Fintel reports that on September 12, 2023, Wedbush reiterated coverage of Wendy`s Co - (NASDAQ:WEN) with a Outperform recommendation.
Analyst Price Forecast Suggests 27.50% Upside
As of August 31, 2023, the average one-year price target for Wendy`s Co - is 25.27. The forecasts range from a low of 22.22 to a high of $32.55. The average price target represents an increase of 27.50% from its latest reported closing price of 19.82.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Wendy`s Co - is 2,190MM, an increase of 1.41%. The projected annual non-GAAP EPS is 0.99.
Wendy`s Co - Declares $0.25 Dividend
On August 9, 2023 the company declared a regular quarterly dividend of $0.25 per share ($1.00 annualized). Shareholders of record as of September 1, 2023 will receive the payment on September 15, 2023. Previously, the company paid $0.25 per share.
At the current share price of $19.82 / share, the stock's dividend yield is 5.05%.
Looking back five years and taking a sample every week, the average dividend yield has been 2.38%, the lowest has been 0.83%, and the highest has been 5.05%. The standard deviation of yields is 0.97 (n=236).
The current dividend yield is 2.76 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 1.09. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 4.00%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 735 funds or institutions reporting positions in Wendy`s Co -. This is an increase of 9 owner(s) or 1.24% in the last quarter. Average portfolio weight of all funds dedicated to WEN is 0.17%, an increase of 10.54%. Total shares owned by institutions decreased in the last three months by 0.84% to 199,675K shares. 
The put/call ratio of WEN is 0.77, indicating a bullish outlook.
What are Other Shareholders Doing?
Trian Fund Management holds 20,733K shares representing 9.91% ownership of the company. In it's prior filing, the firm reported owning 21,706K shares, representing a decrease of 4.69%. The firm decreased its portfolio allocation in WEN by 7.79% over the last quarter.
Massachusetts Financial Services holds 11,080K shares representing 5.29% ownership of the company. In it's prior filing, the firm reported owning 11,212K shares, representing a decrease of 1.19%. The firm decreased its portfolio allocation in WEN by 4.96% over the last quarter.
Jpmorgan Chase holds 5,934K shares representing 2.84% ownership of the company. In it's prior filing, the firm reported owning 5,989K shares, representing a decrease of 0.94%. The firm increased its portfolio allocation in WEN by 602.83% over the last quarter.
Harris Associates L P holds 5,600K shares representing 2.68% ownership of the company. In it's prior filing, the firm reported owning 5,712K shares, representing a decrease of 1.99%. The firm decreased its portfolio allocation in WEN by 3.59% over the last quarter.
MVCAX - MFS Mid Cap Value Fund A holds 5,547K shares representing 2.65% ownership of the company. In it's prior filing, the firm reported owning 5,459K shares, representing an increase of 1.59%. The firm decreased its portfolio allocation in WEN by 2.33% over the last quarter.
Wendy`s Background Information
(This description is provided by the company.)
Wendy's® was founded in 1969 by Dave Thomas in Columbus, Ohio. Dave built his business on the premise, "Quality is Our Recipe®," which remains the guidepost of the Wendy's system. Wendy's is primarily engaged in the business of operating, developing and franchising a system of distinctive quick-service restaurants serving high quality food. The Wendy's Company is committed to doing the right thing and making a positive difference in the lives of others. Today, Wendy's and its franchisees operate more than 6,800 restaurants worldwide with a vision of becoming the world's most thriving and beloved restaurant brand.
Additional reading:
- First Amendment to the Class A-1 Note Purchase Agreement, dated as of May 23, 2023, by and among Wendy’s Funding, LLC as Master Issuer, each of Quality Is Our Recipe, LLC, Wendy’s Properties, LLC and Wendy’s SPV Guarantor, LLC, as Guarantors, Wendy’s International, LLC, as Manager, the conduit investors party thereto, the financial institutions party thereto, certain funding agents, and Coöperatieve Rabobank, U.A., New York Branch, as L/C Provider, Swingline Lender and Administrative Agent.*
- Amendment to Awards Issued by The Wendy’s Company Under Various Equity Plans.
- Form of Nonqualified Stock Option Award Agreement under The Wendy’s Company 2020 Omnibus Award Plan.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
