neutral” rating to a “sell” rating and set a $7.00 price objective on the stock. in a research report on Thursday, September 25th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Wendy’s in a research note on Wednesday, October 8th. JPMorgan Chase & Co. boosted their price objective on Wendy’s from $13.00 to $14.00 and gave the company an “overweight” rating in a research report on Thursday, August 28th. Stephens reiterated an “equal weight” rating on shares of Wendy’s in a research report on Monday, August 11th. Finally, Argus reissued a “hold” rating on shares of Wendy’s in a research note on Tuesday, September 23rd. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, fourteen have assigned a Hold rating and five have assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $11.40.

Institutional Trading of Wendy’s

Hedge funds have recently modified their holdings of the company. AQR Capital Management LLC boosted its position in shares of Wendy’s by 30.1% during the 2nd quarter. AQR Capital Management LLC now owns 13,843,438 shares of the restaurant operator’s stock valued at $158,092,000 after acquiring an additional 3,205,269 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Wendy’s by 5.6% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 932,711 shares of the restaurant operator’s stock valued at $10,652,000 after purchasing an additional 49,152 shares in the last quarter. Cubist Systematic Strategies LLC lifted its position in Wendy’s by 84.6% during the second quarter. Cubist Systematic Strategies LLC now owns 931,409 shares of the restaurant operator’s stock valued at $10,637,000 after purchasing an additional 426,767 shares during the last quarter. JCP Investment Management LLC purchased a new position in shares of Wendy’s in the 2nd quarter worth $8,644,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Wendy’s by 1.8% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 639,085 shares of the restaurant operator’s stock worth $9,350,000 after buying an additional 11,072 shares in the last quarter. 85.96% of the stock is owned by hedge funds and other institutional investors.

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.